Bermuda-based RenaissanceRe Holdings Ltd last night reported that its fourth-quarter net earnings fell 42 percent after more than $50 million of additional losses from the New Zealand earthquake that struck in September.The company reported net income of $122.6 million for the quarter, compared to $211.8 million in the same period of 2009.Operating earnings per share of $3.47 beat analysts expectations of $2.04, as the company said the negative impact of the Chile earthquake in February had been $22.6 million less than expected, while the net claims position on European windstorm Xynthia also improved by $15.8 million, boosting results.Full-year earnings fell to $702.6 million from $838.8 million in 2009.The impact of the Chile and New Zealand earthquakes combined last year totalled $211.7 million, adding 32 points to RenRe's combined ratio.The combined ratio for the year the proportion of premium dollars spent on claims and expenses was 45.1 percent, compared to 21.2 percent for 2009. For the quarter, combined ratio was 19.8 percent compared to 13 percent in the last three months of 2009.Gross premiums written for the year fell slightly to $1.17 billion, compared to $1.23 billion in 2009.RenRe chief executive officer Neill Currie said: “I am pleased to report strong earnings for the full year, despite softening market conditions in many lines and a number of significant catastrophic events that took place around the world.“We reported $702.6 million of net income for the year, an operating ROE of 16.5 percent and over 21 percent growth in book value per common share. Robust underwriting profits, solid investment results and disciplined execution by our team contributed to these results.“During the year, we completed a strategic review of our US-based insurance operations which ultimately culminated in our announced sale of these operations. The sale is expected to close in early 2011.“This decision reflects our commitment to being nimble and sharpens our focus on being a leading underwriter of low frequency, high-severity risks.”The company agreed to sell its US operations to QBE last November.For the fourth quarter, the company reported an annualised return on average common equity of 14.6 percent and an annualised operating return on average common equity of 22.5 percent.Book value per common share increased $2.01, or 3.3 percent, in the fourth quarter of 2010 to $62.58, compared to a five percent increase in the fourth quarter of 2009.For the year, book value per common share increased $10.90, or 21.1 percent, compared to a 33.4 percent increase in 2009.RenRe said it bought back approximately 8.2 million shares for $460.4 million in 2010. This year, through February 7, the company said it had repurchased another 1.2 million shares at a cost of $75.3 million.Useful website: www.renre.com