PartnerRe, a provider of multi line reinsurance, has concluded the previously unveiled voluntary severance plan for Paris-based employees related to the company's acquisition of Paris Re in 2009.
According to PartnerRe, it has now completed the integration of all Paris Re employees into its previously unveiled new operating structure. The new structure was fully implemented in order to carry out the July 1, 2010 renewal as a single integrated company.
The company expects to record around $34m, or $0.43 per diluted share, in additional pre-tax expenses in its second quarter 2010 results. The charge also includes all expenses related to voluntary severance plan and it does not expect to initiate additional voluntary or involuntary severance plans.
In addition, the employees participating in voluntary plan have leaving dates over the next 18 months and participating employees will continue to receive salary and other employment benefits until they leave the company. The costs will be expensed over corresponding periods until plan participants remain with the company.