(Bloomberg) -- Axis Capital Holdings Ltd. will cut about 100jobs and scale back operations in Australia after the reinsurerlost a bidding war for PartnerRe Ltd.
Costs tied to the reorganization reduced third-quarter earningsby about $51 million before taxes, including expenses for severanceand lease cancellation, the Bermuda-based company said Wednesday ina statement. The cuts represent 8 percent of the 1,250 jobs thatthe company had when it filed its annual report in February.Reductions will be focused in the corporate and select-insuranceoperations.
Axis is among reinsurers that have been pressured by fallingrates amid increased competition from Wall Street money managersseeking weather-related bets. Chief Executive Officer AlbertBenchimol was outbid this year by Italy’s Exor SpA, the investmentvehicle for the billionaire Agnelli family, for PartnerRe.
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