ACE Limited (NYSE: ACE) today announced the maximum rate to be used to set the dividend rate for the remarketing of its 8.25% Cumulative Redeemable Preferred Shares, Series A (the "Preferred Shares") underlying its FELINE PRIDES securities.
In accordance with the original terms of the FELINE PRIDES, effective May 16, 2003, the maximum dividend rate for the Preferred Shares will be the interest rate on the selected one-month benchmark Treasury Bill (CUSIP No. 912795MS7; Maturity June 19, 2003) in effect on May 13, 2003, as selected by Merrill Lynch, Pierce, Fenner & Smith Incorporated, as reset agent, plus 200 basis points.
Remarketing of these securities will have no material impact on ACE's results from operations or liquidity.
The securities affected by this announcement are as follows:
-- Preferred Shares underlying the Income PRIDES of ACE Limited (CUSIP No. 004408 40 7)
-- Income PRIDES of ACE Limited (CUSIP No. 004408 20 9)
For additional information, please contact your Merrill Lynch, Pierce, Fenner & Smith Incorporated fixed income sales representative at (212) 449-1000 between the hours of 9 a.m. - 5 p.m. (EDT), Monday through Friday.
The ACE Group of Companies provides insurance and reinsurance for a diverse group of clients. The ACE Group conducts its business on a global basis with operating subsidiaries in nearly 50 countries. Additional information can be found at: www.acelimited.com .