RMS Performs Model Review for Multi-Peril Securitization

$150 million series issued for coverage against multi peril region losses

Newark, CA – February 21, 2008 – Risk Management Solutions (RMS), the world’s leading provider of products and services for catastrophe risk management, has performed a detailed review of the risk analysis processes for a multi-peril indemnity deal. The transaction provides cover against losses from U.S. windstorm and earthquake, Japanese typhoon and earthquake, and European windstorm.

Issued by Newton Re Ltd., a Cayman Islands special purpose vehicle (SPV), the securities provide $150 million of three-year, collateralized cover for Catlin Insurance Company Ltd.

“For reinsurers, the volume of data to be analyzed in an indemnity deal is typically too large to be remodeled by a third party,” said Peter Nakada, managing director at RMS Consulting.  “This transaction demonstrates that, in cases like these, the market can accept a reinsurer’s own modeling, as long as its practices meet a certain quality standard.  We expect to see more demand for this type of transaction from reinsurers eager to transfer risk on an indemnity basis.”