EXEL Acquires Majority-Voting Stake In Reeve Court Insurance

EXEL Ltd. has acquired an indirect majority-voting stake in Bermuda-based Reeve Court Insurance Ltd. for approximately $100 million. Reeve Court, which will be a consolidated subsidiary of EXEL, offers specialized investment and estate planning products, including life insurance to a select group of trusts and high net-worth individuals. Reeve Court was founded by Cynthia G. Beerbower, former deputy assistant secretary of the U.S. Treasury Department, who will serve as chairman and CEO.

"We are very pleased to welcome Reeve Court to the EXEL family," said Brian M. O'Hara, president and chief executive officer of EXEL. "The combination of EXEL's financial strength and the expertise of Reeve Court's management team is unique for high net-worth customers."

"Reeve Court is able to offer extremely creative and cost effective products by operating entirely offshore with strict cost management,'' said Beerbower. "The products are designed to maximize the income and estate tax savings associated with standard life insurance products, while being customized for the particular needs of a select clientele," she continued.

Prior to founding Reeve Court, Beerbower served from 1993 to 1996 as international tax counsel and then deputy assistant secretary of the U.S. Treasury Department for Tax Policy. For 17 years prior to joining the Clinton Administration, 12 of those as a partner, Beerbower was with the New York law firm of Simpson Thacher & Bartlett, where she specialized in financial products and international taxation.

David G. Broadhurst has been appointed President of Reeve Court. He was most recently an investment banker in Toronto, having previously served as the senior tax partner of Price Waterhouse, Canada. Broadhurst was a partner of Price Waterhouse for 33 years, specializing in tax planning for multinational companies and several wealthy families. He has been consistently named as one of the top Canadian tax advisors.

EXEL executives will provide Reeve Court with experienced and specialized expertise in insurance, investment management and product administration.