TO THE MEMBERS

Dear Sirs,

1997 Policy Year Supplementary Call
1999 Policy Year Advance Call

The supplementary call originally planned for the 1997 policy year and advised to the Members at the start of the year was 40 per cent. The continuing strong overall financial position of the Association has allowed the Directors, at their meeting on 12th October, to reduce the call to 25 per cent. Debit notes for this reduced call will be issued on 9th November 1998 with provision for payment within 30 days thereafter. No further call is expected.

Looking ahead, the Directors are determined to maintain the financial strength of the Association, and with this in mind they have ordered a general increase in premium rating for the 1999 policy year of 5 per cent. This increase is to be applied before adjustment (up or down) to an individual Member's rating in the light of his loss record and any other relevant factors affecting the risk presented by his fleet. The planned supplementary call is 40 per cent.

Yours faithfully

THOS R. MILLER & SON (BERMUDA)

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