OUTLINE

• 2006 policy year closed with no further supplementary premium
• No further supplementary premium estimated for the 2007 policy year
• Estimated supplementary premium for 2008 maintained at 20 per cent
• Increased free reserves and capital (including hybrid capital) of US$334 million

TO THE MEMBERS

Dear Sirs

POLICY YEAR REVIEWReview of Open Policy Years2006 Policy Year

At their meeting in April 2009 the Directors decided to close the 2006 policy year with no further supplementary premium. In October 2008 when the Directors decided to set a supplementary premium of 20 per cent in order to minimise the deficit on the 2006 policy year, the deficit then stood at US$61 million. Following the supplementary call and based on the latest claims projections, the anticipated deficit on the year has reduced to US$12.6 million.

2007 and 2008 Policy Years

No further supplementary premium is estimated for 2007 and the estimated supplementary premium for 2008 is maintained at 20 per cent.

Financial Year Highlights

The Directors, at their meeting, approved the Report and Financial Statements for the year ended 20th February 2009. This will be published as usual over coming months, but in the meantime a detailed summary of the Club's financial results is contained in the separate publication "Review of the Year" accompanying this circular.

Yours faithfully

THOMAS MILLER (BERMUDA) LTD.