Arch Capital Group followed the general trend of Bermuda's insurance companies, with its profits holding up well for the fourth quarter 2007 and increasing over the whole year.

The insurance and reinsurance company posted a net income of $234.4 million or $3.31 per share for last year's fourth quarter compared to $239.3 million or $3.12 per share for the 2006 fourth quarter.

It also recorded total profits of $832.1 million, or $11.28 per share for the year ended December 31, 2007, up from $692.6 million or $9.08 per share for the previous year.

Gross premiums written for the fourth quarter 2007 stood at $828.2 million, compared to $873.2 million for the same period in 2006, and $4.14 billion for the year ended December 31, 2007, compared to $4.28 billion for 2006.

The company's combined ratio for the 2007 fourth quarter was 84.4 percent, compared to 83 percent for the corresponding time in 2006, and 84.1 percent for the year ended December 31, 2007, in contrast to 85.4 percent during 2006.

ARCH CAPITAL

4Q REPORT CARD

Net income: $234.4 million compared to $239.3 million in 2006

Combined ratio: 84.4 percent compared to 83 percent in 2006

Gross premiums written: $828.2 million compared to $873.2 million in 2006