Ping An Insurance to report Fortis loss

Ping An Insurance said on Sunday that it would report a loss of US$2.3 billion on its 5% stake in European financial group Fortis, Reuters reported. Ping An, China’s second largest insurer, said the loss would have a material impact on its third-quarter net profit. Ping An originally invested US$3.4 billion in Fortis, which had its Dutch arm nationalized by the Dutch government on Friday in response to the global credit crisis. Despite the loss, Ping An said the company remained strong, with its capital position and solvency margin "solid and sufficient." Ping An last week announced it had cancelled a deal to buy half of Fortis’s asset management arm for US$3 billion.