Skandia parent company, major South African insurer Old Mutual Plc has replaced its chief executive officer Jim Sutcliffe in the wake of reporting losses totalling around US$290 million and flagging the likelihood of further write-downs.
According to a Bloomberg report, Old Mutual will inject another US$250 million into its Bermuda-based operation, which failed to hedge guarantees on investment products.
It said this year’s profit would fall as Old Mutual took a US$155 million charge against losses in Bermuda and US$135 million for write-downs on preferred shares held in Fannie Mae and Freddie Mac.
Sutcliffe will be replaced by Julian Roberts.
