ACE's Earnings Get Clubbed

Once these most recent quarterly results are finalized, they will be run through TheStreet.com Ratings' model and our ratings will be adjusted accordingly. To keep up to date on all of our ratings, visit TheStreet.com Ratings Screener.

On Feb. 3, 2009, ACE (ACE Quote) reported that its Q4 FY08 earnings plunged 96.4%, hurt by investment write-downs and other-than-temporary impairment losses. Net income available to shareholders declined to $20.00 million or $0.06 per share from $560.00 million or $1.69 per share in Q4 FY07. Excluding one-time items, the company earned $624.00 million or $1.87 per share, which beat the most recent consensus estimate of $1.80 per share.

Gross premiums written rose 4.2% to $4.32 billion from $4.14 billion a year ago. Furthermore, net premiums written grew 8.0% to $3.05 billion, while net premiums earned edged up 5.5% to $3.23 billion. Net investment income advanced 3.4% year over year to $521.00 million from $504.00 million. On the flip side, net realized investment losses widened to $644.00 million from $66.00 million, hurt by mark-to-market pricing due to continued widening of credit spreads and the decline in global equity markets. ...