CORRECT: Allianz: EUR112 Million Writedowns On Hartford Invest In 1Q
April 29 2009 - 9:56AM
Dow Jones News
Allianz SE (AZ) expects about EUR112 million in first-quarter
write-downs on its investment in Hartford Financial Services Group
Inc. (HIG) of the U.S., Chief Financial Officer Helmut Perlet said
Wednesday.
In October, Hartford closed on a $2.5 billion investment by
Allianz, which ultimately would give Allianz a stake of just below
24% in Hartford when it converts hybrid debt into shares.
Currently, Allianz holds a 7.4% stake in Hartford and has hybrid
debt worth $1.75 billion that includes the option of a conversion
into Hartford shares within the next seven years.
Hartford reported a $2.75 billion net loss for 2008 and is among
a group of insurers seeking U.S. government aid.
CEO Diekmann said earlier Wednesday that the insurer's
investment in Hartford is a "financial investment."
Company Web site: www.allianz.com
-By Ulrike Dauer, Dow Jones Newswires; +49 69 29725 500;
ulrike.dauer@dowjones.com