PartnerRe Ltd. Reports Third Quarter and Nine Month 2010 Results (Excerpt)

PEMBROKE, Bermuda – 04 November, 2010 - PartnerRe Ltd. (NYSE,Euronext:PRE) reported net income of $524.9 million, or $6.76 per share on a fully diluted basis for the third quarter of 2010. This net income includes net after-tax realized and unrealized gains on investments of $233.0 million, or $3.05 per share. Net income for the third quarter of 2009 was $566.7 million, or $9.44 per share, including net after-tax realized gains on investments of $274.4 million, or $4.64 per share. Operating earnings for the third quarter of 2010 were $281.9 million, or $3.69 per share on a fully diluted basis. This compares to operating earnings of $282.1 million, or $4.77 per share, for the third quarter of 2009.

• Third Quarter Operating Earnings per share of $3.69; Net Income per share of $6.76
• Third Quarter Annualized Operating ROE of 15.8%; Annualized Net Income ROE of 29.0%
• Nine Month Operating Earnings per share of $4.93; Net Income per share of $9.68
• Nine Month Annualized Operating ROE of 7.3%; Annualized Net Income ROE of 14.4%
• Book Value of $93.21 per share, up 10% year-to-date, and 12% year-over-year

Net income for the first nine months of 2010 was $795.5 million, or $9.68 per share. This net income includes net after-tax realized and unrealized gains on investments of $373.3 million, or $4.69 per share. Net income for the first nine months of 2009 was $1,182.5 million, or $19.95 per share, including net after-tax realized and unrealized gains on investments of $479.4 million, or $8.27 per share, as well as a net after-tax gain of $57.0 million, or $0.98 per share, from the purchase of approximately 75% of the Company’s outstanding Capital Efficient Notes (CENts) in the first quarter of 2009. Operating earnings for the first nine months of 2010 were $391.6 million, or $4.93 per share on a fully diluted basis. This compares to operating earnings of $617.1 million, or $10.64 per share, for the first nine months of 2009.

Operating earnings exclude net after-tax realized and unrealized investment gains and losses, net after-tax realized gain on the purchase of the CENts and net after-tax interest in results of equity investments, and are calculated after payment of preferred dividends. All references to per share amounts in the text of this press release are on a fully diluted basis.

Commenting on the third quarter and nine-month 2010 results, PartnerRe Chief Executive Officer Patrick Thiele said, “PartnerRe had an excellent third quarter. Our reinsurance results generated a Non-life combined ratio of 80.7%, including an estimated $64 million loss from the New Zealand earthquake, while our invested assets continued to perform well generating solid returns both in the third quarter and year-to-date. Through September 30, 2010, we have grown GAAP book value per share 10%, in line with our long-term goal, to a new high of $93.21. As a result, we continued repurchasing common shares and increased the common share dividend by 10% during the quarter, leading to a total increase in the common dividend of 17% year over year.”

Balance Sheet Items

At September 30, 2010, total assets were $24.3 billion, compared to $23.7 billion at December 31, 2009. Over the trailing 12 month period, total investments, cash and funds held – directly managed increased 42% to $18.5 billion at September 30, 2010, primarily related to the acquisition of PARIS RE. Gross Non-life loss and loss expense reserves were $10.7 billion at September 30, 2010, compared to $10.8 billion at December 31, 2009. During the third quarter of 2010, the Company’s estimate of Non-life reserves for prior accident years was reduced by $136 million due to favorable development. The overall prior year reserve development for the third quarter of 2010 in the Non-life segment includes net favorable development in all sub-segments except for the Catastrophe sub-segment, with reductions of $58 million in the U.S. sub-segment, $14 million in the Global (Non-U.S.) P&C sub-segment, $61 million in the Global (Non-U.S.) Specialty sub-segment, and $16 million in the PARIS RE sub-segment, with adverse development of $13 million in the Catastrophe sub-segment. In the third quarter of 2009, Non-life reserves for prior years developed favorably by $122 million. Policy benefits for life and annuity contracts were $1.7 billion at September 30, 2010, compared to $1.6 billion at December 31, 2009. During the third quarter of 2010, the Company’s estimate of Life reserves for prior years developed adversely by $4 million, while there was favorable development of $14 million in the third quarter of 2009.

At September 30, 2010, total capital was $8.4 billion, and total shareholders’ equity was $7.6 billion. This compares to total capital of $8.0 billion, and total shareholders’ equity of $7.6 billion at December 31, 2009. Book value per common share at September 30, 2010 was $93.21 on a fully diluted basis compared to $84.51 per diluted share at December 31, 2009.

For additional information, the Company has posted a third quarter 2010 financial supplement on its website www.partnerre.com in the Investor Relations section on the Financial Reports page under Supplementary Financial Data.

Commentary and Outlook

PartnerRe President and Chief Operating Officer Costas Miranthis said, “As we move toward the end of 2010, the Non-life market remains unchanged, and we expect a continuation of stable to moderately declining pricing and terms in the January 1, 2011 renewals. We will underwrite the January 1 renewals as a single entity having now fully integrated the PARIS RE book into PartnerRe’s existing portfolio. The optimization of the combined portfolio may result in some further shrinkage of the book.”

“Our increased strength and capabilities continue to present us with opportunities across our book,” Mr. Miranthis said. “Specifically, we are seeing attractive opportunities in our Life business both in mortality and longevity. Ultimately, our larger and more diversified book of business gives us greater flexibility to generate shareholder value over the long-term.”

PartnerRe Ltd. is a leading global reinsurer, providing multi-line reinsurance to insurance companies. The Company, through its wholly owned subsidiaries, also offers capital markets products that include weather and credit protection to financial, industrial and service companies. Risks reinsured include property, casualty, motor, agriculture, aviation/space, catastrophe, credit/surety, engineering, energy, marine, specialty property, specialty casualty, multiline and other lines, life/annuity and health, and alternative risk products. For the year ended December 31, 2009, total revenues were $5.4 billion. At September 30, 2010, total assets were $24.3 billion, total capital was $8.4 billion and total shareholders’ equity was $7.6 billion.

PartnerRe on the Internet: www.partnerre.com

Contacts:

PartnerRe Ltd: – Robin Sidders - (441) 292-0888

Investor Contact: Robin Sidders

Media Contact: Celia Powell

Sard Verbinnen & Co: - Drew Brown/Briana Kelly - (212) 687-8080