Swiss Re To Book Q3 Gain Of $600 Mln On Admin Re Sale

Swiss Re, the world’s second-biggest reinsurer, said it would book a third-quarter gain of around $600 million from the sale of its U.S.-based life insurance business.

Swiss Re announced the sale of the Admin Re business to Prudential’s U.S. subsidiary Jackson National Life in May, but booked a $1 billion loss on the transaction in the second quarter.

“The gain in the third quarter is predominantly due to recycling of previously unrealised gains on the investments backing the insurance liabilities transferred to Jackson National Life Insurance Co,” Swiss Re said in a statement.

Swiss Re said it had closed the sale, which would result in an overall loss of $400 billion, taking into account the $1 billion loss it has already booked and the gain to come.

Reuters