Euler Hermes 1Q Net Profit Up 58%; Insured Turnover Outlook Positive

French credit insurance company Euler Hermes SA (ELE.FR), part of Germany's Allianz SE (ALV.XE) Friday said net profit rose 58% to EUR75.3 million in the first quarter, confirming the ongoing global economic recovery already observed in 2010.

MAIN FACTS:

- The strong net profit increase was mainly driven by an improved combined ratio, which was 75% in the quarter.

- Revenue in the quarter totaled EUR544 million, up 7.6% compared with the first quarter of 2010, helped by a strong performance in Europe and the Americas.

- "The Group is confident that it will achieve continuous top line recovery throughout 2011 as retention is strong at over 90% and the outlook on insured turnover is positive", said Wilfried Verstraete, chairman of the Euler Hermes Board of Management.

- Euler Hermes has taken the appropriate measures to contain the risks arising from the recent developments in Japan, the Middle East and North African countries. So far, there has been no significant increase in claims notifications.

- By Paris Bureau, Dow Jones Newswires; [phone]; [e-mail]