Going forward, we expect the company’s top-line to demonstrate healthy growth following the acquisition of Hilb Rogal and Hobbs Company (HRH) in FY 2008, which has also improved the company’s client retention levels. Growth will be further supported by hardening of premium rates in various classes, partially limited by the weak global economic outlook and some clients opting to reduce coverage. We are encouraged by the company’s strong client retention levels (91% in 4Q 08) and improved productivity (US$16 mn synergies in 4Q 08) arising from the integration of HRH. Although Management expects to realize US$100 mn synergies in FY 2009 and US$140 mn in FY 2010 due to the HRH acquisition, we are concerned about the company’s newly employed long term debt, which will result in higher interest expenses and negatively affect the company’s bottom-line. Overall, our outlook for the company remains neutral.

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