Hannover Re increases its "K6" capital market transaction

Wednesday, 27. January 2010 10:00
Hannover Rück / Hannover Re increases its "K6" capital market transaction processed and transmitted by Hugin AS. The issuer is solely responsible for the content of this announcement.

Hannover, 27 January 2010: Hannover Re has given the capital market another
opportunity to participate in (natural) catastrophe risks. The "K6" transaction,
which was launched in 2009, was further boosted by the maximum targeted amount
of USD 152 million to a total volume of USD 329 million; it was taken up by new
and existing investors alike. Placement proved highly successful for Hannover
Re, with investor demand comfortably outstripping supply. This also confirms
that the market for alternative risk transfer, which had contracted in the wake
of the financial market crisis, has recovered.

"Our latest capital market transaction serves to complement our traditional
programme of protection cover, which we use to protect against peak exposures
such as natural catastrophes", Chief Executive Officer Ulrich Wallin explained.
"Our investors enjoy extremely attractive returns given a normal experience of
the covered portfolio. What is more, they are able to diversify their own
portfolio and exclude the usual interest rate risks associated with other
capital market products."

The additional interests in the "K6" transaction were taken out in the form of
three-year contracts, which means that in future only part of the "K6" quota
share will be renewed at year-end. The transaction was placed with institutional
investors worldwide.

The portfolio assembled for the "K6" securitisation consists of non-proportional
reinsurance treaties in the property catastrophe, aviation and marine (including
offshore) lines.


For further information please contact:

Press and Public Relations / Investor Relations:
Karl Steinle (tel. +49 511 5604-1500,
e-mail: karl.steinle@hannover-re.com)

Press and Public Relations:
Gabriele Handrick (tel. +49 511 5604-1502,
e-mail: gabriele.handrick@hannover-re.com)

Investor Relations:
Klaus Paesler (tel. +49 511 5604-1736,
e-mail:klaus.paesler@hannover-re.com)

Please visit: www.hannover-re.com


Hannover Re, with a gross premium of around EUR 9 billion, is one of the leading
reinsurance groups in the world. It transacts all lines of non-life and life and
health reinsurance. It maintains business relations with more than 5,000
insurance companies in about 150 countries. Its worldwide network consists of
more than 100 subsidiaries, branch and representative offices on all five
continents with a total staff of roughly 2,000. The rating agencies most
relevant to the insurance industry have awarded Hannover Re very strong insurer
financial strength ratings (Standard & Poor's AA- "Very Strong" and A.M. Best A
"Excellent").


Disclaimer:
Some of the statements in this press release may be forward-looking statements
or statements of future expectations based on currently available information.
Such statements are naturally subject to risks and uncertainties. Factors such
as the development of general economic conditions, future market conditions,
unusual catastrophic loss events, changes in the capital markets and other
circumstances may cause the actual events or results to be materially different
from those anticipated by such statements. Hannover Re does not make any
representation or warranty, express or implied, as to the accuracy, completeness
or updated status of such statements. Therefore, in no case whatsoever will
Hannover Re and its affiliate companies be liable to anyone for any decision
made or action taken in conjunction with the information and/or statements in
this press release or for any related damages.


[HUG#1377507]



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Hannover Rück
Karl-Wiechert-Allee 50 Hannover Germany

WKN: 840221;ISIN: DE0008402215;Index:CDAX,MIDCAP,Prime All Share,HDAX,CLASSIC All Share;MDAX;



Related Links: Hannover Rück SE
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