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Condensed Consolidated Statements of Cash Flows (USD $)
In Thousands
9 Months Ended
Sep. 30, 2011
Sep. 30, 2010
CASH FLOWS PROVIDED BY OPERATING ACTIVITIES:  
Net income$ 91,448$ 572,219
Adjustments to reconcile net income to cash provided by operating activities:  
Net realized gains on sales of investments(78,001)(145,700)
Mark to market adjustments61,912(143,650)
Net impairment charges recognized in earnings 168
Stock compensation expense16,91725,177
Insurance balances receivable(77,343)(71,266)
Prepaid reinsurance(31,227)(682)
Reinsurance recoverable(82,055)(19,965)
Accrued investment income7779,760
Net deferred acquisition costs(18,267)(14,479)
Net deferred tax assets(4,081)15,401
Other assets24,65010,797
Reserve for losses and loss expenses366,365128,053
Unearned premiums196,63989,195
Reinsurance balances payable(4,269)(5,690)
Accounts payable and accrued liabilities7,564(27,837)
Other items, net20,476(2,310)
Net cash provided by operating activities491,505419,191
CASH FLOWS (USED IN) PROVIDED BY INVESTING ACTIVITIES:  
Purchases of fixed maturity investments - available for sale(727)(138,918)
Purchases of fixed maturity investments - trading(5,209,039)(8,739,173)
Purchases of equity securities(346,210)(122,929)
Purchases of other invested assets(265,720)(138,249)
Sales of fixed maturity investments - available for sale627,3922,057,431
Sales of fixed maturity investments - trading4,772,5527,583,380
Sales of equity securities69,0285,721
Sales of other invested assets40,1292,858
Purchases of fixed assets(7,792)(7,809)
Change in restricted cash63,120(282,595)
Net cash (used in) provided by investing activities(257,267)219,717
CASH FLOWS USED IN FINANCING ACTIVITIES:  
Dividends paid (28,774)
Dividends paid - par value reduction(14,295) 
Proceeds from the exercise of stock options5,3177,053
Share repurchases(60,000)(415,009)
Repurchase of founder warrants(53,620)(32,819)
Net cash used in financing activities(122,598)(469,549)
Effect of exchange rate changes on foreign currency cash685(261)
NET INCREASE IN CASH AND CASH EQUIVALENTS112,325169,098
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD756,995292,188
CASH AND CASH EQUIVALENTS, END OF PERIOD869,320461,286
Supplemental disclosure of cash flow information:  
- Cash paid for income taxes6,29412,820
- Cash paid for interest expense$ 45,750$ 37,500