May 7, 2010

Dear Business Colleagues:

This morning Chartis' first quarter 2010 results were released. I am pleased to report that our U.S. and Canadian businesses performed well with over $730 million in operating income after realized capital gains/losses, a 400 percent increase from the prior year period, and $3.7 billion in net premiums written. Our GAAP combined ratio for the quarter was a 102.5; excluding catastrophes the combined ratio was a 98.6.

Quarterly results were positively impacted by investment income and stronger business performance. You can see our businesses have normalized, and we continue to gain momentum in new business writings, account retention and rate stabilization.

This is an exciting time for Chartis. Over the past several weeks we have launched numerous market-leading solutions for D&O, construction, solar and wind energy, and crisis management. Additionally, last week, we announced the formation of our new Global Markets division to strengthen Chartis' focus on the evolving needs of our multinational clients. Please visit us at www.chartisinsurance.com for more information on these products and services.

I hope you find the information beneficial in making your risk management choices. We will provide additional detail on our statutory financial results when it is available. As always, thank you for your support and your business.