G.T.L. Bullmore and S.L.C. Whicker, partners of KPMG in the Cayman Islands have been appointed as Joint Provisional Liquidators ("JPLs") of National Warranty Insurance RRG ("NWIC").

Whilst Chapter 11 of the US Bankruptcy Code is not available under the Laws of the Cayman Islands, the Provisional Liquidation is a similar process, which enables the JPLs, in conjunction with NWIC, to address NWIC's temporary business difficulties and assess the most suitable route to allow for the continued success of NWIC.

NWIC, incorporated and regulated in the Cayman Islands, has been granted a Provisional Liquidation Order (the "Order") by the Grand Court of the Cayman Islands. The effect of the Order restrains indefinitely any legal action against NWIC from being taken, and provides for:

NWIC to continue to underwrite existing policy renewals; and

NWIC to continue to make claims payments on certain of its books of business.

NWIC have sought the Order to allow it time to resolve certain commercial issues and protect its policyholders whilst allowing it to remain in business.

The JPLs will make further announcements once they have had an opportunity to assess NWIC's situation.