NU Online News Service, Nov. 27, 10:57 a.m. – Annuity & Life Re (Holdings) Ltd., Hamilton, Bermuda, is reporting a $13 million net loss for the third quarter on $116 million in revenue, compared with a $5.3 million net loss on $92 million in revenue for the third quarter of 2001.

The net results for the latest quarter include losses on a guaranteed minimum death benefit contract; losses stemming from higher than expected life reinsurance contract death rates; and a $13 million loss on the value of derivatives embedded in the company’s life and annuity reinsurance contracts.

The company’s investments are doing better, and the performance of major, money-losing contracts has stabilized, but the company, which has $2.3 billion in assets, still needs to come up with $210 million in collateral by Dec. 31 to support its operations, the company says.

“The Company will seek to meet or reduce these additional collateral requirements by negotiating the recapture, retrocession, or sale of certain of its reinsurance agreements, by accessing its collateral funding facility and/or by raising capital,” the company says in a statement about the collateral requirements.