Reliance Debt Relief

A.M. Best reported today that bankers have extended the maturity date of $237.5 million in bank debt owed by Reliance Group Holdings Inc. to Nov. 10 from Aug. 31. Reliance is dealing with the double financial whammy of debt and unprofitable property/casualty operations, posting a second-quarter net loss of $504.5 million with (according to A.M. Best) $735.1 million of debt outstanding and repayment of $529.2 million due this year. In $291.7 million in bond debt comes due Nov. 15. Reliance reportedly is in discussions with its creditors and regulators to develop a 'comprehensive plan' to...