Gen Re Securities in Run-off
On January 28, 2002, General Re Corporation, a subsidiary of Berkshire Hathaway Inc., announced the termination of its previously announced agreement in principle to sell a controlling interest in Gen Re Securities Holdings to an investor group. Despite diligent and good faith efforts by both parties, it was not possible to structure a mutually acceptable transaction.
After exploring other strategic alternatives for Gen Re Securities, General Re determined that a long-term run-off of Gen Re Securities' business would provide the best strategic result. Since that time, Gen Re Securities has limited its new business to certain risk management transactions and has continued to unwind its existing asset and liability portfolios in an orderly manner. The decision to place Gen Re Securities into run-off has had no effect on General Re Corporation's guarantee of Gen Re Securities' transactions executed under existing ISDA Master Agreements.
General Re Corporation, a subsidiary of Berkshire Hathaway Inc., is a holding company for global reinsurance and related risk management operations. It owns General Reinsurance Corporation and a controlling interest in Cologne Re. Gen Re Securities Holdings was a global dealer in securities and derivatives and is now in long-term run-off.
_____________________________For inquiries with respect to Collateral, Cash Management and Operations, please call Mike Ferrante at 203-328-5676.
For all other inquiries, please call Larry Stein at 203-328-6386.