Trenwick, the Bermuda-based insurer and reinsurer that last week filed for Chapter 11 bankruptcy protection, has taken the next step in its financial rehabilitation as insolvency specialists from financial services firm KPMG join the restructuring.
The Supreme Court of Bermuda has appointed Mike Morrison from KPMG in Bermuda and John Wardrop from KPMG in London as provisional liquidators to Trenwick Group Limited and LaSalle Re Holdings Limited, two companies within the Trenwick group.
On 20 August 2003, the two companies and Trenwick America Corporation (TAC) filed for protection under Chapter 11 of the United States Bankruptcy Code in the US Bankruptcy Court in the District of Delaware.
Mr Morrison said: "We intend to work with the directors of the companies in the oversight role outlined by the Orders made by the Supreme Court of Bermuda to facilitate the restructuring as previously announced by the companies and TAC.
"I would stress that these appointments are to holding companies and the day-to-day trading operations of the insurance subsidiaries should not be affected as they are not party to the Bermuda proceedings or to Chapter 11 proceedings in the United States."
The insolvency specialists' appointment follows news earlier in August of a management buy-out of Trenwick's Lloyd's business and the sale of Trenwick International, the company's London-based subsidiary, to Litigation Control Group.
