Asbestos claims wipe out RSA profits
12 April 2012
INSURER Royal & Sun Alliance has confirmed that extra cash needed to cover asbestos related claims wiped out its profit in 2001.
The company, which sells mainly general insurance, said operating profit for the year was just £16m, from a restated £462m the year before. It said it would pay a full year dividend of 16p a share, compared with the 2000 payout of 26p.
Royal & Sun earlier this month more than doubled its reserves for asbestos claims and is also facing losses of about £215m from the World Trade Center disaster.
It said it was on track to release more than £800m of capital during 2002 and was working on seven different transactions.
