US Appeals Court Upholds One-Occurrence Verdict in WTC Litigation

Swiss Re Issues Statement on WTC Litigation Appeal Confirmation

NEW YORK, Oct. 18 -- Swiss Re today issued the following statement in connection with the decision by the United States Court of Appeals for the Second Circuit upholding the jury verdict in favor of Swiss Re in the case of SR International Business Insurance Company Ltd. versus World Trade Center Properties, LLC, et al.

"The Second Circuit affirmed a unanimous jury verdict finding that the destruction of the WTC on September 11, 2001, was a single occurrence under the terms of Swiss Re's coverage. Silverstein's two-occurrence claim against Swiss Re gave rise to five years of protracted litigation," said Jacques Dubois, CEO, Swiss Re America Holding Corporation. "Today's decision resolves Silverstein's two-occurrence claim once-and-for-all in Swiss Re's favor. As it has since the days following 9/11, Swiss Re will continue to honor its contractual obligations under the terms of coverage it agreed to provide before 9/11."

This decision means that Swiss Re's payment obligation is subject to the terms and conditions of the operative Willis policy and cannot exceed Swiss Re's 25 percent share of the $3.5 billion loss limit Silverstein purchased.