Deal amounts to 9.3% of the company’s capitalisation

Aspen has entered into an accelerated share repurchase programme with Goldman Sachs to buy back $200m of its own shares. A substantial majority of the shares will be received and cancelled within the current quarter.

The Bermuda-based reinsurer may be entitled to receive additional ordinary shares from Goldman Sachs based on the average of the daily market prices of its shares during the term of the agreement. The programme is expected to be completed within approximately ten months.

Based on Aspen's closing share price on January 4, 2010, the $200m share repurchase represents approximately 9.3% of the company's total market capitalisation.

The repurchase will be made under the terms of Aspen's share repurchase programme authorised by the Board of Directors and announced on February 6, 2008 and will complete the full amount of that programme. The purchase will be funded with cash on hand and the sale of investment assets. The ordinary shares will be retired once purchased.

Richard Houghton, Chief Financial Officer of Aspen, said: "The accelerated share repurchase programme we have announced today reflects our continued commitment to active capital management including the return of capital to our shareholders where we believe it is in shareholders’ best interests for us to do so. We will continue to manage our capital throughout the year and evaluate options available to us to generate attractive risk adjusted returns for shareholders."