Safety Insurance Group, Ltd. net earnings for the year to December 31 rose 10.1 percent to $3,211,015 or $1.08 per share.

Net premiums earned shot up 95.4 percent to $8,347,107. Total revenues increased 51.5 percent to $13,489,836.

American Safety president and CEO, Lloyd Fox, said, "We are extremely pleased to report favourable operating results for 1997, including excellent growth in net premiums, total revenues and net earnings.

"This growth was primarily attributable to increases in our core environmental and employee leasing insurance business units, as well as from the addition of new programme business.

"Our successful initial public offering (IPO) in February 1998 has significantly added to the financial strength of our company, increasing our capital and surplus to over $52 million.

"We expect to receive a higher financial size rating from A.M. Best Co., which when combined with our increased capital base and expertise in specialty insurance programmes, should enable our company to access opportunities previously not available to us.

"In 1998, our focus will be to continue the growth of existing insurance programmes, to add new programme business, such as the pest control programme which was launched last month, and to evaluate strategic acquisition opportunities as they are presented.'' American Safety's first quarter IPO of its common shares provided net proceeds to the company of some $31.3 million.

Analyst Lucy W. Zemp at J.C. Bradford & Co. reiterated the company as a "strong buy'', forecasting a 12-month target price at $17 per share. J.C.

Bradford & Co. were co-managers to American Safety's IPO, which closed February 25.

American Safety is a specialty insurance holding company, which through its subsidiaries, develops, underwrites, manages and markets primary casualty insurance and reinsurance programmes in the alternative insurance market for environmental remediation risks, employee leasing and staffing industry risks, and other specialty risks.