Overseas Partners Ltd.

Overseas Partners liquidation completed

January 9, 2008

The members' voluntary liquidation of Overseas Partners Ltd., once one of Bermuda's largest reinsurers, has been completed. Liquidators Peter Mitchell and Nigel Chatterjee declared a final distribution totaling $65 million, or $0.545 per share, to the company's shareholders in November, 2007 and the company held its final General Meeting of Shareholders on December 28, 2007. OPL went members' voluntary liquidation on January 31, 2006 but had been in run off since February 13, 2002.

Overseas Partners announces $238 m distribution

September 30, 2004

Overseas Partners Ltd., the UPS reinsurance affiliate which is in run off, intends to make a third distribution to shareowners on August 31, 2004. The proposed distribution of $238 million, or $2 per share, will mean bring the total distribution

Overseas Partners Ltd. paid $535 m in 2003

March 31, 2004

Overseas Partners Ltd., which went run off after the termination of its lucrative shipper's risk program with affiliate United Parcel Service, paid liquidating distributions totaling $535 million or $4.50 per share during the 12 months ended December 31, 2003, the

Overseas Partners close to settling class action lawsuits

December 31, 2003

Bermuda-based Overseas Partners Ltd. says it has reached a "tentative settlement" in two class action lawsuits filed on behalf of customers of its affiliate, United Parcel Service. The lawsuits were filed in the United States in 1999 and 2000 by parties who alleged racketeering, claiming they had been sold sham insurance in a UPS shipper's risk program that was reinsured by OPL.

Overseas Partners in talks to settle IRS dispute

August 31, 2003

Bermuda-based Overseas Partners Ltd., which is closely associated with courier firm UPS, is apparently making headway in settling its long-running dispute with the IRS in the United States."We made further progress in resolving the tax litigation with the IRS in relation to our workers' compensation reinsurance program with UPS," stated OPL in a letter to shareowners on August 20.

Overseas Partners pays first liquidation dividend

April 30, 2003

Overseas Partners Ltd. has paid its first liquidating distribution.

Overseas Partners to go into run-off

February 13, 2002

After unsuccessfully trying to cope with the devastating loss of its UPS Shipper's Risk program in 1999, Bermuda-based Overseas Partners Ltd. has decided to shut down its operations. In an announcement today, the firm stated it had decided to "restructure OPL and cause most of its operations to begin an orderly runoff".

Appeals court rules in favor of UPS in tax dispute with IRS

September 30, 2001

The 11th Circuit U.S. Court of Appeals in the United States has denied a petition of the IRS Commissioner to rehear its earlier decision in favor of United Parcel Service Inc. in relation to the legality of its now defunct

UPS and Overseas Partners celebrate tax court decision

June 30, 2001

A US appeals court has overturned a 1999 decision that a reinsurance program operated by UPS and Bermuda-based Overseas Partners Ltd. amounted to tax evasion.The Eleventh Circuit Court of Appeals said the reinsurance program, which covered extra package insurance for UPS clients, was not a "sham transaction", as determined by the IRS and Tax Court.

Overseas Partners back in profit, but only just

November 30, 2000

Overseas Partners Ltd. returned to profitability in the third quarter, reporting net income of $2.4 million or two cents per share, compared with a loss of $46.7 million or 37 cents per share a year earlier. Shortly after reporting its

Overseas Partners struggles to overcome loss of UPS premiums

May 31, 2000

Still suffering from the impact of losing its UPS shipper's risk account, Overseas Partners reported greatly reduced net income of $20.1 million or 16 cents per share for the quarter ended March 31 - 81 per cent less than the $105.5 million or 84 cents per share in the same quarter a year earlier.

Overseas Partners net income drops off with loss of UPS business

February 29, 2000

Overseas Partners Ltd., which has been badly affected by a US Tax Court ruling last year against its biggest client, UPS, has reported reduced earnings in 1999. The company reported net income of $232.8 million or $1.85 per share for the 12 months ended December 31, 1999, compared with $232.8 million or $1.85 per share in 1998.

UPS sued by customers over Overseas Partners ‘tax dodge’

November 30, 1999

A $14 billion lawsuit was filed this month against United Parcel Service of America Inc. on behalf of customers who have bought insurance for the past 16 years for packages shipped by the firm and reinsured through Overseas Partners Ltd.

UPS offered little evidence to show it was not avoiding US taxes

August 31, 1999

Given the amount of money at stake, which could eventually come to more than $2 billion in back taxes and fines, the attempt by UPS to create an 'arm's length' reinsurance company in Bermuda appears to have been remarkably clumsy, according to Judge Ruwe's 114-page opinion. In laying the groundwork for the restructuring of its shipper's risk program in 1983, the company seems to have drawn up little or nothing in the way of documentation that could later be used to give the appearance that the change was driven by sound business reasons, rather than a desire to avoid US taxes.

Overseas Partners facing victory against the IRS

May 31, 1999

Overseas Partners Ltd. appears to have won its battle with the US Internal Revenue Service over tax assessments and penalties totalling $539 million that were levied against the firm for the period 1984-90. On January 21, 1999, a US Tax Court ruled that OPL had no deficiency in income tax, and no additional tax was due from the company, for 1984, the only year that has so far gone to trial.

Bruce Barone abruptly leaves Overseas Partners

December 31, 1998

Bruce Barone suddenly left as President and CEO of Bermuda-based reinsurer Overseas Partners Ltd. amid rumours that the company may have lost money trading in derivatives. No official reason has been given for Barone's departure but the speed of his exit and the fact that no replacement has been lined up indicates there was a major disagreement between Barone and the company's board of directors.

UPS faces $1 billion liability from its Bermuda reinsurer

April 30, 1998

United Parcel Service could be liable for as much as $1 billion in federal income taxes if it loses a case now before the US Tax Court in Atlanta that involves Bermuda based reinsurer, Overseas Partners Ltd., which reinsures UPS