As we continue to successfully make our way through turbulent social, political, and environmental waters, I would like to extend my thanks to the Cayman Board for its guidance and calm navigation in these challenging times. It has been a pleasure to serve with you.

Barents Re thrives on risk and volatility. The market has provided plenty of that in recent years but converting risk and volatility into dollar profits is an art form, requiring discipline and daring in equal measure. We have achieved this due to the professionalism of our underwriters and teams around the globe.

Barents Re continues to differentiate itself in terms of its business mix and reliance on pure underwriting results, notably recording its highest levels of profitability at a time when the market has been significantly challenged with losses across various lines. Many market players have penned positive outlooks but have done so while posting negative underwriting results. We are proud to report that 2021 was our most profitable year, topping the excellent returns we achieved in 2020, itself a record year for our company.

Here is a glance at some of the critical factors that have contributed to our success.

• Maintained focus on our core lines of business: avoiding the distractions
• Defined risk appetite: ex USA and ex-critical catastrophe zones
• Consistent leadership
• Pure in-house underwriting: no delegation or MGA’s
• Achieved increased profitability on every core line of business
• Enhanced balance sheet strength: assets have grown to USD 1.2 billion
• Reinvested profits: no dividends
• Improved rate adequacy in our niche areas
• Maintained good standing with our regulator, the Cayman Island Monetary Authority (CIMA)
• Enjoyed retrocession support from highly rated and deeply experienced reinsurers

It is pleasing to recognize our developments on the ESG side of things, where we continue to provide expertise and capacity for green energy projects across the globe and, closer to home, with the recent launch of the Barents Re Scholarships for students here in Cayman.

For 2022 all indications are that the market outlook will continue to be positive. We look forward to developing further our relationship with our business partners and stakeholders. So again, thank you for your support.