the many lawsuits filed against it, reporting net losses for the year of $6.7 million.

Last year the company had a net income of $16.0 million for 1998 -- a drop of over $22 million in 12 months.

For the fourth quarter of 1999, the net loss was $8.8 million, versus a $3.9 million profit for the same period in 1998.

For the year ended December 31, 1999, diluted net loss per share was $0.71, compared to diluted net income per share of $1.63 for the previous year.

Diluted net loss per share for the fourth quarter of 1999 was $0.92, versus diluted net income per share of $0.40 in the corresponding quarter of 1998.

Stephen A. Crane, President & Chief Executive Officer, commented, "By any measure, 1999 was a turbulent year for Stirling Cooke.'' The results for the year and quarter were affected by a number of different factors, most significantly were costs and provisions for re-insurance-related disputes during the year, including litigation.

Among the most prominent was a suit filed almost a year ago by Odyssey Re (London) in the US District Court in New York, which was dismissed recently by a US District Court judge.

Provisions associated with that suit and other disputes amounted to $11.9 million for the year and $5.6 million for the quarter.

Results for the year were also influenced by significant costs relating to the restructuring and consolidation of the Company's operations and there were write-downs in connection with investments in affiliates.

These restructuring charges amounted to $4.3 million for the year -- $1.8 million for the quarter.

The Company also reported that its Board of Directors has declared a quarterly dividend of $0.03 per Ordinary Share. The dividend will be payable on March 31, 2000 to shareholders of record on March 17, 2000.

The US workers' compensation insurance market, in which the company conducts most of its business, also did not help the company figures as it became increasingly competitive as the year progressed.

These difficult conditions resulted in a diminution of revenue and shrinkage in operating margins.

For the year ended December 31, 1999, revenues totalled $67.8 million, representing a decrease of $17.3 million from revenues of $85.1 million in 1998.

For the three months ended December 31, 1999, revenues totaled $9.3 million, a decline of $13.1 million from revenues of $22.4 million in the fourth quarter of 1998.