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EQECAT Selected as Calculation Agent for CME Exchange Traded Hurricane Futures

April 6, 2009

EQECAT has been selected as the calculation agent for the CME Hurricane Index (CHI) hurricanes futures and options. The CHI futures and options allow hurricane risk to be actively traded on the Chicago Mercantile Exchange (CME). Exchange traded options and futures represent a further expansion of the alternatives available for insurers and corporations as they seek sources of contingent risk capital.

EQECAT's deep experience in catastrophe modeling and consulting with clients in the structuring of natural catastrophe bonds and other alternative financial instruments enhance the ability of the CME to tailor new products for this marketplace. EQECAT anticipates that with this collaboration, the CME will be able to offer new and improved CHI contracts that provide the market with high quality risk metrics to price and hedge their risk from insured property losses, both for mainland US onshore and US Gulf of Mexico offshore risks.

EQECAT and its parent ABSG Consulting Inc. (ABS Consulting) serve the global property and casualty insurance industry, major multinational corporations and financial institutions. EQECAT is known as the technical leader and innovator in the development of analysis tools and consulting services to quantify exposure to natural and man-made catastrophic risk.

Through its extreme-risk modeling software platform, WORLDCATenterpriseT, EQECAT enables clients to assess and manage potential damage and loss from wind, earthquake, flood, wildfire, and terrorism, among other perils. WORLDCATenterpriseT includes 177 natural hazard software models for 89 countries spanning six continents.

EQECAT was founded in 1994 and is headquartered in Oakland, California. For additional information, please visit www.absconsulting.com and www.EQECAT.com.

The full press release is here.