===============================================================================
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
------------------------
FORM 8-K
Current Report
Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
December 20, 2001
Date of Report (Date of earliest event reported)
XL CAPITAL LTD
(Exact name of registrant as specified in its charter)
Cayman Islands 1-10809 98-0191089
(State or other jurisdiction of (Commission file number) (I.R.S. Employer
incorporation or organization) Identification No.)
XL House, One Bermudiana Road, Hamilton, Bermuda HM11
(Address of principal executive offices)
(441) 292-8515
(Registrant's telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
================================================================================
Item 5. Other events.
On December 20, 2001, XL Capital Ltd issued the press release attached as
Exhibit 99(a) and incorporated by reference herein.
Item 7. Financial Statements and Exhibits.
(c) Exhibits. The following exhibit is filed herewith:
Exhibit No. Description
99(a) Press Release ("XL Capital Announces Insurance and
Reinsurance Exposure to Enron Corporation") dated
December 20, 2001.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Dated: January 4, 2002
XL CAPITAL LTD
By: /s/ Kirstin Romann
----------------------------------------
Name: Kirstin Romann
Title: Senior Vice President and
Associate General Counsel
Exhibit 99(a)
XL Capital Ltd
XL House
One Bermudiana Road
Hamilton HM 11 Bermuda
Phone: (441) 292-8515
Fax: (441) 292-5280
NEWS RELEASE
IMMEDIATE
Contact: Gavin R. Arton Roger R. Scotton
Investor Relations Media Relations
441-294-7104 441-294-7165
XL CAPITAL ANNOUNCES INSURANCE AND REINSURANCE EXPOSURE TO ENRON CORPORATION
Hamilton, Bermuda (December 20, 2001) - XL Capital Ltd (NYSE: XL) ("XL")
announced today that its estimated net aggregate insurance and reinsurance
underwriting exposures in connection with the bankruptcy of Enron Corporation
("Enron") could total approximately $75 million (pre-tax). This amount includes
estimated potential exposure through its surety underwriting of approximately
$45 million. However, XL is not yet in a position to estimate what level of
losses will result from its exposure to Enron. Certain circumstances, including
the extent to which claims emerge, coverage determinations and developments in
the Enron bankruptcy proceedings, may impact these estimates and the amount and
timing of actual losses.
XL previously stated that it does not have exposure to the asset backed
commercial paper program of Enron Funding Corp. In addition, the Company also
previously announced that it believed it had minimal exposure to Enron in
relation to its financial guarantee, weather risk trading and investment
operations.
XL Capital Ltd, through its operating subsidiaries, is a leading provider of
insurance and reinsurance coverages and financial products to industrial,
commercial and professional service firms, insurance companies, and other
enterprises on a worldwide basis. As at September 30, 2001, XL had consolidated
assets of approximately $25.7 billion and consolidated shareholders' equity of
approximately $4.8 billion. More information about XL is available at
www.xlcapital.com.
This press release contains forward-looking statements. Such statements are
based on current plans, estimates and expectations. Accordingly, forward-looking
statements involve inherent risks and uncertainties, and a number of important
factors could cause actual results to
differ materially from those contained in any forward-looking statement. Such
factors include the still developing nature of the situation with respect to
Enron and the related bankruptcy proceedings which may cause XL to revise its
estimates of its exposure to Enron. A non-exclusive list of other important
factors that could cause actual results to differ materially from those in such
forward-looking statements is set forth in XL's most recent report on Form 10-K
and XL's other documents on file with the Securities and Exchange Commission. XL
undertakes no duty to update publicly or revise any forward-looking statements
contained herein in light of new information, future developments or otherwise.
# # #