Greenwich, Conn.--based insurer W. R. Berkley Corporation saidafter-tax storm losses would amount to $41 million from HurricanesIke, Gustav and Dolly, and wind and hail events in the Midwest. Thelosses would translate into 24-cents a share.

Berkley yesterday estimated its third quarter operating incomeper share, including storm losses, to be in the range of 70-centsto 75-cents and its GAAP net loss per share to be in the range of15-cents to 20-cents.

Operating income is a non-GAAP financial measure defined by thecompany as net income or loss excluding realized investment gainsand losses.

Its loss estimate is net of reinsurance and includes bothreinstatement premiums and estimated assessments from the TexasWindstorm Insurance Association.

The company said its estimate also includes after-tax netrealized investment losses, including impairments, of $143 million,or 85-cents per share. The estimated investment loss relatesprimarily to write downs for other-than-temporary declines in fairvalue of preferred equity holdings in Fannie Mae and FreddieMac.

Berkley estimates that its net unrealized losses increased by$116 million for investments and by $33 million for currencytranslation adjustments in the third quarter of 2008. The increasein unrealized investment losses was primarily related to the impactof widening credit spreads across all fixed income sectors.

The company said it does not invest in CDOs, CLOs or similarfinancial products, has never been a party to any credit defaultswap and does not engage in securities lending.

Berkley reported holding approximately $4 million of fixedmaturity securities issued by insurance operating subsidiaries offinancially troubled American International Group and has noexposure to securities issued by bankrupt Lehman Brothers HoldingsInc.

The company estimated its stockholders' equity per share to bein the range of $18.80 to $18.90 at Sept. 30.

Berkley said it is well-capitalized and has no need to raisecapital to support its current operations and each of the majorrating agencies has affirmed the company's ratings in the pastseveral weeks.

The company will release its third quarter earnings report aftermarkets close on Oct. 28.