Associated Electric & Gas Insurance Services Limited

Associated Electric & Gas Insurance Services Limited (AEGIS) is a non-assessable mutual insurance company owned by its policyholder-members. It was established in Bermuda in 1975, and is an eligible surplus lines insurer in most jurisdictions in the United States. AEGIS Insurance Services, Inc. (AEGIS Services), a wholly owned managing general agent, provides professional staff and services to AEGIS. The mission of AEGIS is to assure utility and related energy industry members consistently superior insurance and risk management products and services through a secure and stable market enabling members to achieve the lowest overall long-term cost of risk. AEGIS was formed to serve the utility and related energy industry. As these businesses have changed to meet the challenges of a deregulated market, so has AEGIS. It has expanded its scope to include gas and electric utilities, related energy companies, water utilities, telecommunications, and oil & gas exploration and production companies. Directly and through alliances, AEGIS offers a full range of sophisticated insurance and risk management products and services. AEGIS writes excess liability, directors and officers liability, fiduciary and employee benefits liability, property, and excess workers' compensation. It also writes professional liability and employment practices liability. In alliance with its strategic partners, AEGIS offers its members primary general liability, commercial automobile liability, umbrella liability, workers' compensation, and surety coverages. AEGIS also has international capabilities, including the AEGIS Energy Syndicate 1225 at Lloyd's of London. In addition, AEGIS provides a full line of integrated financial products designed to help each member company manage the totality of risks facing the enterprise. These products include, but are not limited to, deductible/retention buy down programs, generation outage, environmental remediation, and counterparty credit enhancement insurance. These products can be integrated with finite risk funding programs and are used to stabilize earnings over multi-year periods and provide superior balance sheet protection. AEGIS enrolled 114 new members in 2001, while renewing 97% of its existing members. As a mutual insurance company, AEGIS recognizes members' ownership interests through continuity credits, which allow members to reduce their cost of insurance. In 2001, AEGIS declared continuity credits totaling more than $60 million. AEGIS enjoys an A.M. Best rating of A (Excellent), a Fitch rating of A+, and was ranked #1 among all insurance carriers for performance and policyholder satisfaction in both the 1998 and 1999 Quality Scorecard Surveys conducted by the Risk & Insurance Management Society (RIMS) and The Quality Insurance Congress. Senior Officers of AEGIS: Bernard J. Kennedy, Chairman Alan J. Maguire, President and Chief Executive Officer Senior Officers of AEGIS Services: Alan J. Maguire, President and Chief Executive OfficerWilliam P. Cullen, Senior Vice PresidentJohn J. Denman, Jr., Senior Vice PresidentGilbert Gould, Senior Vice PresidentEric M. Mark, Senior Vice PresidentRaymond S. Pyrcz, Senior Vice PresidentBruce W. Roznowski, Senior Vice PresidentThe AEGIS website address is http://www.aegislimited.com/. AEGIS and the AEGIS logo are service marks of Associated Electric & Gas Insurance Services Limited. The term AEGIS as used herein includes all subsidiaries and their activities.