the company said yesterday.

Everest Re, which is in the process of moving its holding company from the US to Bermuda, also announced it has appointed Peter J. Bennett as Chief Executive Officer of Everest Reinsurance (Bermuda), Ltd., the Company's new Bermuda-based reinsurer.

Mr. Bennett was previously group chief executive of The Citadel Group, where he was responsible for both company management and underwriting finite reinsurance for Citadel Group companies.

Everest Bermuda has been authorised as a Class 4 and long-term insurer, and has been capitalised with $250 million. Its office in Bermuda, at Wessex House, 45 Reid Street is expected to open in early May.

Everest Re Group Ltd. is a Bermuda holding company that operates through the following subsidiaries: Everest Reinsurance Company provides reinsurance to property and casualty insurers in both the US and international markets.

Everest Reinsurance (Bermuda), Ltd. has been formed to provide reinsurance to property and casualty and life insurers in both the Bermuda and international markets.

Everest, which also announced its first quarter results yesterday, is one of a group of major US reinsurers which have announced plans to move their holding companies to the Island. The move has come under criticism from other US insurance companies, which claim that the US Government is losing billions of dollars in tax revenues as a result of the so-called "Bermuda loophole''.

Everest said its first quarter after-tax net income rose 11.8 percent to $43.5 million, or $0.95 per diluted share, compared to $42.7 million, or $0.85 per diluted share in 1999.

Net income was $48.6 million, or $1.06 per diluted share, a 29.3 percent increase on a per share basis compared to $41.2 million, or $0.82 per diluted share, in the first quarter of 1999.

Gross premiums written for the first quarter were $304.3 million in 2000, a 19.8 percent increase compared to $253.9 million in 1999. The company's GAAP combined ratio was 102.8 percent for this quarter compared to 103.4 percent in 1999.

Net investment income for the first quarter was $65.0 million, an increase of 4.8 percent compared to $62.1 million in 1999. Cash flow from operations was $18.8 million.