NU Online News Service, Nov. 1, 3:35 p.m. EDT

CNA Financial Corp. recorded a 2010 third-quarter net loss of$140 million, driven by a $365 million after-tax net loss relatedto its transfer of legacy asbestos and environmental pollutionliabilities to Berkshire Hathaway's National Indemnity Company(NICO).

CNA Financial posted 2009 third-quarter net income of $263million.

Thomas F. Motamed, chairman and chief executive officer, saidthe third quarter reflected "continued focus on ourprofit-improvement strategies."

The third-quarter combined ratio for property and casualtyoperations was 97.9 compared to 101 during the same period lastyear, but a decrease in exposures and economic conditions affectedbusiness, the company said.

Net written premiums decreased $24 million in CNA Commercialcompared to 2009 third-quarter results. Renewal rates were flat.Operating income decreased $10 million.

In CNA Specialty, net written premiums increased $16 million butnet operating income fell $9 million.

Excluding the impact of the loss portfolio transfer, CNAFinancial posted $186 million in operating income.

Under the terms of the agreement finalized at the start of September, CNA's Continental CasualtyCompany and several other insurance subsidiaries gave NICO about$1.6 billion of A&E pollution liabilities under a retroactivereinsurance agreement with a total limit of $4 billion effectiveJan. 1, 2010.