Gable Holdings Inc release unaudited interim results for the six months ended 30 June 2006

From: Corvus Capital Inc
Published: Wed Sep 27 2006

Gable Holdings Inc ("Gable" or "the Company" or "the Group", AIM: GAH), the European insurance Group to the building and construction sector announces unaudited interim results for the six months ended 30 June 2006. These results are the first to include revenues from Gable’s insurance company, Gable Insurance AG ("Gable Insurance").

Summary of the Period:
- Gable Insurance started writing its first business in late January offering products to the construction industry in Great Britain and Ireland
- A network comprising over 40 brokers has been established and is growing, from which Gable has received very strong support
- Gable’s internet based quotation system has proved very successful providing one of the lowest fixed cost bases in the industry and provides a scaleable platform as the business grows
- To date Gable Insurance has seen over £85 million of potential business, and quoted over £70 million, both considerably higher than anticipated when trading commenced
- The results for the six months ended 30 June 2006 show gross written premium of £4.1 million, but as this is the first period of account £3.2 million is unearned. Gross earned premium for the period was £0.9 million
- Incurred claims equate to less than 1 per cent of gross written premium
- The Board has prudently reserved a total of 12.5 per cent of premiums earned for unreported and incurred claims
- The net insurance result equates to a profit of approximately 40 per cent (against a market estimate of 20 per cent) on gross earned premium

- In line with management expectations for the first period there was a loss before tax of £43,000

Comment and Outlook:
William Dewsall, Chief Executive, Gable Holdings Inc, said:

"The level of business being offered to the Group has exceeded expectations despite a market which has remained competitive throughout the period. Gable continues to increase the business written in accordance with its stated objective of underwriting profitable business, with reference to prudent risk management."

"The Board is excited with the progress the Group has made over the last six months, in particular, the quality of the insurance book written to date which has provided a solid foundation for the Group going into 2007. As the Group enters the last quarter, which is a key renewal season for the industry, we are confident that we will continue to see an increasing amount of quality business."

Corvus Capital Inc, Andrew Regan’s international investment company, owns 17.06 per cent of the issued ordinary shares in Gable Holdings Inc.

Press Enquiries: John Bick, Tel: 07917 649 362.
Company: Corvus Capital Inc
Contact Name: John Bick
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Contact Phone: +44 (0)7917 649 362

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