CNA Financial has completed the previously disclosed transfer of legacy asbestos and environmental pollution liabilities to National Indemnity Company (NICO), a subsidiary of Berkshire Hathaway.
CNA expects to have an after-tax loss of approximately $370m in its third quarter 2010.
CNA chairman and CEO Thomas Motamed said that the transaction fully meets the company’s objectives.
“Effectively eliminating asbestos and pollution reserve risk, and legacy reinsurer dispute and credit risk; enhancing our capital flexibility; and sharpening our focus on ongoing businesses and strategy, Motamed said.