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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION


WASHINGTON, D.C. 20549


FORM 20-F

|  |  |                                                                                                                                                                                           |  |  |  | 
|- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  |  |  | 
|o |  | REGISTRATION STATEMENT PURSUANT TO SECTION
    12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF
    1934                                                                                    |  |  |  | 
|  |  | OR                                                                                                                                                                                        |  |  |  | 
|x |  | ANNUAL REPORT PURSUANT TO SECTION 13 OR
    15(d)
    OF THE SECURITIES EXCHANGE ACT OF 1934
    For the fiscal year ended December 31, 2001                                              |  |  |  | 
|  |  | OR                                                                                                                                                                                        |  |  |  | 
|o |  | TRANSITION REPORT PURSUANT TO SECTION 13 OR
    15(d)
    OF THE SECURITIES EXCHANGE ACT OF 1934
    For the transition period
    from      to      
    Commission file number: 1-14518 |  |  |  | 

SCOR

(Exact name of registrant as specified in its
charter)


|                                                           |  |                                                                          
|---------------------------------------------------------- |  | -------------------------------------------------------------------------
|N/A(Translation of
    registrants
    name into English) |  | The Republic of France(Jurisdiction of incorporation
    or organization)




1, Avenue du Général de Gaulle,
92074 Paris-La Défense Cedex, France

(Address of principal executive
offices)




---

Securities registered or to be registered
pursuant to Section 12(b) of the Act:

|                                                                                                                        |  |                                          
|----------------------------------------------------------------------------------------------------------------------- |  | -----------------------------------------
|Title of each class                                                                                                     |  | Name of each exchange on which registered
|                                                                                                                        |  |                                          
|American Depositary Shares (as evidenced
    by American Depositary Receipts), each
    representing one Ordinary Share |  | New York Stock Exchange                  
|                                                                                                                       
|Ordinary Shares, no par value*                                                                                          |  | New York Stock Exchange                  



|  |                                                                                                                                                                        
|- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------
|* | Not for trading, but only in connection with the
    listing of American Depositary Shares, pursuant to the
    requirements of the Securities and Exchange Commission.




Securities registered or to be registered
pursuant to Section 12(g) of the Act:

None



---

Securities for which there is a reporting
obligation pursuant to Section 15(d) of the Act:

None



---

Indicate the number of outstanding shares of each
of the issuers class of capital or common stock as of the
close of the period covered by the annual report:

41,244,216 Ordinary Shares, including 273,950
American Depositary Shares (as evidenced by American Depositary
Receipts), each representing one Ordinary Share.



---

Indicate by check mark whether the registrant
(1) has filed all reports required to be filed by
Section 13 or 15(d) of the Securities Exchange Act of 1934
during the preceding 12 months (or for such shorter period
that the registrant was required to file such reports), and
(2) has been subject to such filing requirement for the
past 90 days.

x  Yes       o  No


Indicate by check mark which financial statement
item the registrant has elected to follow:

o  Item 17       x  Item 18



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##### Table of Contents



In this Annual Report on Form 20-F, the term
the Company refers to SCOR and the terms
SCOR and the Group, or we,
us and our refer to the Company together
with its consolidated subsidiaries.

On January 1, 1999, the euro was introduced
as the common legal currency of the member states of the
European Economic and Monetary Union, including France. SCOR has
adopted the euro as the reporting currency in its consolidated
financial statements and translated into euro all amounts
previously stated in French francs at the fixed exchange rate
for French francs to euro (6.55957 French
francs = 1 euro). Although these statements
depict the same trends as would have been shown had the Company
presented them in French francs, the reader should be aware that
they may not be directly comparable to the financial statements
of other companies that have also been restated in euro. Prior
to the adoption of the euro, the currencies of other countries
fluctuated against the French franc, but because the euro did
not exist prior to January 1, 1999, historical exchange
rates for euro are not available. A comparison between the
Companys financial statements and those of another company
that had historically used a reporting currency other than the
French franc that takes into account actual fluctuations in
exchange rates could give a much different impression than a
comparison between SCORs financial statements and those of
another company as translated into euro.

As used herein, references to EUR is
to euro and references to dollars, USD
or $ are to U.S. dollars. For your convenience,
this annual report contains translations of certain euro amounts
into dollars at the rate of USD 0.8877 per EUR 1.00, the noon
buying rate in New York for cable transfers in euro as certified
for customs purposes by the Federal Reserve Bank of New York
(the Noon Buying Rate) on April 22, 2002. See
Item 3  Selected Financial Data for
certain historical information regarding the Noon Buying Rate.

CAUTIONARY STATEMENT WITH RESPECT TO
FORWARD-LOOKING STATEMENTS

This annual report contains statements that
constitute forward-looking statements within the
meaning of Section 27A of the U.S. Securities Act of
1933, as amended, and Section 21E of the
U.S. Securities Exchange Act of 1934, as amended. In
addition, other written or oral statements, which constitute
forward-looking statements, have been made and may in the future
be made by or on behalf of SCOR.

In this annual report, such forward-looking
statements include, without limitation, statements relating to:



| |    |                                                                                                                                                                    
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 1. | the implementation of strategic initiatives,
    including the update of information systems,                                                                      
|
| | 2. | changes in premium revenues,                                                                                                                                       
|
| | 3. | changes in the balance of lines and class of
    business, including the development of alternative risk transfer
    activities and of personal lines reinsurance,
|
| | 4. | the development of revenues overall and within
    specific business areas,                                                                                        
|
| | 5. | the development of expenses, including
    Property-Casualty expenses,                                                                                             
|
| | 6. | the market risks associated with interest and
    exchange rates, and                                                                                              
|
| | 7. | other statements relating to SCORs future
    business development and economic performance.                                                                      

The words anticipate,
believe, expect, estimate,
intend, plan and similar expressions
identify certain of these forward-looking statements. Readers
are cautioned not to put undue reliance on forward-looking
statements because actual events and results may differ
materially from the expected results described by such
forward-looking statements.

Many factors may influence SCORs actual
results and cause them to differ materially from expected
results as described in forward-looking statements. Such factors
include:



| |   |                                                                                                    
| | - | ---------------------------------------------------------------------------------------------------
| |  | the frequency and severity of insured loss
    events, including natural and man-made catastrophes,
|
| |  | mortality and morbidity levels and trends,                                                         
|
| |  | persistency levels,                                                                                

2



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| |   |                                                                                                                       
| | - | ----------------------------------------------------------------------------------------------------------------------
| |  | interest rate levels,                                                                                                 
|
| |  | currency exchange rates, including the
    euro  U.S. dollar exchange rate,                                          
|
| |  | increasing levels of competition in France,
    Europe, North America and other international reinsurance
    markets,
|
| |  | changes in laws and regulations,                                                                                      
|
| |  | general competitive factors, in each case on a
    global, national and/or regional basis.                            

SCOR disclaims any intention or obligation to
update and revise any forward-looking statements, whether as a
result of new information, future events or otherwise. See
Item 3.D  Risk Factors for certain
risks that may affect the Groups results.

3



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TABLE OF CONTENTS



|                                      |                                                                                       |                                                            |  |  |  |  |  | 
|------------------------------------- | ------------------------------------------------------------------------------------- | ---------------------------------------------------------- |  |  |  |  |  | 
|PART I                               
|                                      | Item 1. Identity of Directors, Senior Management and Advisers                        
|                                      | Item 2. Offer Statistics and Expected Timetable                                      
|                                      | Item 3. Key Information                                                              
|                                      |                                                                                       | A. SELECTED FINANCIAL DATA                                
|                                      |                                                                                       | B. CAPITALIZATION AND INDEBTEDNESS                        
|                                      |                                                                                       | C. REASONS FOR THE OFFER AND USE OF PROCEEDS              
|                                      |                                                                                       | D. RISK FACTORS                                           
|                                      | Item 4. Information on the Company                                                   
|                                      |                                                                                       | A. HISTORY AND DEVELOPMENT OF THE COMPANY                 
|                                      |                                                                                       | B. BUSINESS OVERVIEW                                      
|                                      |                                                                                       | C. ORGANIZATIONAL STRUCTURE                               
|                                      |                                                                                       | D. PROPERTY, PLANTS AND EQUIPMENT                         
|                                      | Item 5. Operating and Financial Review and Prospects                                 
|                                      |                                                                                       | A. OPERATING RESULTS                                      
|                                      |                                                                                       | B. LIQUIDITY AND CAPITAL RESOURCES                        
|                                      |                                                                                       | C. RESEARCH AND DEVELOPMENT, PATENTS, LICENSES            
|                                      |                                                                                       | D. TREND INFORMATION                                      
|                                      |                                                                                       | E. CRITICAL ACCOUNTING POLICIES                           
|                                      | Item 6. Directors, Senior Management and Employees                                   
|                                      |                                                                                       | A. DIRECTORS AND SENIOR MANAGEMENT                        
|                                      |                                                                                       | B. COMPENSATION                                           
|                                      |                                                                                       | C. BOARD PRACTICES                                        
|                                      |                                                                                       | D. EMPLOYEES                                              
|                                      |                                                                                       | E. SHARE OWNERSHIP                                        
|                                      | Item 7. Major Shareholders and Related Party Transactions                            
|                                      |                                                                                       | A. MAJOR SHAREHOLDERS                                     
|                                      |                                                                                       | B. RELATED PARTY TRANSACTIONS                             
|                                      |                                                                                       | C. INTERESTS OF EXPERTS AND COUNSEL                       
|                                      | Item 8. Financial Information                                                        
|                                      |                                                                                       | A. CONSOLIDATED STATEMENTS AND OTHER FINANCIAL INFORMATION
|                                      |                                                                                       | B. SIGNIFICANT CHANGES                                    
|                                      | Item 9. The Offer and Listing                                                        
|                                      |                                                                                       | A. OFFER AND LISTING DETAILS                              
|                                      |                                                                                       | B. PLAN OF DISTRIBUTION                                   
|                                      |                                                                                       | C. MARKETS                                                
|                                      |                                                                                       | D. SELLING SHAREHOLDERS                                   
|                                      |                                                                                       | E. DILUTION                                               
|                                      |                                                                                       | F. EXPENSES OF THE ISSUE                                  
|                                      | Item 10. Additional Information                                                      
|                                      |                                                                                       | A. SHARE CAPITAL                                          
|                                      |                                                                                       | B. MEMORANDUM AND ARTICLES OF ASSOCIATION                 
|                                      |                                                                                       | C. MATERIAL CONTRACTS                                     
|                                      |                                                                                       | D. EXCHANGE CONTROLS                                      
|                                      |                                                                                       | E. TAXATION                                               
|                                      |                                                                                       | F. DIVIDENDS AND PAYING AGENTS                            
|                                      |                                                                                       | G. STATEMENT BY EXPERTS                                   
|                                      |                                                                                       | H. DOCUMENTS ON DISPLAY                                   
|                                      |                                                                                       | I. SUBSIDIARY INFORMATION                                 
|                                      | Item 11. Quantitative and Qualitative Disclosures About Market Risk                  
|                                      | Item 12. Description of Securities Other than Equity Securities                      
|PART II                              
|                                      | Item 13. Default, Dividend Arrearages and Delinquencies                              
|                                      | Item 14. Material Modifications to the Rights of Security Holders and Use of Proceeds
|                                      | Item 15. [Reserved]                                                                  
|                                      | Item 16. [Reserved]                                                                  
|PART III                             
|                                      | Item 17. Financial Statements                                                        
|                                      | Item 18. Financial Statements                                                        
|                                      | Item 19. Exhibits                                                                    
|                                      | Consolidated Financial Statements and Schedules                                      
|EX-99.1: GLOSSARY OF SELECTED TERMS  
|EX-99.2: TRANSLATION OF SCOR'S STATUS



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Table of Contents

|                                                |  |                                                                                  |  |      |    | 
|----------------------------------------------- |  | -------------------------------------------------------------------------------- |  | ---- | -- | 
|                                                |  |                                                                                  |  | Page
|                                                |  |                                                                                  |  |     
|PART I                                          |  |                                                                                  |  |     
|Item 1.                                         |  | Identity of Directors, Senior Management and
    Advisers                        |  |      | 5  | 
|Item 2.                                         |  | Offer Statistics and Expected Timetable                                          |  |      | 5  | 
|Item 3.                                         |  | Key Information                                                                  |  |      | 5  | 
|                                                |  | Selected financial data                                                          |  |      | 5  | 
|                                                |  | Risk factors                                                                     |  |      | 9  | 
|Item 4.                                         |  | Information on the Company                                                       |  |      | 11 | 
|                                                |  | History and development of the Company                                           |  |      | 11 | 
|                                                |  | Business overview                                                                |  |      | 12 | 
|                                                |  | Organizational structure                                                         |  |      | 40 | 
|                                                |  | Property, plants and equipment                                                   |  |      | 41 | 
|Item 5.                                         |  | Operating and Financial Review and Prospects                                     |  |      | 42 | 
|                                                |  | Operating results                                                                |  |      | 42 | 
|                                                |  | Liquidity and capital resources                                                  |  |      | 49 | 
|                                                |  | Research and Development, patents, licenses                                      |  |      | 51 | 
|                                                |  | Trend information                                                                |  |      | 51 | 
|                                                |  | Critical Accounting Policies                                                     |  |      | 51 | 
|Item 6.                                         |  | Directors, Senior Management and Employees                                       |  |      | 54 | 
|Item 7.                                         |  | Major Shareholders and Related Party Transactions                                |  |      | 60 | 
|Item 8.                                         |  | Financial Information                                                            |  |      | 61 | 
|Item 9.                                         |  | The Offer and Listing                                                            |  |      | 62 | 
|Item 10.                                        |  | Additional Information                                                           |  |      | 66 | 
|Item 11.                                        |  | Quantitative and Qualitative Disclosures About
    Market Risk                   |  |      | 81 | 
|Item 12.                                        |  | Description of Securities Other than Equity
    Securities                       |  |      | 84 | 
|PART II                                         |  |                                                                                  |  |     
|Item 13.                                        |  | Defaults, Dividend Arrearages and Delinquencies                                  |  |      | 85 | 
|Item 14.                                        |  | Material Modifications to the Rights of Security
    Holders and Use of Proceeds |  |      | 85 | 
|Item 15.                                        |  | [Reserved]                                                                       |  |      | 85 | 
|Item 16.                                        |  | [Reserved]                                                                       |  |      | 85 | 
|PART III                                        |  |                                                                                  |  |     
|Item 17.                                        |  | Financial Statements                                                             |  |      | 86 | 
|Item 18.                                        |  | Financial Statements                                                             |  |      | 86 | 
|Item 19.                                        |  | Exhibits                                                                         |  |      | 86 | 
|Consolidated Financial Statements and Schedules |  | F-1  F-42 andS-1  S-5                                                         
|                                               
|Signature                                       |  |                                                                                  |  |     

4



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##### Table of Contents






PART I




Item 1. Identity of Directors,
Senior Management and Advisers

Not applicable.




Item 2. Offer Statistics and
Expected Timetable

Not applicable.




Item 3. Key Information






A. SELECTED FINANCIAL DATA


Currency Translations And Exchange
Rates:

Since the euro did not exist prior to
January 1, 1999, exchange rates between the euro and the
U.S. dollar for the periods shown in the Groups
consolidated financial statements and in the other financial
information discussed in this annual report cannot be presented.
Our functional currency during those periods was the French
franc. In order that you may ascertain how the trends in our
financial results might have appeared had they been expressed in
U.S. dollars, the table below shows the high, low, average
and period end Noon Buying Rates for the French franc per
U.S. dollar for 1997 and 1998:

|                        |  |      |      |     |  |         |      |        |  |  |      |  |  |  |      | 
|----------------------- |  | ---- | ---- | --- |  | ------- | ---- | ------ |  |  | ---- |  |  |  | ---- | 
|                        |  |      |      |     |  | Average |      | End of
|Year Ended December 31, |  | High |      | Low |  | Rate(1) |      | Period
|                        |  |      |      |     |  |         |      |       
|1997                    |  |      | 6.35 |     |  |         | 5.19 |        |  |  | 5.85 |  |  |  | 6.02 | 
|1998                    |  |      | 6.21 |     |  |         | 5.39 |        |  |  | 5.90 |  |  |  | 5.59 | 






|    |                                                                                                            
|--- | -----------------------------------------------------------------------------------------------------------
|(1) | The average of the Noon Buying Rates on the last
    business day of each month during the relevant period.

The following table sets forth, for the periods
indicated, the high, low, average and end of period Noon Buying
Rates, expressed in U.S. dollars per euro:

|                           |                             |                                 |      |      |  |         |      |        |  |  |      |  |  |  |      |  | 
|-------------------------- | --------------------------- | ------------------------------- | ---- | ---- |  | ------- | ---- | ------ |  |  | ---- |  |  |  | ---- |  | 
|                           |                             |                                 |      |      |  | Average |      | End of
|Year Ended December 31,    |                             | High                            |      | Low  |  | Rate(1) |      | Period
|                           |                             |                                 |      |      |  |         |      |       
|                           |                             |                                
|                           |                             | Value of 1 euro in U.S. dollars
|1999                       |                             |                                 | 1.18 |      |  |         | 1.00 |        |  |  | 1.06 |  |  |  | 1.01 | 
|2000                       |                             |                                 | 1.03 |      |  |         | 0.83 |        |  |  | 0.92 |  |  |  | 0.94 | 
|2001                       |                             |                                 | 0.95 |      |  |         | 0.83 |        |  |  | 0.89 |  |  |  | 0.89 | 
|                           | November                    |                                 |      | 0.90 |  |         |      | 0.88   |  |  |      |  |  |  |      |  | 
|                           | December                    |                                 |      | 0.90 |  |         |      | 0.88   |  |  |      |  |  |  |      |  | 
|2002 (through April 22)(2) |                             |                                 | 0.90 |      |  |         | 0.86 |        |  |  | 0.88 |  |  |  | 0.89 | 
|                           | January                     |                                 |      | 0.90 |  |         |      | 0.86   |  |  |      |  |  |  |      |  | 
|                           | February                    |                                 |      | 0.88 |  |         |      | 0.86   |  |  |      |  |  |  |      |  | 
|                           | March                       |                                 |      | 0.88 |  |         |      | 0.87   |  |  |      |  |  |  |      |  | 
|                           | April (through April 22)(2) |                                 |      | 0.89 |  |         |      | 0.88   |  |  |      |  |  |  |      |  | 






|    |                                                                                                                                                                                                                                 
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | The average of the Noon Buying Rates on the last
    business day of each month during the relevant period, except
    for the month of April 2002 where April 22, 2002 has been
    used in place of the last day of the month.
|   
|(2) | The Noon Buying Rate on April 22, 2002 was
    USD 0.8877 per EUR 1.00.                                                                                                                                                         

SCOR prepares and publishes its financial
statements in euro. Because a substantial portion of the
Groups revenues and expenses is denominated in dollars and
other currencies, SCOR has a financial reporting translation
exposure attributable to fluctuations in the value of these
currencies against the euro.

See also Item 5  Operating
and Financial Review and Prospects for information
regarding the effects of currency fluctuations on the
Groups results.

5



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Fluctuations in the exchange rate between the
euro and the dollar will affect the dollar amounts received by
holders of ADRs on conversion by the Depositary of dividends
paid in euro on the Ordinary Shares represented by the ADSs.

Selected U.S. GAAP Consolidated Financial
Data

The following selected financial data are derived
from the consolidated financial statements of SCOR, which have
been audited by Ernst & Young Audit, independent auditors,
except for the financial statements of:



| |   |                                                                                                                                                                                                                                                                                                                                                                           
| | - | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | SCOR Italia, a wholly-owned subsidiary, which
    financial statements reflect total assets constituting 6% in
    1998 and 5% in 1997, and total revenues constituting 4% in 1998
    and 6% in 1997, of the related consolidated totals,                                                                                                                                
|
| |  | SCOR Deutschland, a 99%-owned subsidiary, for the
    years ended December 31, 1998 and prior, which financial
    statements reflect total assets constituting 6% in 1998 and 1997
    and total revenues constituting 6% in 1998 and 8% in 1997, of
    the related consolidated totals; and                                                                            
|
| |  | Commercial Risk Partners Limited, a 96%-ownded
    subsidiary, for the years ended December 31, 2000 and
    prior, which financial statements reflect total assets
    constituting 10% in 2000, 9% in 1999, 7% in 1998 and 5% in 1997,
    and total revenues constituting 20% in 2000, 15% in 1999, 11% in
    1998 and 6% in 1997, of the related consolidated totals,

which were in each case audited by other
independent auditors.

The selected consolidated financial data should
be read in conjunction with the Companys Consolidated
Financial Statements, related Notes and other financial
information appearing elsewhere herein and in
Item 5  Operating and Financial Review and
Prospects.

The Company has adopted the euro as the reporting
currency in its consolidated financial statements and translated
all French francs amounts at the fixed exchange rate for French
francs to euro (6.55957 French francs = 1 euro). The dollar
amounts presented in the table below have been translated solely
for convenience at the Noon Buying Rate on April 22, 2002,
which was USD 0.8877 per EUR 1.00.

6



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SELECTED U.S. GAAP CONSOLIDATED FINANCIAL
DATA(1)

|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |       |       |  
|----------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------------------------------------- | ----------------------------------------------------------------------------------------------------------------- | ------ | ----- | ----- | ----- | ------ | ----- | ----- | ----- | ------ | ---------- | ----- |  | ------ | ----- | ----- |  | ------ | ------ | ----- | - | ------ | ----- | ----- | -
|                                                                        |                                                                                                                                    |                                                                                                                  
|                                                                        |                                                                                                                                    | Year ended December 31,                                                                                          
|                                                                        |                                                                                                                                    |                                                                                                                  
|                                                                        |                                                                                                                                    |                                                                                                                   |        | 2001 
|                                                                        |                                                                                                                                    | 1997                                                                                                              |        | 1998  |       | 1999  |        | 2000  |       | 2001  |        | Translated
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |           
|                                                                        |                                                                                                                                    | (EUR)                                                                                                             |        | (EUR) |       | (EUR) |        | (EUR) |       | (EUR) |        | (USD)     
|                                                                        |                                                                                                                                    |                                                                                                                  
|                                                                        |                                                                                                                                    | (millions, except per share amounts)                                                                             
|Income Statement data                                                   |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|Gross premiums written                                                  |                                                                                                                                    |                                                                                                                   | 2,334  |       |       |       | 2,425  |       |       |       | 2,760  |            |       |  | 3,355  |       |       |  | 4,429  |        |       |   | 3,932  |      
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|Net premiums written                                                    |                                                                                                                                    |                                                                                                                   | 2,093  |       |       |       | 2,156  |       |       |       | 2,457  |            |       |  | 2,878  |       |       |  | 3,720  |        |       |   | 3,302  |      
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|Net Premiums earned                                                     |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Life (net of premiums ceded totaling 41, 59, 63,
    109 and 101)                                                                  |                                                                                                                   |        | 258   |       |       |        | 282   |       |       |        | 343        |       |  |        | 396   |       |  |        | 546    |       |   |        | 485   |      
|                                                                        | Property-casualty (net of premiums ceded totaling
    208, 238, 235, 360 and 547)                                                  |                                                                                                                   |        | 1,788 |       |       |        | 1,846 |       |       |        | 2,019      |       |  |        | 2,281 |       |  |        | 3,107  |       |   |        | 2,758 |      
|Net investment income                                                   |                                                                                                                                    |                                                                                                                   | 242    |       |       |       | 250    |       |       |       | 236    |            |       |  | 287    |       |       |  | 347    |        |       |   | 308    |      
|Net realized gains on investments                                       |                                                                                                                                    |                                                                                                                   | 74     |       |       |       | 149    |       |       |       | 143    |            |       |  | 413    |       |       |  | 10     |        |       |   | 9      |      
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        |                                                                                                                                    | Total revenues                                                                                                    |        |       | 2,362 |       |        |       | 2,527 |       |        |            | 2,741 |  |        |       | 3,377 |  |        |        | 4,010 |   |        |       | 3,560 |  
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|Expenses                                                                |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Life claims (net of reinsurance recoveries
    totaling 32, 33, 42, 63 and 90)                                                     |                                                                                                                   |        | 204   |       |       |        | 189   |       |       |        | 239        |       |  |        | 283   |       |  |        | 451    |       |   |        | 400   |      
|                                                                        | Property-casualty claims and loss adjustment
    expenses (net of reinsurance recoveries totaling 75, 180, 191,
    381 and 1,051) |                                                                                                                   |        | 1,265 |       |       |        | 1,400 |       |       |        | 1,552      |       |  |        | 2,204 |       |  |        | 2,962  |       |   |        | 2,629 |      
|                                                                        | Pre-tax catastrophe losses and loss adjustment
    expenses, net of reinsurance(2)                                                 |                                                                                                                   |        | 19    |       |       |        | 55    |       |       |        | 134        |       |  |        |      |       |  |        | 215    |       |   |        | 191   |      
|                                                                        | Policy acquisition costs and commissions                                                                                           |                                                                                                                   |        | 496   |       |       |        | 547   |       |       |        | 552        |       |  |        | 661   |       |  |        | 848    |       |   |        | 753   |      
|                                                                        | Underwriting and administration expenses                                                                                           |                                                                                                                   |        | 123   |       |       |        | 132   |       |       |        | 142        |       |  |        | 162   |       |  |        | 209    |       |   |        | 186   |      
|                                                                        | Foreign exchange loss (gain), net                                                                                                  |                                                                                                                   |        | (1    | )     |       |        | 5     |       |       |        | 21         |       |  |        | 18    |       |  |        | (8     | )     |   |        | (7    | )    
|                                                                        | Amortization of goodwill                                                                                                           |                                                                                                                   |        | 12    |       |       |        | 13    |       |       |        | 14         |       |  |        | 15    |       |  |        | 17     |       |   |        | 15    |      
|                                                                        | Other operating expenses (income), net                                                                                             |                                                                                                                   |        | 19    |       |       |        | 6     |       |       |        | (4         | )     |  |        | 16    |       |  |        | (1     | )     |   |        | (1    | )    
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        |                                                                                                                                    | Total expenses                                                                                                    |        |       | 2,137 |       |        |       | 2,347 |       |        |            | 2,650 |  |        |       | 3,359 |  |        |        | 4,693 |   |        |       | 4,166 |  
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        |                                                                                                                                    | Income (loss) before taxes, minority interests
    and income from investments accounted for by the equity method |        |       | 225   |       |        |       | 180   |       |        |            | 91    |  |        |       | 18    |  |        |        | (683  | ) |        |       | (606  | )
|Income tax                                                              |                                                                                                                                    |                                                                                                                   | (86    | )     |       |       | (53    | )     |       |       | (23    | )          |       |  | 57     |       |       |  | 273    |        |       |   | 242    |      
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Income (loss) before minority interests and
    income from investments accounted for by the equity method                         |                                                                                                                   |        | 139   |       |       |        | 127   |       |       |        | 68         |       |  |        | 75    |       |  |        | (410   | )     |   |        | (364  | )    
|Minority interest                                                       |                                                                                                                                    |                                                                                                                   | (5     | )     |       |       | (7     | )     |       |       | (2     | )          |       |  | (1     | )     |       |  | (1     | )      |       |   | (1     | )    
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Income (loss) before income from investments
    accounted for by the equity method                                                |                                                                                                                   |        | 134   |       |       |        | 120   |       |       |        | 66         |       |  |        | 74    |       |  |        | (411   | )     |   |        | (365  | )    
|Income from investments accounted for by the
    equity method          |                                                                                                                                    |                                                                                                                   | 10     |       |       |       | 25     |       |       |       | 23     |            |       |  | 3      |       |       |  | 4      |        |       |   | 4      |      
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Income (loss) before cumulative effect of change
    in accounting principles                                                      |                                                                                                                   |        | 144   |       |       |        | 145   |       |       |        | 89         |       |  |        | 77    |       |  |        | (407   | )     |   |        | (361  | )    
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Cumulative effect of change in accounting
    principles, net of income taxes                                                      |                                                                                                                   |        |      |       |       |        |      |       |       |        |           |       |  |        |      |       |  |        | 42     |       |   |        | 37    |      
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Net income (loss)                                                                                                                  |                                                                                                                   |        | 144   |       |       |        | 145   |       |       |        | 89         |       |  |        | 77    |       |  |        | (365   | )     |   |        | (324  | )    
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Net income per Ordinary Share, basic                                                                                               |                                                                                                                   |        | 5.20  |       |       |        | 4.08  |       |       |        | 2.70       |       |  |        | 2.44  |       |  |        | (10.74 | )     |   |        | (9.48 | )    
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Net income per Ordinary Share,
    diluted(3)                                                                                      |                                                                                                                   |        | 3.97  |       |       |        | 3.98  |       |       |        | 2.58       |       |  |        | 2.27  |       |  |        | (9.40  | )     |   |        | (8.30 | )    
|                                                                        |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|Balance sheet data (at end of year)                                     |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|Total investments and cash                                              |                                                                                                                                    |                                                                                                                   | 4,598  |       |       |       | 4,510  |       |       |       | 5,113  |            |       |  | 7,402  |       |       |  | 9,017  |        |       |   | 8,004  |      
|Total assets                                                            |                                                                                                                                    |                                                                                                                   | 7,651  |       |       |       | 7,793  |       |       |       | 9,385  |            |       |  | 12,776 |       |       |  | 16,933 |        |       |   | 15,031 |      
|Property-Casualty                                                       |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Loss and LAE reserves, gross                                                                                                       |                                                                                                                   |        | 3,723 |       |       |        | 3,942 |       |       |        | 4,774      |       |  |        | 5,575 |       |  |        | 8,365  |       |   |        | 7,426 |      
|                                                                        | Loss and LAE reserves, net                                                                                                         |                                                                                                                   |        | 3,417 |       |       |        | 3,606 |       |       |        | 4,353      |       |  |        | 5,068 |       |  |        | 6,917  |       |   |        | 6,140 |      
|                                                                        | Unearned premium reserves, gross                                                                                                   |                                                                                                                   |        | 767   |       |       |        | 729   |       |       |        | 919        |       |  |        | 1,226 |       |  |        | 1,665  |       |   |        | 1,478 |      
|                                                                        | Unearned premium reserves, net                                                                                                     |                                                                                                                   |        | 644   |       |       |        | 638   |       |       |        | 812        |       |  |        | 1,097 |       |  |        | 1,411  |       |   |        | 1,253 |      
|Life                                                                    |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Reserve for future policy benefits, gross                                                                                          |                                                                                                                   |        | 702   |       |       |        | 708   |       |       |        | 824        |       |  |        | 2,468 |       |  |        | 2,601  |       |   |        | 2,309 |      
|                                                                        | Reserve for future policy benefits, net                                                                                            |                                                                                                                   |        | 635   |       |       |        | 650   |       |       |        | 761        |       |  |        | 1,798 |       |  |        | 1,953  |       |   |        | 1,734 |      
|Total liabilities                                                       |                                                                                                                                    |                                                                                                                   | 6,144  |       |       |       | 6,286  |       |       |       | 8,044  |            |       |  | 11,381 |       |       |  | 15,623 |        |       |   | 13,869 |      
|Shareholders equity                                                    |                                                                                                                                    |                                                                                                                   | 1,507  |       |       |       | 1,507  |       |       |       | 1,341  |            |       |  | 1,395  |       |       |  | 1,310  |        |       |   | 1,163  |      
|Book value per Ordinary Share                                           |                                                                                                                                    |                                                                                                                   | 55     |       |       |       | 42     |       |       |       | 42     |            |       |  | 44     |       |       |  | 35     |        |       |   | 31     |      
|Number of Ordinary Shares outstanding at
    December 31 (in thousands) |                                                                                                                                    |                                                                                                                   | 35,823 |       |       |       | 34,357 |       |       |       | 34,629 |            |       |  | 34,794 |       |       |  | 41,244 |        |       |   | 41,244 |      
|Certain financial ratios and operating
    data                         |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|Property-Casualty                                                       |                                                                                                                                    |                                                                                                                   |        |       |       |       |        |       |       |       |        |            |       |  |        |       |       |  |        |        |       |   |        |      
|                                                                        | Loss ratio(4)                                                                                                                      |                                                                                                                   |        | 72    | %     |       |        | 79    | %     |       |        | 83         | %     |  |        | 96    | %     |  |        | 102    | %     |   |        | 102   | %    
|                                                                        | Expense ratio(5)                                                                                                                   |                                                                                                                   |        | 32    | %     |       |        | 32    | %     |       |        | 31         | %     |  |        | 29    | %     |  |        | 29     | %     |   |        | 29    | %    
|                                                                        | Combined ratio                                                                                                                     |                                                                                                                   |        | 104   | %     |       |        | 111   | %     |       |        | 114        | %     |  |        | 125   | %     |  |        | 132    | %     |   |        | 132   | %    
|                                                                        | Effect of catastrophe losses on Property-Casualty
    combined ratio                                                               |                                                                                                                   |        | 1     | %     |       |        | 3     | %     |       |        | 6          | %     |  |        |      |       |  |        | 7      | %     |   |        | 7     | %    






|    |                                                                                                                                                                
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Amounts have been restated from the prior
    reporting currency, French franc, to euro, using the fixed
    exchange rate of 6.55957 French francs = one euro.

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|    |                                                                                                                                                                            
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(2) | A catastrophe is defined by the Company as an
    event involving multiple insured risks and causing pre-tax
    losses net of reinsurance of EUR 10 million or more.      
|   
|(3) | Includes assumption of full conversion of the
    Companys Convertible Bonds into Ordinary Shares. See
    Note 6 of Notes to Consolidated Financial Statements.          
|   
|(4) | Loss ratios are calculated on the basis of
    aggregate losses and LAE expressed as a percentage of net
    premiums earned.                                              
|   
|(5) | Expense ratios are calculated on the basis of
    underwriting expenses (including allocated non-commission
    expenses) expressed as a percentage of net premiums earned.

Dividends

The payment and amount of dividends on
outstanding Ordinary Shares are subject to the recommendation of
the Companys Board of Directors and the approval by the
Companys shareholders at an ordinary general meeting. The
Board of Directors also recommends, and the Companys
shareholders determine at the annual general meeting, the
portion, if any, of the annual dividend that each shareholder
will have the option to receive in Ordinary Shares. Since 1996,
dividends have been paid entirely in cash. Future dividends will
depend on the Companys earnings, financial condition and
other factors. See Item 10.D  Exchange
controls.

Under French law and the Companys
statuts, net income in each fiscal year (after deduction
for depreciation and reserves), as increased or reduced, as the
case may be, by any profit or loss of the Company carried
forward from prior years, less any contributions to legal
reserves, is available for distribution to the shareholders of
the Company as dividends, subject to other applicable
requirements of French law and the Companys statuts.

Dividends paid to holders of ADSs are converted
from euro to U.S. dollars, subject to a charge by the
Depositary for any expenses incurred by the Depositary in such
conversion. See Item 10.E  Taxation
for a summary of certain French and U.S. federal tax
consequences to holders of ADSs and Ordinary Shares.

Dividends for each year are paid in the year
following the approval of such dividend at the annual meeting of
shareholders (generally held in April or May). The total
dividends paid with and without the French avoir fiscal
and before deduction of any French withholding tax for each of
the five years ended December 31, are as follows:

|        |  |             |        |              |  |                 |      |              |  |                    |      |  |  |  |      |  |  |  |      | 
|------- |  | ----------- | ------ | ------------ |  | --------------- | ---- | ------------ |  | ------------------ | ---- |  |  |  | ---- |  |  |  | ---- | 
|        |  |             |        |              |  | Dividend per    |      |              |  |                   
|        |  |             |        | Dividend per |  | Ordinary        |      |              |  | Dividend per      
|        |  | Ordinary    |        | Ordinary     |  | Share including |      | Dividend per |  | ADS including     
|        |  | Shares      |        | Share        |  | Avoir Fiscal(1) |      | ADS(2)       |  | Avoir Fiscal(1)(2)
|        |  |             |        |              |  |                 |      |              |  |                   
|        |  | (Thousands) |        | (EUR)        |  | (EUR)           |      | (USD)        |  | (USD)             
|1997    |  |             | 35,823 |              |  |                 | 1.52 |              |  |                    | 2.29 |  |  |  | 1.68 |  |  |  | 2.52 | 
|1998    |  |             | 34,357 |              |  |                 | 1.70 |              |  |                    | 2.55 |  |  |  | 1.76 |  |  |  | 2.64 | 
|1999    |  |             | 34,629 |              |  |                 | 1.70 |              |  |                    | 2.55 |  |  |  | 1.63 |  |  |  | 2.45 | 
|2000    |  |             | 34,794 |              |  |                 | 1.70 |              |  |                    | 2.55 |  |  |  | 1.52 |  |  |  | 2.28 | 
|2001(3) |  |             | 41,244 |              |  |                 | 0.30 |              |  |                    | 0.45 |  |  |  | 0.27 |  |  |  | 0.40 | 






|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Any payment equivalent to the French avoir fiscal
    or tax credit, less applicable French withholding tax, will be
    made only following receipt by the French tax administration of
    a claim of such payment, and is generally not expected to be
    paid until after the close of the calendar year in which the
    respective dividends are paid. Certain holders of Ordinary
    Shares or ADSs will not be entitled to payments of avoir
    fiscal. See Item 10.E  Taxation.                                                         
|   
|(2) | Solely for convenience, the dividend per Ordinary
    Share amounts have been translated from the French francs or
    euro actually paid into U.S. dollars at the Noon Buying
    Rates. For convenience only, avoir fiscal amounts have
    been translated from the French francs or euro actually paid
    into U.S. dollars at the Noon Buying Rates. The Noon Buying
    Rate may differ from the rate that may be used by the Depositary
    to convert French francs or euro to dollars for purposes of
    making payments to holders of ADSs.
|   
|(3) | As approved by the April 18, 2002 ordinary
    and extraordinary shareholders meeting. Paid on
    May 2, 2002.                                                                                                                                                                                                                                                                                                                                                                                                                                       

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B. CAPITALIZATION AND
INDEBTEDNESS

Not applicable.




C. REASONS FOR THE OFFER AND USE OF
PROCEEDS

Not applicable.




D. RISK FACTORS

The reinsurance industry is cyclical, which
may impact our results.

The Property and Casualty insurance and
reinsurance industries are cyclical. Historically, reinsurers
have experienced significant fluctuations in operating results
due to volatile and sometimes unpredictable developments, many
of which are beyond the direct control of the reinsurer,
including competition, frequency of occurrence or severity of
catastrophic events, levels of capacity, general economic
conditions and other factors. Demand for reinsurance is
influenced significantly by underwriting results of primary
insurers and prevailing general economic conditions. The supply
of reinsurance is related to prevailing prices, the levels of
insured losses, levels of industry surplus and utilization of
underwriting capacity that, in turn, may fluctuate in response
to changes in rates of return on investments being earned in the
insurance and reinsurance industries. As a result, the
reinsurance business historically has been a cyclical industry
characterized by periods of intense price competition due to
excessive underwriting capacity as well as periods when
shortages of underwriting capacity permitted favorable premium
levels. We can be expected to experience the effects of such
cyclicality and there can be no assurances that changes in
premium rates, the frequency of severity of catastrophes or
other loss events or other factors affecting the insurance or
reinsurance industries generally will not have a material
adverse effect on the Groups results of operations in
future periods.

We are exposed to losses from catastrophic
events.

As with other reinsurers, our operating results
and financial condition can be adversely affected by natural and
man-made catastrophes that may give rise to claims under
Property-Casualty and Life reinsurance coverages. Catastrophes
can be caused by various events including hurricanes,
windstorms, earthquakes, hail, explosions, severe winter
weather, fires, conflagrations and terrorist acts, the incidence
and severity of which are inherently unpredictable. Although
catastrophes can cause losses in a variety of the Groups
business lines, most of the Groups catastrophe-related
claims in the past have related to underlying homeowners and
commercial property coverages. Such exposure arises primarily in
respect of earthquake risk in the U.S., Canada, Turkey, Japan,
Australia, Latin America and Italy, as well as wind and other
weather-related risks in Europe, Asia, Australia and the U.S.

We generally seek to manage our exposure to
catastrophe losses through selective underwriting practices,
including the monitoring of risk accumulations on a geographic
basis, and through the purchase of catastrophe retrocessional
reinsurance. There can be no assurance that such practices,
including management of risk accumulations on a per location and
geographic basis, or the reinsurance purchased by us, will be
adequate to protect us against material catastrophe losses or
that retrocessional reinsurance will continue to be available in
the future at commercially reasonable rates. In particular, in
2001 the events of September 11th resulted in losses in our
Property-Casualty business of EUR 215 million, net of
reinsurance. See Item 5  Operating and
Financial Review and Prospects.

Although we attempt to limit our exposure to
acceptable levels, it is possible that an actual catastrophic
event or multiple catastrophic events could have a material
adverse effect on our consolidated financial condition, results
of operations and cash flows.

If our reserves prove to be inadequate it may
adversely affect our results.

We are required to maintain reserves to cover our
estimated ultimate liability for Property-Casualty losses and
LAE (loss adjustment expenses) with respect to reported and
unreported claims incurred as of the end of each accounting
period (net of estimated related salvage and subrogation
claims). For our Life business, we are

9



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required to maintain reserves for future policy
benefits that take into account expected investment yields and
mortality, morbidity, lapse rate and other assumptions. The
inherent uncertainties of estimating reserves are increased for
reinsurers by the significant periods of time that often elapse
between the occurrence of an insured loss, the reporting of the
loss to the primary insurer and, ultimately, to the reinsurer,
the primary insurers payment of that loss and subsequent
indemnification by the reinsurer and by differing reserving
practices among ceding companies.


We periodically review and update our methods for
establishing reserves. To the extent our reserves prove to be
insufficient to cover actual losses, loss adjustment expenses or
future policy benefits after taking into account available
retrocessional coverage, we would have to augment such reserves
and incur a charge to earnings which could have a material
adverse effect to our consolidated financial condition, results
of operations and cash flows.

We are exposed to the impact of changes in
foreign exchange rates and interest rates.

We publish our Consolidated Financial Statements
in euro. Consequently, fluctuations in the exchange rates used
to translate non-euro currencies into euro may impact our
reported results of operations and cash flows from year to year.

Fluctuations in interest rates affect the returns
available to us on fixed maturity investments, as well as the
market values of, and corresponding levels of capital gains or
losses on, the fixed maturity securities in our investment
portfolio.

In addition, the level of interest or changes in
interest rates might lead to unanticipated changes in the
pattern of surrender and withdrawal of our annuity and other
Life reinsurance products, including the fixed annuities of SCOR
Life US Re. These would result in cash outflows that might
require the sale of assets at a time when the investment
portfolio is affected by increases in interest rates, resulting
in realized losses.

We operate in a highly competitive
industry.

The reinsurance business is highly competitive.
Competition with respect to the types of reinsurance in which we
are engaged is based on many factors, such as underwriting
expertise, reputation and experience in the lines written, the
jurisdictions in which the reinsurer is licensed or otherwise
authorized to do business, premiums charged, as well as other
terms and conditions of the reinsurance offered, services
offered and speed of claims payment and perceived overall
financial strength of the reinsurer. We compete for business in
the French, European, United States and other international
reinsurance markets with numerous international and domestic
reinsurance companies, some of which have greater financial
resources and higher ratings than we do.

Ratings are important to our
business.

Our ratings are reviewed periodically and there
can be no assurance that our ratings will be maintained in the
future. Any significant reduction of our claims-paying ability
rating could result in our operating companies being removed
from the approved security list of some insurance or reinsurance
brokers or of some insurance ceding companies and materially
adversely affect their ability to write business through such
brokers or for such ceding companies. In addition, any reduction
in ratings could have the effect of increasing the cost of any
new borrowings we make.

10



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##### Table of Contents






Item 4. Information on the
Company






A. HISTORY AND DEVELOPMENT OF THE
COMPANY


General

SCOR, acting through its three treaty
Property-Casualty, Life/ Accident & Health, and Specialty
Property-Casualty operating divisions, its ten subsidiary
companies and their twenty-two branches and representative
offices, provides treaty and facultative reinsurance on a
worldwide basis to Property-Casualty and Life insurers. In 2001
the Group had net written premiums of EUR 3,720 million,
which management believes makes it the largest reinsurer in
France, one of the five largest European reinsurers and one of
the worlds ten largest reinsurers, in each case based on
managements estimate of the 2001 net written premiums of
other major international reinsurers and excluding intra-group
business.

Background

SCOR is organized as a société
anonyme, or stock company, under the laws of the Republic of
France. The Company was established in 1970 at the direction of
the French Government in order to create a French reinsurance
company of international stature. The term of the Company
expires on June 30, 2024. SCOR expanded rapidly on the
worlds markets, building up a substantial international
portfolio.

At the beginning of the 1980s, the French
state progressively reduced its interest in the Companys
capital (held via the Caisse Centrale de Réassurance), and
was replaced by insurance companies operating in the French
market. In 1989, SCOR and UAP Réassurances combined their
Property-Casualty and Life reinsurance businesses as part of the
restructuring of SCORs capital, which led to the listing
of the Company on the Paris stock market. Compagnie UAP, which
held 41% of SCORs capital, disposed of most of its
interest in October 1996 via an international public offering
timed to coincide with the listing of SCORs shares on the
New York Stock Exchange.

SCORs Ordinary Shares have been listed on
the Paris Bourse since 1989 and on the New York Stock Exchange
in the form of American Depositary Shares evidenced by American
Depositary Receipts, since October 11, 1996.

Recent Developments

On June 29, 2001, the Companys
extraordinary shareholders meeting approved the
acquisition of SOREMA S.A., a French company and
SOREMA N.A., a U.S. company, both reinsurance
subsidiaries of GROUPAMA, Frances second-largest composite
insurer. GROUPAMA became SCORs largest shareholder with an
interest of 17%. SCOR expects this shareholding to become a
long-term investment for GROUPAMA and to consolidate the
shareholder base of SCOR as well as to reinforce the relations
that exist between the two groups. On April 15, 2002, we
announced the sale of Fulcrum Insurance Co., a subsidiary
of SOREMA N.A..

On September 11, 2001, the most important
worldwide terrorist attack occurred in the United States,
destroying the World Trade Center (WTC). Following this tragedy,
on September 21, 2001, there was the explosion of the AZF
chemical plant in Toulouse, France. See
Item 5  Operating and Financial Review and
Prospects for a discussion of the Groups insured
losses from the events of September 11th at the WTC and
from the AZF explosion.

To benefit from the start of an anticipated
upward trend in the reinsurance cycle, SCOR increased its
underwriting capacity in Property-Casualty business through the
establishment of Irish Reinsurance Partners Ltd. (IRP) in
association with a group of private investors in December 2001.

To reduce the Groups risk profile, in
January 2002 we arranged the issuance of
USD 150 million in catastrophe bonds
providing protection to cover natural catastrophe claims for
SCOR, via Atlas Re II, a special purpose vehicle.

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On March 29, 2002, we agreed to sell,
subject to customary regulatory approvals, our remaining 35%
stake in COFACE for a price of EUR 62 per share, generating
a profit before tax of approximately EUR 96 million,
providing the Group with an additional EUR 290 million
in liquidity, and releasing in terms of Risk Based Capital, an
equivalent amount of EUR 180 million of
shareholders equity which will be redeployed to our
insurance activities.

In response to the shortage of terrorism
insurance capacity available in the commercial market following
the WTC attack in the U.S., on April 4, 2002, Special Risk
Insurance and Reinsurance Luxembourg (S.R.I.R.), a special
insurer for terror risks was founded by six major international
insurance and reinsurance groups, including SCOR which has a
9.1% participation in this special insurer.




B. BUSINESS OVERVIEW

Strategy

In 2001, following a group-wide review process,
we adopted a revised strategic plan, with the following key
elements:

Our Business: Risk Assumption

While the businesses comprising the insurance
value chain (distribution, administration, risk-taking and asset
management) have traditionally been integrated, we expect that
they will increasingly be carried out by specialists seeking to
optimize costs and performance. In the face of this trend our
strategy is clear: we will continue to focus on risk-taking
activities. Our culture and experience is about understanding,
pricing and managing risk, areas in which we believe we enjoy
substantial competitive advantages. As an insurance risk-taking
enterprise, our priorities are as follows:

   Organic growth and
targeted acquisitions.

SCOR has for several years followed a strategy
combining organic growth with carefully targeted acquisitions,
including recent acquisitions of a Life reinsurer in the United
States, a reinsurance company in France and the creation of
Irish Reinsurance Partners in Dublin. We will continue to pursue
this strategy, and will seek to acquire only those companies or
portfolios that we believe are likely to enhance value for SCOR
and its shareholders.

   A geographically balanced
portfolio.

The markets of Europe, North America and
Northeast Asia currently account for over 80% of the
worlds insurance premium volumes, and we believe there is
little likelihood of major changes in their relative importance
in the coming years. The Groups portfolio, which reflects
this geographic spread, will continue to grow primarily in these
markets.

Four emerging countries  Brazil,
China, India and Russia  in our view represent major
long-term opportunities, by virtue of their size, the importance
of their regional sphere of influence, and their
growth potential. SCOR is already a recognized player in each of
these markets and will seek to strengthen its presence there in
the future.

   A focus on higher margin
market segments.

The cyclical shifts in industry loss experience
and the increase in competition and concentration particularly
affect traditional Property-Casualty lines of business. While
maintaining activities in this segment of business, we are
developing segments that we estimate are less sensitive to
changes in industry conditions and require expertise and
service. We will combine a strict selective approach to
Property-Casualty treaty reinsurance, with the expansion of our
Life/Accident & Health and Specialty
Property-Casualty reinsurance activities.

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Setting a course for sustainable
development

The Groups strategy has been established
with a view to achieving sustainable development. We believe we
can best achieve this by focusing on the following priorities:

   Maintain high standards
of customer service.

Getting to know our customers thoroughly in order
to identify and anticipate their needs is a key priority at
SCOR. Through a broad array of programs and initiatives, we seek
to support our clients, share our know-how and maintain high
levels of customer satisfaction.

   Make optimum use of new
technologies.

We rely extensively on new technologies to
provide all units of the Group access to the same information
concerning our customers and contracts, provided through OMEGA,
our unified global information system for customer relations,
underwriting, claims processing and accounting, determining
estimates and recording transactions. We also continue to
develop risks analysis tools, such as our natural risks
simulation system.

We also use technology to strengthen our
relations with customers in the field of underwriting, and
provide access to our risk appraisal and rating expertise via
the Internet, for both Property-Casualty and Life reinsurance.

We also make use of technology to automate the
exchange and processing of reinsurance transactions. Working
with two leading US brokers, we introduced a fully automated
system at the end of 2000, designed to process reinsurance
accounts transmitted in electronic format, and to standardize
administrative procedures. At the beginning of 2001, SCOR also
joined Inreon, an independent Internet-based reinsurance
exchange that will enable insurers and brokers to place risks on
line, further enhancing our e-commerce offers.

We now stand ready to deploy these automated
procedures worldwide across our OMEGA platform.

   Capital allocation: a key
management tool.

Despite the difficult conditions prevailing in
2001, SCOR deployed its Risk Adjusted Return On Capital (RAROC)
tool during the year. RAROC, a model for capital allocation to
measure the return on equity, is the product of four years of
extensive research and testing, and is now a major strategic
management tool.

   Maintain strong
shareholder relations.

Since its Paris stock market flotation in 1989
and the listing of its ADRs on the New York Stock Exchange in
1996, SCOR has successfully built up a diversified and loyal
shareowner base.

The number of shareowners has increased
significantly in recent years, and includes a large proportion
of individuals and many leading institutional investors.
Approximately 66% are located in France, 20% in the rest of
Europe, and 14% in the United States.

SCOR regularly informs shareowners and the
financial community about its results and strategy. In 2001,
members of the Group Executive Committee visited more than 250
institutional investors in 16 cities around the world, and
received more than 400 analysts and investors at our head office
in Paris.

   Maintain financial
strength.

Having opted for a strategy of acting as a
risk carrier, SCORs growth will necessarily
require a substantial increase in equity over the years to come,
which will only be possible with a return to improved
profitability.

Our operating solvency ratio, long-term capital
(shareholders equity and perpetual loans and long term
loans more than 20 years) to net premium income, which was
approximately 60% at December 31, 2001, has decreased from
80% in 2000, due to the growth of our net premium income. The
Group can draw on nearly EUR 250 million in unused
syndicated credit lines, nearly EUR 170 million in
commercial paper programs and negotiable medium-term notes, and
through a recent convertible bond issue we have the possibility
of strengthening our shareholders equity in 2003.

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   Create and maintain a
spirit of enterprise and innovation.

The acquisition of Sorema brought a new influx of
personnel to SCOR. After an assessment of their skills and
expertise, they were quickly integrated into our organization.

The very broad range of expertise and wide
cultural diversity of our human capital rank foremost among
SCORs strengths. Underwriters, engineers, physicians,
actuaries and lawyers from more than 45 countries daily combine
their talents in the service of innovation and the satisfaction
of our customers.

Our human resources management policy seeks to:



| |   |                                                                                               
| | - | ----------------------------------------------------------------------------------------------
| |  | acknowledge and promote the spirit of enterprise
    and innovation throughout the Group,     
|
| |  | empower staff, giving each employee an
    opportunity to find fulfillment in his or her work,
|
| |  | facilitate communication and teamwork, and                                                    
|
| |  | blend collective action with individual
    excellence.                                       

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INDUSTRY OVERVIEW

General

Reinsurance is an arrangement in which a company,
the reinsurer, agrees to indemnify an insurance company, the
ceding company, against all or a portion of the primary
insurance risks underwritten by the ceding company under one or
more insurance contracts. Reinsurance can provide a ceding
company with several benefits, including a reduction in net
liability on individual risks, catastrophe protection from large
or multiple losses and assistance in maintaining acceptable
financial ratios. Reinsurance also provides a ceding company
with additional underwriting capacity by permitting it to accept
larger risks and write more business than would be possible
without a concomitant increase in capital and surplus.
Reinsurance, however, does not discharge the ceding company from
its liability to policyholders.

In general, primary property insurance protects
an insured against financial loss arising out of the loss of
property or its use caused by an insured peril. Primary casualty
insurance protects an insured against financial loss arising out
of its obligation to others for loss or damage to persons or
property. Property and Casualty reinsurance protects the cedent
against loss to the extent of the reinsurance coverage provided.
Property reinsurance involves a high degree of volatility but
losses are generally reported within a relatively short time
period after the event. A greater degree of unpredictability is
associated with casualty risks because there tend to be a
greater lag in the reporting and payment of casualty claims, due
to the nature of the risks and the greater potential for
litigation. Life reinsurance generally provides coverage to
primary insurers for Life insurance risks underwritten by them,
including under individual and group ordinary life, annuity and
retirement-related products. Generally, reinsurance of such
risks provides cedents with coverage against mortality and
morbidity risks, as well as investment related risks in the case
of certain interest-sensitive life products.

The Property and Casualty insurance and
reinsurance industries are cyclical. Historically, reinsurers
have experienced significant fluctuations in operating results
due to volatile and sometimes unpredictable developments, many
of which are beyond the direct control of the reinsurer,
including price competition, frequency of occurrence of losses
or severity of catastrophic events, levels of capacity, general
economic conditions and other factors. Demand for reinsurance is
influenced significantly by underwriting results of primary
insurers and prevailing general economic conditions. The supply
of reinsurance is related to prevailing prices, the levels of
insured losses, levels of industry surplus and utilization of
underwriting capacity that, in turn, may fluctuate in response
to changes in rates of return on investments being earned in the
insurance and reinsurance industries. As a result, the
reinsurance business historically has been a cyclical industry
characterized by periods of intense price competition due to
excessive underwriting capacity as well as periods when
shortages of underwriting capacity permitted favorable premium
levels. Increases in the frequency and severity of losses
suffered by insurers can significantly affect these cycles.
Conversely, the absence of severe or frequent catastrophe and
other loss events could lend to declining premium rates in the
global market. The reinsurance business is also competitive.
Competition with respect to the types of reinsurance in which
the Group is engaged is based on many factors, such as
underwriting expertise, reputation and experience in the lines
written, the jurisdictions in which the reinsurer is licensed or
otherwise authorized to do business, premiums charged, as well
as other terms and conditions of the reinsurance offered,
services offered and speed of claims payment and perceived
overall financial strength of the reinsurer.

Types of Reinsurance

Treaty and Facultative
Reinsurance

The two basic types of reinsurance arrangements
are treaty and facultative reinsurance. In treaty reinsurance,
the ceding company is obligated to cede and the reinsurer is
obligated to assume a specified portion of a type or category of
risks insured by the ceding company. Treaty reinsurers,
including the SCOR Group, do not separately evaluate each of the
individual risks assumed under their treaties and, consequently,
after a review of the ceding companys underwriting
practices, are largely dependent on the original risk
underwriting decisions made by the ceding primary policy
writers. Such dependence subjects reinsurers in general,

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including the Group, to the possibility that the
ceding companies have not adequately evaluated the risks to be
reinsured and, therefore, that the premiums ceded in connection
therewith may not adequately compensate the reinsurer for the
risk assumed. The reinsurers evaluation of the ceding
companys risk management and underwriting practices as
well as claims settlement practices and procedures, therefore,
will usually impact the pricing of the treaty.


In facultative reinsurance, the ceding company
cedes and the reinsurer assumes all or part of the risk under a
single insurance contract. Facultative reinsurance is negotiated
separately for each insurance contract that is reinsured.
Facultative reinsurance normally is purchased by ceding
companies for individual risks not covered by their reinsurance
treaties, for amounts in excess of the monetary limits of their
reinsurance treaties and for unusual risks. Underwriting
expenses and, in particular, personnel costs, are higher
relative to premiums written on facultative business because
each risk is individually underwritten and administered. The
ability to separately evaluate each risk reinsured, however,
increases the probability that the underwriter can price the
contract to more accurately reflect the risks involved.

Proportional and Non-Proportional
Reinsurance

Both treaty and facultative reinsurance can be
written on a proportional, or pro rata, basis or a
non-proportional, or excess of loss, basis. With respect to
proportional or pro rata reinsurance, the reinsurer, in return
for a predetermined portion or share of the insurance premium
charged by the ceding company, indemnifies the ceding company
against a predetermined portion of the losses and loss
adjustment expenses (LAE) of the ceding company under the
covered insurance contract or contracts. In the case of
reinsurance written on a non-proportional, or excess of loss
basis, the reinsurer indemnifies the ceding company against all
or a specified portion of losses and LAE in excess of a
specified amount, known as the ceding companys retention
or reinsurers attachment point, subject to a negotiated
reinsurance contract limit.

Although the frequency of losses under a
pro rata reinsurance contract is usually greater than on an
excess of loss contract, generally the loss experience is more
predictable and the terms and conditions of a pro rata contract
can be structured to limit aggregate losses from the contract. A
pro rata reinsurance contract therefore does not necessarily
require that a reinsurance company assume greater risk exposure
than on an excess of loss contract. The predictability of the
loss experience may better enable underwriters to price such
business accurately in light of the risk assumed, therefore
reducing the volatility of results.

Excess of loss reinsurance is often written in
layers. One or a group of reinsurers accepts the risk just above
the ceding companys retention up to a specified amount, at
which point that reinsurer or another reinsurer or a group of
reinsurers accepts the excess liability up to an additional
specified amount or such liability reverts to the ceding
company. The reinsurer taking on the risk just above the ceding
companys retention layer is said to write working layer or
low layer excess of loss reinsurance. A loss that reaches just
beyond the ceding companys retention will create a loss
for the lower layer reinsurer, but not for the reinsurers on the
higher layers. Loss activity in lower layer reinsurance tends to
be more predictable than that in higher layers due to a greater
historical frequency, and therefore, like pro rata
reinsurance, better enables underwriters and actuaries to more
accurately price the underlying risks.

Premiums payable by the ceding company to a
reinsurer for excess of loss reinsurance are not directly
proportional to the premiums that the ceding company receives
because the reinsurer does not assume a direct proportionate
risk. In contrast, premiums that the ceding company pays to the
reinsurer for pro rata reinsurance are proportional to the
premiums that the ceding company receives, consistent with the
proportional sharing of risk. In addition, in pro rata
reinsurance the reinsurer generally pays the ceding company a
ceding commission. The ceding commission is usually based on the
ceding companys cost of acquiring the business being
reinsured (commissions, premium taxes, assessments and
miscellaneous administrative expense) and also may include a
profit factor for producing the business.

Retrocession

Reinsurers typically purchase reinsurance to
cover their own risk exposure or to increase their capacity.
Reinsurance of a reinsurers business is called a
retrocession. Reinsurance companies cede risks under

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retrocessional agreements to other reinsurers,
known as retrocessionaires, for reasons similar to those that
cause primary insurers to purchase reinsurance: to reduce net
liability on individual risks, protect against catastrophic
losses, stabilize financial ratios and obtain additional
underwriting capacity.


Broker vs. Direct Reinsurance

Reinsurance can be written through professional
reinsurance brokers or directly from ceding companies. From a
ceding companys perspective, both the broker market and
the direct market have advantages and disadvantages. A ceding
companys selection of one market over the other will be
influenced by its perception of such advantages and
disadvantages relative to the reinsurance coverage being placed.
For example, broker coverages usually involve a number of
participating reinsurers that have been assembled by a broker,
each assuming a specified portion of the risk being reinsured. A
ceding company may find it easier to arrange such coverage in a
difficult underwriting environment where risk capacity is
constrained and reinsurers are seeking to limit their risk
exposure. In contrast, direct coverage usually are structured by
ceding companies directly with one or a limited number of
reinsurers. The relative amount of brokered and direct business
written by the Groups subsidiaries varies according to
local market practice.

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PRODUCTS AND MARKETS

General

Our operations are organized in three business
segments: Property-Casualty treaty, Life/Accident &
Health and Specialty Property-Casualty. Within each segment, we
write various classes of business, as indicated below.
Responsibilities and reporting within the Group are established
based on this structure, and our consolidated financial
statements reflect the activities of each segment.

The following table sets forth our gross premiums
written by segment and class of business:

|                                 |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |     | 
|-------------------------------- | --------------------------------- | ----------------------- | ----- | ------- |  | ---- | -- | --- |  | --- | ----- | ----- |  |  | -- | --- |  |  | ----- | ----- |  |  | -- | --- | 
|                                 |                                   |                        
|                                 |                                   | Year Ended December 31,
|                                 |                                   |                        
|                                 |                                   |                         |       |         |  |     
|                                 |                                   | 1999                    |       | 2000(1) |  | 2001
|                                 |                                   |                         |       |         |  |     
|                                 |                                   | EUR                     |       | %       |  | EUR  |    | %   |  | EUR |       | %    
|                                 |                                   |                         |       |         |  |      |    |     |  |     |       |      
|                                 |                                   |                        
|                                 |                                   | (EUR, in millions)     
|By segment of business           |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|Property-Casualty treaty         |                                   |                         | 1,270 |         |  |      | 46 |     |  |     | 1,272 |       |  |  | 38 |     |  |  | 1,922 |       |  |  | 43 |    
|Life/Accident & Health           |                                   |                         | 705   |         |  |      | 26 |     |  |     | 934   |       |  |  | 28 |     |  |  | 1,062 |       |  |  | 24 |    
|Specialty Property-Casualty      |                                   |                         | 785   |         |  |      | 28 |     |  |     | 1,149 |       |  |  | 34 |     |  |  | 1,445 |       |  |  | 33 |    
|                                 |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|                                 | Total                             |                         |       | 2,760   |  |      |    | 100 |  |     |       | 3,355 |  |  |    | 100 |  |  |       | 4,429 |  |  |    | 100 | 
|                                 |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|By segment and class of business |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|Property-Casualty treaty         |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|Property                         |                                   |                         | 477   |         |  |      | 38 |     |  |     | 529   |       |  |  | 41 |     |  |  | 796   |       |  |  | 42 |    
|Casualty                         |                                   |                         | 682   |         |  |      | 54 |     |  |     | 687   |       |  |  | 54 |     |  |  | 1,039 |       |  |  | 54 |    
|Marine, Space and Transportation |                                   |                         | 44    |         |  |      | 3  |     |  |     | 34    |       |  |  | 3  |     |  |  | 61    |       |  |  | 3  |    
|Construction                     |                                   |                         | 67    |         |  |      | 5  |     |  |     | 22    |       |  |  | 2  |     |  |  | 26    |       |  |  | 1  |    
|                                 |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|                                 | Total Property-Casualty Treaty    |                         |       | 1,270   |  |      |    | 100 |  |     |       | 1,272 |  |  |    | 100 |  |  |       | 1,922 |  |  |    | 100 | 
|                                 |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|Life/Accident & Health           |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|Annuity-based                    |                                   |                         | 116   |         |  |      | 16 |     |  |     | 153   |       |  |  | 16 |     |  |  | 121   |       |  |  | 11 |    
|Individual & group life          |                                   |                         | 291   |         |  |      | 41 |     |  |     | 352   |       |  |  | 38 |     |  |  | 527   |       |  |  | 50 |    
|Accident                         |                                   |                         | 67    |         |  |      | 10 |     |  |     | 75    |       |  |  | 8  |     |  |  | 81    |       |  |  | 8  |    
|Disability                       |                                   |                         | 55    |         |  |      | 8  |     |  |     | 94    |       |  |  | 10 |     |  |  | 57    |       |  |  | 5  |    
|Health                           |                                   |                         | 149   |         |  |      | 21 |     |  |     | 204   |       |  |  | 22 |     |  |  | 229   |       |  |  | 22 |    
|Unemployment                     |                                   |                         | 5     |         |  |      | 1  |     |  |     | 6     |       |  |  | 1  |     |  |  | 12    |       |  |  | 1  |    
|Long-term care                   |                                   |                         | 22    |         |  |      | 3  |     |  |     | 50    |       |  |  | 5  |     |  |  | 35    |       |  |  | 3  |    
|                                 |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|                                 | Total Life/Accident & Health      |                         |       | 705     |  |      |    | 100 |  |     |       | 934   |  |  |    | 100 |  |  |       | 1,062 |  |  |    | 100 | 
|                                 |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|Specialty Property-Casualty      |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|Alternative Reinsurance          |                                   |                         | 347   |         |  |      | 44 |     |  |     | 615   |       |  |  | 54 |     |  |  | 712   |       |  |  | 49 |    
|Credit, Surety & Political Risks |                                   |                         | 154   |         |  |      | 20 |     |  |     | 201   |       |  |  | 17 |     |  |  | 175   |       |  |  | 12 |    
|SCOR Business Solutions          |                                   |                         | 284   |         |  |      | 36 |     |  |     | 333   |       |  |  | 29 |     |  |  | 558   |       |  |  | 39 |    
|                                 |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    
|                                 | Total Specialty Property-Casualty |                         |       | 785     |  |      |    | 100 |  |     |       | 1,149 |  |  |    | 100 |  |  |       | 1,445 |  |  |    | 100 | 
|                                 |                                   |                         |       |         |  |      |    |     |  |     |       |       |  |  |    |     |  |  |       |       |  |  |    |    






|    |                                                                                                                                             
|--- | --------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Reallocated figures from Specialty
    Property-Casualty to Property-Casualty treaty of small risk
    facultatives for comparison purposes.

Property-Casualty treaty reinsurance

The Property-Casualty treaty segment includes the
proportional (pro rata) and non-proportional (excess of
loss and stop loss) treaty classes of property, casualty,
marine, space and transportation and construction reinsurance.

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Property.The
Groups proportional property treaty business provides
reinsurance coverage for underlying insured property damage or
business interruption losses resulting from fires or other
perils in the homeowners, personal auto, industrial and general
commercial property lines.

Non-proportional property treaty business covers
the same lines and risks, but some specialized excess of loss
covers provide primarily catastrophe loss protection to cedents.

Casualty.The
Groups casualty proportional and non-proportional treaty
reinsurance includes auto liability and general third party
liability coverage, as well as the liability components of both
homeowners and general commercial coverage. Auto liability
reinsurance covers bodily injury and third party property
and other liability risks arising from both private passenger
and commercial fleet auto coverage.

Marine, Space and Transportation.The Groups marine, space and
transportation treaty business relates primarily to ocean and
inland marine risk, as well as a limited amount of commercial
aviation and space coverage.

Construction.The
Groups construction treaty business, primarily written on
a proportional basis, includes inherent defect insurance covers,
also known as decennial insurance. As required by French law,
decennial insurance covers the risk of major structural defects
and collapse for ten years after completion of construction of a
building.

For both insurers and reinsurers, 2001 proved to
be an extremely difficult one in the Property-Casualty area due
to a combination of four factors that severely reduced earnings:
persistently negative trends in underwriting results on business
written at the bottom of the cycle; very high losses on
industrial risks, especially at year-end; the WTC catastrophe,
unprecedented in the history of insurance; and the financial and
stock market crisis, which not only hurt assets values but also
entailed significant credit losses.

This accumulation of bad news, discussed in
detail throughout this report, obscured what was surely the most
important development for the future, namely the start of an
upward trend in the reinsurance cycle. After five years of
steady, sharp falls in insurance and reinsurance premium rates
and deteriorating underwriting conditions, the recovery
moderately took shape in 2001 but it is expected to prove
sustainable owing to structural changes in our business.

Several reinsurers either withdrew from the
market or very significantly reduced their activities, having
suffered severe losses or because their business was not
strategically vital to the groups they belong to. These moves
are expected to help to correct excess supply of capacity and
bring about sufficient concentration to guarantee normal
competition and avoidance of past excesses.

Europe.Competition
in the insurance sector remained fierce across the region, even
though deteriorating underwriting results and poor financial
markets performance dragged down profitability. A number of
mutual insurers forged joint ventures, while the process of
demutualization came to a temporary halt. The attraction of
Eastern Europe remains undiminished.

Earnings were dragged down by a combination of
repeated rate reductions on engineering risks since the mid
1990s and an upsurge in accidents.

The issue of terrorism cover naturally dominated
discussions at the end of 2001. In December 2001, France
announced it was to set up a specialized pool drawing on the
resources of insurers, reinsurers and the State, while
comparable plans are under discussion in Germany and Italy.

The European Community continued to open up and
harmonize its markets. On January 1, 2002, a single
currency was adopted by a market of more than 330 million
people. During 2002, issues expected to come up for debate will
include pensions, motor insurance, EU enlargement and the
creation of a European directive for reinsurers.

In a difficult environment, SCOR maintained in
2001 a policy of prudent underwriting, meaning that, as a
composite reinsurer, we continued to write business in each of
our customary classes, but we were careful to safeguard our
underwriting results to the fullest possible extent by refusing
to accept under-priced business.

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North America.The
year 2001 ought logically to have been the year of recovery for
Property & Casualty insurance in the United States, coming
after several years of under-pricing and heavy underwriting
losses throughout the market. Several factors resulted in this
not being the case. First were the terrorist attacks of
September 11 and their awesome human and financial toll.
The markets underwriting results were also affected by the
need to bolster provisions set aside in earlier years,
particularly from 1997 to 1999, the low point of the previous
cycle. At the same time, the American economy continued to drift
into recession. These economic circumstances seriously impacted
the accounts of American insurers in 2001 owing to falling
interest rates, which have squeezed recurring financial income,
and to accumulating losses on equity portfolios.

All these factors, combined with heavy natural
catastrophe losses, particularly due to the tropical storm
Allison, contributed to the worst ever year for Property &
Casualty insurers and reinsurers in the United States.

SCOR was heavily affected by the events of
September 11th. In the first place, SCOR US headquarters,
located in the WTC, were fully destroyed. Thanks to the
contingency plan introduced some years earlier, and to the
existence of a sizable second site in Chicago, our IT system was
back in operation just a few days after the catastrophe, and all
vital data were recovered. The New York employees were
relocated two weeks later at 199 Water Street in Manhattan,
which is now the new headquarters of SCOR US.

Canada.There were
few natural catastrophes in 2001, as in 2000. Motor insurance
and professional property damage rates were nevertheless
depressed throughout most of the year, although signs of
improvement did begin to emerge in the last quarter. Poor
underwriting results on this market, combined with falling
investment income, depressed insurance results.

SCOR profited from this difficult background and
continued to develop its business with an increase in total
gross premiums written in 2001, the largest ever-annual increase
in the subsidiarys history.

Mexico, Caribbean and Central America.Coming after the series of natural
catastrophes of recent years, reinsurance rates have risen
significantly in Central America and the Caribbean. But the
price of catastrophe cover substantially increased in the wake
of September 11. The exclusions of terrorism and cyber
risks now apply to most contracts. Rate changes on treaty
business will not apply in Mexico until July 1, 2002, the
contracts renewal date.

The Group has expanded in these regions on the
strength of improved insurance and reinsurance rates, with
increasing its cumulative natural catastrophe exposure. There
was a particularly high contract renewal rate, testifying to the
quality of our customer relationships.

South America.The
political instability in several countries, the financial crisis
in Argentina, and the failure of the Brazilian market to open
up, leaving the reinsurance monopoly in that country intact, all
conspired to make 2001 a disappointing year.

SCOR has had to scale back its ambitions in some
of these markets.

Australasia.After a
short-lived period return to growth, most countries in the
region slipped back into recession in the second half of 2001.
Reversing the trend of more than 10 years, the numbers of
reinsurance companies in this region began to decline in 2001,
bringing a welcome reduction in the supply of capacity from the
beginning of 2001. The region was not spared by natural events,
including a severe typhoon in Taiwan. In addition, a major
industrial disaster occurred in South Korea.

Our premium income rose sharply in Australia,
Japan and South Korea, thanks in particular to the
beginnings of a rate recovery in these markets.

SCOR registered a positive result in Asia in
2001, and there are grounds for hope for a sustained improvement
in its earnings in the coming years, given the new conditions
now prevailing there.

Life/Accident & Health

Life/Accident & Health reinsurance includes
life reinsurance products as well as the personal segments of
Casualty reinsurance namely accident, disability, health,
unemployment and long-term care.

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Life.The
Groups Life business, written primarily on a proportional
and non-proportional treaty basis, provides life reinsurance
coverage with respect to individual and group life, reinsurance
of annuity-based products, and longevity reinsurance, to primary
life insurers and pension funds.

Accident, disability, health, unemployment and
long-term care.The personal segments
of this business are written primarily on a proportional treaty
basis.

The same factors as in earlier years continue to
govern Life insurance markets, namely aging populations, growth
in savings products, rising health spending, and the emergence
of demand for Life and A&H products for the very old.

The reinsurance market naturally follows broad
insurance industry trends. But it also responds to specific
demands and objectives.

There is a growing need, at present, for
individual covers. Requests for covers exceeding EUR 20
million are commonplace in the United States and are no longer
rare in Europe. These levels of cover call for:



| |   |                                                                                                                                                                                                                                                                                                                                                                                                                          
| | - | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | know-how in the medical and financial analysis of
    individual applications. We have developed powerful tools for
    this purpose, and these have been reinforced by the integration
    of SCOR Life US Re, complementing our European know-how.
    Active commercialization of Sar@, the first electronic
    risk-selection system, has persuaded many insurers over the
    world of our expertise in this field.
|
| |  | the necessary capacity. This is clearly the area
    in which September 11 has made its biggest impact. Even if
    its impact in the Life business has been fairly limited for
    SCOR, it has led to a tightening of rating conditions and a
    collapse in capacity, in terms of both terrorism covers and risk
    accumulation.                                                                                   

There is little talk nowadays of a cycle in Life
reinsurance. Yet it exists, albeit very faintly, and the influx
of newcomers to the segment in recent years did create some
pressure on prices, which is now coming to an end:



| |   |                                                                                                                                                                                                                                                                  
| | - | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | falling interest rates are progressively pushing
    up reinsurance rates, though less so than in Property and
    Casualty reinsurance, due to asset-liabilities matching and
    reduced returns on capital that inevitably accompany lower
    interest rates.
|
| |  | the fall in mortality rates may now have reached
    an inflection point, and the systematic expectations of
    continuing declines observed in recent years could now be coming
    to an end.                                                                 
|
| |  | there are fewer and fewer specialized operators
    in this market, and knowledge is becoming costly and difficult
    to acquire. Insuring for longevity is a difficult art that calls
    for great caution.                                                   
|
| |  | almost all players suffered either from losses in
    the Argentine market or from difficulties surrounding the
    so-called workers compensation carve out programs or
    from both, and this is inciting them to greater caution.                          
|
| |  | the lack of high quality retrocessionnaires
    capable of supplying substantial capacity is driving up the
    price of certain covers.                                                                                                                         

Together, we believe these various factors should
help to raise prices in the Life markets in coming years.

Specialty Property-Casualty
reinsurance

Specialty Property-Casualty
reinsurance includes alternative reinsurance, credit surety and
political risks, and the large Property-Casualty facultative
business operated by SCOR Business Solutions.

Alternative Reinsurance.The Groups alternative
reinsurance business is conducted primarily out of CRP, the
Groups Bermuda-based subsidiary. SCOR believes that this
96%-owned subsidiary has built a reputation for providing added
value in terms of financial engineering and product development.

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CRP operates on all sectors of alternative risk
transfer but sets a strategy aimed at differentiating the Group
from competition through our capacity to innovate, and at
pursuing growth through the development of new risk analysis
systems and a high level of customer service. Consequently, it
focuses on three distinct products:



| |   |                                                                                                                                                     
| | - | ----------------------------------------------------------------------------------------------------------------------------------------------------
| |  | loss frequency driven by workers
    compensation, motor insurance and general liability in the
    U.S. market;                                   
|
| |  | using insurance techniques to cover weather
    variations, primarily temperature-based derivatives;                                                
|
| |  | developing single integrated risk transfer
    instruments to protect against combinations of fortuitous
    uncertainties with financial exposures.

Credit, Surety and Political Risks.SCORs credit, surety and
political risks business is organized horizontally and conducted
by fully dedicated teams based in Europe and in the
U.S. Complementing the more traditional forms of
reinsurance that meet the needs of its credit and surety
insurance clients, SCOR is developing a new credit derivatives
activity aimed at a different and much broader clientele.

Three insurers, all of them clients of SCOR,
dominate the worlds traditional credit insurance. The
Group provides proportional treaty covers as well as
non-proportional reinsurance, covering peak and cumulative
risks. In 1999, SCOR began developing credit derivative
reinsurance methods, creating opportunities to gain customers in
the banking and financial institutions sector, for which we
offer credit risk covers aimed at optimizing their capital
management. The credit department underwrites those risks with
technical support from the investment management teams.

Europe is the most significant market for credit
reinsurance. We believe there are growth prospects for credit
reinsurance in Eastern Europe and for general export risk
coverage. In addition, since 1999, we have observed demand for
covers emerging in Asia, particularly in Japan and Korea, to
which the Group is responding cautiously, in view of those
countries current economic situation.

The surety bond market is, on the whole, mostly
American, and due to increasing competition in this class of
business which has pushed rates down, we have withdrawn from a
very large number of contracts.

Political risk insurance is
catastrophic in nature, in the sense that frequency
is low, but the scale of events is very large when they do
occur. SCORs approach is relatively similar to the one
employed in natural catastrophe covers, combining geographical
spread and balance over time.

SCOR Business Solutions.The Groups large facultative
business is written by specialized underwriting teams organized
under SCOR Business Solutions. This structure was reorganized in
2000 around the activities of corporate buyers seeking global
risk financing solutions that combine traditional risk covers
and alternative financing. It shares risks with cedents for
large, complex industrial or technical risks, such as automotive
assembly lines, semiconductor manufacturing plants, oil and gas
or chemical facilities, oil and gas exploration and production
sites, energy facilities, or boiler and machinery installations.

Large facultative business is primarily written
in property, as well as, to a lesser degree, in the liability,
transportation, space and construction classes of business.
Casualty facultative also encompasses commercial fleet auto
coverage, workers compensation, fraud and commercial third party
liabilities.

Space and transportation facultative coverage is
written particularly in the areas of space and offshore risks,
and requires the application of sophisticated, highly technical
risk analysis and underwriting criteria. Offshore Business
relates in the energy sector to offshore oil and gas exploration
and operations, while the space business relates to satellite
assembly, launch and coverage for commercial space programs.

Construction facultative coverage is typically
provided against risk of loss due to physical damage caused
during the construction period as well as, in certain cases,
business interruption or other financial losses incurred as a
result of completion delays for large and complex construction
and industrial projects. The Group has acted or is acting as
lead or principal reinsurer on several world scale
infrastructure projects. For these leading projects, SCOR takes
an active role in all phases of development, and works with
cedents, brokers, insureds, risk managers and project sponsors
in optimizing the combination of risk management techniques and
insurance solutions.

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Although the results of SCOR Business Solutions
in 2001 were significantly impacted by heavy property damage
loss experience, including the cost of WTC losses on
September 11th, we will continue to consolidate the
Groups global position in the energy, major projects and
space sectors, while strengthening its arrays of services in the
other sectors of industry and services.

Distribution by geographic area

In 2001, SCOR generated approximately 38% of its
gross premiums written in Europe, with significant market
positions in France, Germany, Spain and Italy, and 50% of its
gross premiums written in North America, including Bermuda and
the Caribbean region.

The following is the distribution of the
Groups gross premiums written by geographic area:

Gross Premiums Written by Geographic
Area(1)

|                                     |       |                           |       |       |  |      |     |      |  |     |       |       |  |  |     |      |  |  |       |       |  |  |     |      | 
|------------------------------------ | ----- | ------------------------- | ----- | ----- |  | ---- | --- | ---- |  | --- | ----- | ----- |  |  | --- | ---- |  |  | ----- | ----- |  |  | --- | ---- | 
|                                     |       |                          
|                                     |       | Year ended December 31,  
|                                     |       |                          
|                                     |       |                           |       |       |  |     
|                                     |       | 1999                      |       | 2000  |  | 2001
|                                     |       |                           |       |       |  |     
|                                     |       | EUR                       |       | %     |  | EUR  |     | %    |  | EUR |       | %    
|                                     |       |                           |       |       |  |      |     |      |  |     |       |      
|                                     |       |                          
|                                     |       | (EUR figures in millions)
|France                               |       |                           | 410   |       |  |      | 15% |      |  |     | 479   |       |  |  | 14% |      |  |  | 586   |       |  |  | 13% |     
|Europe (Outside of France)           |       |                           | 741   |       |  |      | 27% |      |  |     | 751   |       |  |  | 23% |      |  |  | 1,083 |       |  |  | 25% |     
|North America                        |       |                           | 1,275 |       |  |      | 46% |      |  |     | 1,720 |       |  |  | 51% |      |  |  | 2,229 |       |  |  | 50% |     
|Asia-Pacific and Other International |       |                           | 334   |       |  |      | 12% |      |  |     | 405   |       |  |  | 12% |      |  |  | 531   |       |  |  | 12% |     
|                                     |       |                           |       |       |  |      |     |      |  |     |       |       |  |  |     |      |  |  |       |       |  |  |     |     
|                                     | Total |                           |       | 2,760 |  |      |     | 100% |  |     |       | 3,355 |  |  |     | 100% |  |  |       | 4,429 |  |  |     | 100% | 
|                                     |       |                           |       |       |  |      |     |      |  |     |       |       |  |  |     |      |  |  |       |       |  |  |     |     






|    |                                                                                                                                                                                            
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Premiums are allocated by geographic area based
    on information received by the Group from its cedents concerning
    the primary location of the cedents underlying insured
    risks.

RATINGS

In 2002, following our January 15, 2002
press release concerning our 2001 results, A.M. Best Co.
(A.M. Best), the Fitch International Bank Credit
Analyst (Fitch IBCA) and Standard & Poors
(S&P) lowered their respective Group ratings,
which are currently as follows:

|           |  |                                |  |     |  |                    
|---------- |  | ------------------------------ |  | --- |  | -------------------
|A.M. Best  |  | Rating of the Group            |  | A   |  | Excellent          
|Fitch IBCA |  | Financial strength rating      |  | AA- |  | Very Strong        
|           |  | Long-term debt                 |  | A+  |  | High credit quality
|           |  | Short-term debt                |  | F1  |  | High credit quality
|S&P        |  | Financial strength rating      |  | A+  |  | Strong             
|           |  | Groups commercial paper       |  | A-1 |  | Strong             
|           |  | Groups senior unsecured notes |  | A+  |  | Strong             

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UNDERWRITING, RISK MANAGEMENT AND
RETROCESSION

Underwriting

Consistent with its strategy of selective market
and business segment development, the Group seeks to maintain a
portfolio of business risks that is well diversified both
geographically and by line and class of business. In addition,
the Company has centrally established underwriting guidelines
for its subsidiary companies to ensure the diversification and
management of risk with respect to its business by line and
class of business.

The Groups underwriting is conducted
through Property-Casualty treaty and facultative, and Life
underwriting teams, with the support of technical departments
such as actuarial, claims, legal, retrocession and accounting.

Both underwriting and support staff are located
in the Groups Paris headquarters as well as in local
subsidiaries and branches, although some support functions, like
retrocession, have been centralized at the head office level.
While underwriting is carried out at decentralized (subsidiary
or division) level, the Groups overall exposure to
particular risks and in particular geographic zones is centrally
monitored from Paris.

Management believes that its diversified
portfolio lessens the impact of local economic and insurance
cycles and reduces some of the volatility that would be found in
a more concentrated portfolio. In addition to diversification by
geographic area and line and class of business, the Company has
limited its general exposure to catastrophe risk.

The Groups underwriting function consists
of about 500 individuals, including 320 underwriters, equally
split between facultative and Property-Casualty treaty and Life.
The underwriting support functions include almost 200 additional
persons, including more than 60 actuaries and pricing
technicians.

Treaty underwriters in the Property-Casualty area
handle relations with cedents and are specialized by geographic
area. They manage client relationships, promote the Groups
image and determine the needs of the ceding companies in their
sector of activity, after a careful review and assessment of
their underwriting strategy and internal management procedures.
They are also in a position, to give cedents, within the limits
of their delegation, facultative support, in addition to their
automatic treaty capacity.

Facultative underwriters within the Groups
Paris-based SCOR Business Solutions division, operate on a
worldwide basis, assisted by local or regional specialists in
the various offices of the Group. They provide
clients  ceding companies and large
corporations  with a wide range of services, risks
analysis and specific or global coverage in the different
business sectors they are involved in. In addition to their own
technical expertise, they benefit from the support of practice
leaders specialized in their line of business.

Life underwriting within the Group is under the
worldwide responsibility of the SCOR Vie operating unit. Our
Life clients are life or Accident and Health insurance companies
worldwide. They are served by specialized Life underwriters
familiar with the specific features of each of the markets in
which they operate, including mortality tables, morbidity risks,
disability and pension coverage, product development, financing
and specific market coverage and policy conditions. Life
underwriting consists of the consideration of many factors,
including the type of risks to be covered, ceding company
retention levels, product and pricing assumptions and the ceding
companys underwriting standards and financial strength.

Life underwriters worldwide are supported by the
Life Underwriting Department (LUD), which
coordinates underwriting activities at the group level and
conducts underwriting audits in the operating units, and by the
Technical and Development Department (TDD),
responsible for pricing tools, reserving rules, product
development and retrocession. These two Departments set in
common the underwriting guidelines, which are approved by the
Underwriting Innovation Committee, comprising SCOR Vie General
Management, and the heads of underwriting units LUD and TDD.
This Committee periodically reviews and updates the level of
underwriting authority (there are four levels) delegated to each
underwriter.

IRP was established in December 2001 to reinsure
(as a retrocessionaire) some of SCORs non-Life reinsurance
business on a share quota basis from 2002 forward: 25% in 2002,
reduced to 16% for Cat Exposed

24



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##### Table of Contents



treaties in the 3 following zones:
U.S. (earthquakes and hurricanes), Japan (earthquakes) and
Europe (storm risk). SCORs initial participation in IRP
was established at 41.7%, and will be increased through the
purchase of minority interests prior to May 2006. Taken into
account the fact that SCOR actually controls this company, IRP
is fully consolidated from fiscal year 2001.


Catastrophe Risk and Exposure
Controls

Like other reinsurance companies, SCOR is exposed
to multiple insured losses arising out of a single occurrence,
whether a natural event such as a hurricane, flood or an
earthquake, or another man-made catastrophe such as an explosion
or fire at a major industrial facility. Any such catastrophic
event could generate insured losses in one or many of
SCORs lines of business.

The earthquakes, which occurred in January 2001
in El Salvador and in India, in February 2001 in Washington
State, U.S., and in March 2001 in Japan, are examples of
significant catastrophes. Their consequences for SCOR however,
were limited due to either a relatively low involvement of the
Group in the damaged regions or limited insured and reinsured
losses.

In 2000, we experienced no major natural
catastrophe losses except adverse run-off 1999 European
storms.

1999 was radically different with a high number
of major natural catastrophes, both earthquakes and windstorms:
the European storms which occurred in December 1999, resulted in
pre-tax catastrophe losses, net of retrocession, to the Group of
EUR 95 million. Before these losses, the Groups
largest single catastrophe loss in recent years were the 1998
ice storms in Canada and the 1994 earthquake in Northridge,
California, which produced pre-tax catastrophe losses, net of
retrocession, to the Group of EUR 36 million and
EUR 35 million, respectively. SCOR carefully evaluates
its potential natural event and other risk accumulation for its
entire property portfolio at the head office level, including
exposures underwritten by its subsidiaries worldwide. Pursuant
to overall guidelines and procedures established from the Paris
headquarters, each subsidiary monitors its own accumulation for
the relevant country or region, and the Risk Management
Department based in Paris centrally consolidates the results for
the Group.

SCOR employs various techniques, depending upon
the region and peril, to assess and manage its accumulated
exposure to property catastrophe losses in any one region of the
world and quantifies that exposure in terms of its potential
maximum loss. SCOR defines this as its anticipated maximum loss,
taking into account contract limits, caused by a single
catastrophe affecting a broad contiguous geographic area, such
as that caused by a windstorm, a hurricane or an earthquake,
occurring within a given return period. SCOR estimates that its
current Group-wide potential maximum loss, before retrocessional
reinsurance, with the most significant exposures relating to
earthquake risks are located in Japan, Turkey, Peru and Canada
and that its wind and other weather-related risks are
concentrated in Europe and the U.S.

The following table summarizes the main Group
identified catastrophe exposures by geographic area:

|                                           |  |                                                        
|------------------------------------------ |  | -------------------------------------------------------
|Range of Potential Catastrophe Exposure(1) |  | Subject countries as of November 30, 2001              
|                                           |  |                                                        
|(EUR, in millions)                         |  |                                                        
|100 to 200                                 |  | Italy, Colombia, New Zealand, Greece, Chile,
    Mexico
|200 to 300                                 |  | United States, Australia, Canada, Taiwan               
|300 and over                               |  | Japan, Peru, Turkey, Europe (windstorm)                






|    |                                                                                                                                                    
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Calculated on a potential maximum loss basis for
    a given return period, for earthquake in all countries and
    except the windstorm in Europe.

Depending on the peril and region, the results
are based on proprietary software or models provided by third
party vendors.

For more than 15 years, SCOR has been using
its own internally developed and regularly updated software
program for evaluating earthquake potential maximum losses for
20 countries. The methods utilized for the simulation of the
events and of their consequential damages have been upgraded
into SERN (Système dEvaluation des Risques
Naturels or Natural Risks Evaluation System), an
enhancement of existing models

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##### Table of Contents



initiated in 1997 by SCOR and partners from
prominent research institutes and recognized private IT
companies. This software program is directly linked to our
worldwide database and available to all of SCORs
subsidiaries and operating units. As of October, 2001 SERN is
operational for earthquake exposure in Australia, Canada, Chile,
Colombia, Greece, Indonesia, Israel and Jordan, Italy, Japan,
Mexico, New Zealand, Peru, Philippines, Portugal, Taiwan, the
United States and Venezuela. SERN modeling development for
Turkey is in progress and estimates of earthquake exposure and
related potential maximum losses are obtained from SCORs
older proprietary system. For countries such as Japan and the
United States, SCORs analyses are compared with other
calculations performed using programs developed by specialized
independent consultants.


The potential accumulation due to hurricanes in
the United States and typhoons in Japan are analyzed in a
similar fashion, using third-party software and simulation tools.

European windstorm accumulation in the treaty
portfolio is also assessed by SERN, which has been adapted to
analyze windstorm events and is now operational in eight
European countries, reproducing past events and simulating
super-storms.

SCOR continues to refine its loss estimation
methodologies internally with the assistance of outside
consultants, geophysicists, meteorologists, statisticians and
other specialists.

The following table sets forth certain data
regarding the Groups catastrophe loss experience in each
of the three years, for a period ending December 31, 2001:

|                                                                  |  |                    |     |      |  |      |    |   |  |  |     |    
|----------------------------------------------------------------- |  | ------------------ | --- | ---- |  | ---- | -- | - |  |  | --- | ---
|                                                                  |  |                   
|                                                                  |  | Year Ended        
|                                                                  |  | December 31,      
|                                                                  |  |                   
|                                                                  |  | 1999               |     | 2000 |  | 2001
|                                                                  |  |                    |     |      |  |     
|                                                                  |  |                   
|                                                                  |  | (EUR, in millions)
|Number of catastrophes(1)                                         |  |                    | 4   |      |  |      |   |   |  |  | 1   |    
|Incurred losses and LAE from catastrophes, gross                  |  |                    | 162 |      |  |      |   |   |  |  | 670 | (2)
|Incurred losses and LAE from catastrophes, net of
    reinsurance |  |                    | 134 |      |  |      |   |   |  |  | 215 | (2)
|Group loss ratio                                                  |  |                    | 83  | %    |  |      | 96 | % |  |  | 102 | %  
|Group loss ratio excluding catastrophes                           |  |                    | 77  | %    |  |      | 96 | % |  |  | 95  | %  






|    |                                                                                                                                                             
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | A catastrophe is defined by SCOR as an event
    involving multiple insured risks causing pre-tax losses, net of
    reinsurance, of EUR 10 million or more.
|   
|(2) | World Trade Center.                                                                                                                                         

Claims

Individual claims reported to the Groups
subsidiaries are initially monitored and managed by the claims
departments at each subsidiary. In addition to managing reported
claims and conferring with ceding companies on claim matters,
the claims departments conduct periodic audits of specific
claims and the overall claims procedures at the offices of
ceding companies. Prior to accepting certain risks, the claims
departments are often requested by underwriters to conduct
claims audits of prospective ceding companies. SCOR attempts to
evaluate the ceding companys adjusting techniques,
reserves adequacy, staff and whether it follows proper claims
processing procedures. During such audits, the ceding
companys management is provided with a review and
assessment of its claims operation and recommendations regarding
procedures, processing and personnel.

In addition to the claims departments of each
Group subsidiary, the Group has established two central Group
Claims Departments; one located in Paris which is designed to
centralize and strengthen the supervision and management of
large claims arising from larger technical and industrial
coverage, and a second, based in London responsible for
longer-tail liability claims including those related to
environmental and similar exposures.

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Retrocessional Reinsurance

The Group retrocedes a portion of the risks it
underwrites in order to control its exposures and losses, and
pays premiums based upon the risks and exposures of its
facultative and treaty acceptances subject to such retrocession
reinsurance. Retrocession reinsurance is subject to
collectibility in all cases where the original business accepted
by the Group suffers from a loss. The Group remains primarily
liable to the direct insurer on all risks reinsured although the
retrocessionaire is liable to the extent of the reinsurance
limits purchased. SCOR then monitors the financial condition of
retrocessionaires on an ongoing basis. In recent years, the
Group has not experienced any material difficulties in
collecting recoverable amounts from its retrocessional
reinsurers. SCOR reviews its retrocession arrangements
periodically, to ensure that they fit closely to the development
of its business.

Through its centralized Retrocession Department
for Property-Casualty business and for Life business, the Group
establishes annual underwriting and retrocession guidelines by
class and line of business to make sure that the risks
underwritten remain within the capacity available through
retrocession purchases. The Group utilizes a variety of
retrocession agreements with non-affiliated retrocessionaires to
control its exposures to large property losses. The overall
program set in place on an annual basis provides coverage for up
to three major events within one occurrence year. A major event
is likely to be a natural catastrophe such as an earthquake, a
windstorm, a hurricane or a typhoon in a region where the Group
has aggregate exposures stemming from the business written.

Had a major catastrophe occurred resulting in a
loss equal to the Groups natural perils potential maximum
exposure, management estimates that the net loss before tax for
SCOR, including the cost of reinstatement retrocession premium
(excluding any reinstatement premium collected from ceding
companies) would have been EUR 200 million.

In 2001, the Group suffered a net loss from the
September 11, 2001 WTC attacks, of EUR 215 million
after retrocession recovery and including the reinstatement
retrocession premium.

In response to a volatile retrocession market and
in order to both diversify its sources of retrocession capacity
to financial markets and improve its quality, in March 2000, the
Group purchased a USD 200 million multi-year
reinsurance cover for specific natural catastrophe event
exposure in specified geographic zones subject to a limit of
USD 100 million per occurrence. The contract, provided
by Atlas Reinsurance p.l.c., protects SCORs property
and construction portfolio, for a period of three years, against
the occurrence of an earthquake in the U.S. or in Japan, or
a severe windstorm in Europe. Atlas Reinsurance p.l.c.
issued three classes of notes for a total of
USD 200 million with principal reduction contingent on
the loss indemnification provided to SCOR.

Further, in January 2002, the Group purchased a
USD 150 million multi-year reinsurance cover, to
provide a second event cover, for the same exposure and subject
to a limit of USD 100 million per occurrence. The
contract, provided by Atlas Reinsurance II p.l.c., protects
SCORs property and construction portfolio for a period of
three years. Atlas Reinsurance II p.l.c. issued two classes
of notes for a total of USD 150 million with principal
reduction contingent on the parametric model designed by Risk
Management Solutions (RMS) based on SCORs exposure.

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RESERVES

Significant periods of time may elapse between
the occurrence of an insured loss, the reporting of the loss to
the ceding company and the reinsurer and the ceding
companys payment of that loss and subsequent payments to
the ceding company by the reinsurer. To recognize liabilities
for unpaid losses, LAE and future policy benefits, insurers and
reinsurers establish reserves, which are balance sheet
liabilities representing estimates of future amounts needed to
be paid in respect of reported and not yet reported claims and
related expenses on losses that have already occurred.

The Group maintains reserves to cover its
estimated ultimate liability for losses and LAE with respect to
reported and not yet reported claims. Because reserves are
estimates of ultimate losses and LAE, management monitors
reserve adequacy over time, evaluating new information, as it
becomes known and adjusting reserves, as necessary. Management
considers many factors when setting reserves, including the
following:



| |   |                                                                                                                   
| | - | ------------------------------------------------------------------------------------------------------------------
| |  | information from ceding companies,                                                                                
|
| |  | historical trends, such as reserving patterns,
    loss payments, pending levels of unpaid claims and product mix,
|
| |  | internal methodologies that analyze the
    Groups experience with similar cases,                                
|
| |  | current legal interpretations of coverage and
    liability, and                                                  
|
| |  | economic conditions.                                                                                              

Based on these considerations, management
believes that adequate provision has been made for the
Groups Property-Casualty loss and LAE reserves, which
totaled EUR 6,917 million (net of retrocession) as of
December 31, 2001. Actual loss and LAE paid may deviate,
perhaps substantially, from such reserves. To the extent
reserves prove to be insufficient to cover actual losses and LAE
after taking into account available retrocessional coverage, the
Group would have to augment such reserves and incur a charge to
earnings which could have a material adverse effect on the
Companys consolidated financial condition, results of
operations and cash flows.

General

As part of the reserving process, insurers and
reinsurers review historical data and anticipate the impact of
various factors such as legislative enactments and judicial
decisions that may tend to affect potential losses from casualty
claims, changes in social and political attitudes that may
increase exposure to losses, mortality and morbidity trends and
trends in general economic conditions. This process assumes that
past experience, adjusted for the effects of current
developments, is an appropriate basis for anticipating future
events. The reserving process implicitly recognizes the impact
of inflation and other factors affecting losses by taking into
account changes in historical claim patterns and perceived
trends. There is no precise method, however, for subsequently
evaluating the impact of any specific item on the adequacy of
reserves, because the eventual deficiency or redundancy of
reserves is affected by many factors.

The Group periodically reviews and updates its
methods of determining estimates for incurred but not yet
reported (IBNR) losses and establishing resulting reserves, and
such adjustments are reflected in income currently. Estimation
of loss reserves is a difficult process, however, especially in
view of changes in the legal and tort environment that may
impact the development of loss reserves. While the reserving
process is difficult and subjective for the ceding companies,
the inherent uncertainties of estimating such reserves are even
greater for the reinsurer, due primarily to the longer time
between the date of an occurrence and the reporting of any
attendant claims to the reinsurer, the diversity of development
patterns among different types of reinsurance treaties or
facultative contracts, the necessary reliance on the ceding
companies for information regarding reported claims and
differing reserving practices among ceding companies. In
addition, trends that have affected development of liabilities
in the past may not necessarily occur or affect liability
development to the same degree in the future.

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Thus, actual losses, LAE and future policy
benefits may deviate, perhaps substantially, from estimates of
reserves reflected in the Groups consolidated financial
statements.

When a claim is reported to the ceding company,
its claims personnel establishes a case reserve for the
estimated amount of the ultimate settlement, if any, with
respect to such claim. The estimate reflects the judgment of the
ceding companys claims personnel, based on its reserving
practices. The ceding company reports the claim to the Group
subsidiary from which it obtained the reinsurance, together with
the ceding companys suggested estimate of the claims
cost. SCOR records the ceding companys suggested reserve
and may establish additional reserves based on review by the
Groups claims department and internal actuaries. Such
additional reserves are based upon the consideration of many
factors, including coverage, liability, severity and the
Groups assessment of the ceding companys ability to
evaluate and handle the claim.

In accordance with industry practice, the Group
maintains IBNR reserves. IBNR reserves are actuarially
determined and reflect:



| |    |                                                                                                                                                                                                                              
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 1. | the ultimate loss amount which may have to be
    paid by the Group on claims for events and circumstances which
    have occurred but which have not yet been reported either to the
    ceding company or to the Group, and
|
| | 2. | the expected change in the value of those claims,
    which have already been reported to the Group.                                                                                                                         

In its actuarial determination of IBNR reserves,
the Group uses generally accepted actuarial reserving techniques
that take into account quantitative loss experience data,
together with, where appropriate, qualitative factors. IBNR
reserves are also adjusted to reflect changes in the volume of
business written, reinsurance contract terms and conditions, the
mix of business and claims processing that can be expected to
affect the Groups liability for losses over time. With the
exception of reserves associated with workers compensation
and CRP finite reinsurance contracts that are discounted, the
Group does not discount Property and Casualty reserves.

In the Life area, reserves for future policy
benefits and claims are established based upon the Groups
best estimates of mortality, morbidity, persistency and
investment income, with appropriate provision for adverse
deviation. The liabilities for future policy benefits
established by the Group with respect to individual risks or
classes of business may be greater or less than those
established by ceding companies due to the use of different
mortality and other assumptions. Reserves for policy claims and
benefits include both mortality and morbidity claims in the
process of settlement and claims that have been incurred but not
yet reported. Actual experience in a particular period may be
worse than assumed experience and, consequently, may adversely
affect the Groups operating results for such period.

In addition to loss, LAE, future policy benefits
and IBNR reserves, under French GAAP and pursuant to applicable
French insurance regulations, and in the case of certain
non-French subsidiaries, pursuant to applicable local
regulations, SCOR is required to establish certain catastrophe
equalization reserves for future catastrophes and other losses.
These reserves are generally established by setting aside in
each year a specified portion of underwriting gains, if any, for
such year, subject to specified aggregate limits based on
premium volumes in lines of business affected by catastrophes or
other events. These reserves are not recorded as liabilities in
the financial statements prepared in accordance with
U.S. GAAP. The U.S. GAAP financial statements do,
however, include an allocation of retained earnings to a
catastrophe reserve recorded as an account in
shareholders equity. Retained earnings allocated to the
catastrophe reserve represent amounts expensed as catastrophe
coverage premium expense under French GAAP but not under
U.S. GAAP. Because such amounts have been expensed for
French accounting purposes, these amounts are not distributable
as dividends and consequently have been shown as an allocation
of retained earnings in the U.S. GAAP financial statements.

Changes in Historical Reserves

The table below shows changes in historical loss
reserves, on a French GAAP basis for the Groups
Property-Casualty operations for 1992 and subsequent years, net
of retrocessional reinsurance. The Groups reinsurance
contracts are generally written on an underwriting year basis
and the Group maintains its records on this same

29



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basis. As compared to loss development tables
presented on an accident year basis by U.S. registrants,
presentation on an underwriting year basis accelerates the
timing of the presentation of loss reserve development by moving
development of losses that actually occur in an accident year
subsequent to the end of the applicable underwriting year back
into such underwriting year. As discussed in the third paragraph
below, the Companys underwriting year loss development
data is, as a result, not fully comparable with accident year
data presented by U.S. registrants.


The top line of the table shows the initial
estimated reserves for unpaid losses and LAE recorded at each
year-end date, as well as the amount of such initial reserve net
of amounts retroceded to reinsurers. The upper (paid) portion of
the table presents the cumulative amounts paid through each
subsequent year on those claims for which reserves were carried
as of each specific year-end. The lower (liability re-estimated)
portion shows the re-estimated amount of the previously recorded
reserves, net of retrocession, based on experience as of the end
of each succeeding year. The estimate changes as more
information becomes known about the actual claims for which the
initial reserves were carried. The cumulative redundancy/
deficiency line represents the cumulative change in estimates
since the initial reserve was established. It is equal to the
latest liability re-estimated amount less the initial reserve.

An underwriting year reinsurance contract
reinsures losses incurred on underlying insurance policies that
begin at any time during the reinsurance contract term. This
means that, if both the underlying insurance contracts and the
reinsurance contract have twelve-month terms, the reinsurance
contract will cover underlying losses occurring over a
twenty-four month period. For example, if an underwriting year
reinsurance contract term was from January 1 to
December 31, 2001, it would cover underlying policies with
terms beginning on both January 1, 2001 and
December 31, 2001. Losses incurred on underlying policies
beginning on January 1, 2001 could occur as early as
January 1, 2001 while losses incurred on underlying
policies beginning on December 31, 2001 could occur as late
as December 30, 2002. For purposes of the loss reserve
development table, the Group has assigned all losses incurred
under reinsurance contracts written in a particular year to that
year, even though some of those losses may not have been
incurred until twelve months after the end of the year.

Since losses have been so assigned, the
reserve re-estimated x years later set
forth in the table includes all those losses incurred during the
x years following the reference year, but related to
an underwriting year prior to and including the reference year.
As a result, the amounts on the line labeled cumulative
redundancy/(deficiency) before premium development in the
loss development tables are not a precise indication of the
adequacy of the initial reserves that appear on the first and
third lines of the tables.

This has been partially corrected by inclusion in
the line labeled premium development of all the
premiums attributable to the underwriting year that are earned
in subsequent years. Such earned premiums are comprised
primarily of amounts included in the unearned premium reserves
at the end of a given reference year and which are progressively
earned during the years following such reference year, but also
include experience rated premiums received under certain
reinsurance contracts written in such underwriting year. The
Group does not specifically segregate experience rated premiums
in its accounting systems, but management does not believe such
amounts are material. This presentation permits a comparison of
the reserves for claims and claims expenses as initially
established with the re-estimated reserves for claims and claims
expenses, which have been adjusted for the effect of claims and
claims expenses incurred subsequent to the reference year-end.
While the resulting adjusted cumulative redundancy/ deficiency
is not a precise measurement and is not fully comparable to the
amounts that would be determined using accident year data,
management believes it to be a reasonable indication of the
adequacy of the Groups loss and loss adjustment expense
reserves as recorded in its consolidated financial statements as
of the referenced year ends.

30



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##### Table of Contents



Ten -Year Loss Development Table Presented Net
of

Reinsurance with Supplemental Gross Data
(French GAAP)(1)


|                                                                         |                   |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|------------------------------------------------------------------------ | ----------------- | ------------------ | ----- | ----- |  | ---- | ----- | ----- |  | ---- | ----- | ----- |  | ---- | ----- | ----- |  | ---- | ----- | ----- |  |  | ----- | ----- |  |  | ----- | ----- |  |  | ------ | ----- |  |  | ----- | ----- |  |  | ----- |  | 
|                                                                         |                   |                   
|                                                                         |                   | December 31,      
|                                                                         |                   |                   
|                                                                         |                   | 1992               |       | 1993  |  | 1994 |       | 1995  |  | 1996 |       | 1997  |  | 1998 |       | 1999  |  | 2000 |       | 2001 
|                                                                         |                   |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |      
|                                                                         |                   |                   
|                                                                         |                   | (EUR, in millions)
|Initial gross reserves for unpaid loss and LAE                           |                   |                    | 2,131 |       |  |      | 2,374 |       |  |      | 2,311 |       |  |      | 2,463 |       |  |      | 3,062 |       |  |  | 3,479 |       |  |  | 4,050 |       |  |  | 4,904  |       |  |  | 5,696 |       |  |  | 8,468 | 
|Initial retroceded reserves                                              |                   |                    | 586   |       |  |      | 536   |       |  |      | 284   |       |  |      | 242   |       |  |      | 306   |       |  |  | 298   |       |  |  | 354   |       |  |  | 438    |       |  |  | 536   |       |  |  | 1,462 | 
|                                                                         |                   |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|Initial net reserves(3)                                                  |                   |                    | 1,545 |       |  |      | 1,838 |       |  |      | 2,027 |       |  |      | 2,221 | (2)   |  |      | 2,756 |       |  |  | 3,181 |       |  |  | 3,696 |       |  |  | 4,466  |       |  |  | 5,160 |       |  |  | 7,006 | 
|Paid (cumulative)(4)as of:                                               |                   |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|                                                                         | One year later    |                    |       | 367   |  |      |       | 376   |  |      |       | 450   |  |      |       | 520   |  |      |       | 723   |  |  |       | 874   |  |  |       | 1,040 |  |  |        | 1,399 |  |  |       | 1,792 |  |  |       |  | 
|                                                                         | Two years later   |                    |       | 513   |  |      |       | 673   |  |      |       | 784   |  |      |       | 934   |  |      |       | 1,135 |  |  |       | 1,440 |  |  |       | 1,668 |  |  |        | 2,245 |  |  |       |       |  |  |       |  | 
|                                                                         | Three years later |                    |       | 706   |  |      |       | 881   |  |      |       | 1,074 |  |      |       | 1,191 |  |      |       | 1,405 |  |  |       | 1,778 |  |  |       | 1,934 |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Four years later  |                    |       | 842   |  |      |       | 1,116 |  |      |       | 1,292 |  |      |       | 1,368 |  |      |       | 1,599 |  |  |       | 2,002 |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Five years later  |                    |       | 1,018 |  |      |       | 1,291 |  |      |       | 1,431 |  |      |       | 1,505 |  |      |       | 1,720 |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Six years later   |                    |       | 1,164 |  |      |       | 1,407 |  |      |       | 1,542 |  |      |       | 1,581 |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Seven years later |                    |       | 1,247 |  |      |       | 1,498 |  |      |       | 1,601 |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Eight years later |                    |       | 1,323 |  |      |       | 1,541 |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Nine years later  |                    |       | 1,358 |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|Reserves re-estimated as of:                                             |                   |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|                                                                         | One year later    |                    |       | 1,667 |  |      |       | 2,040 |  |      |       | 2,215 |  |      |       | 2,482 |  |      |       | 3,173 |  |  |       | 3,453 |  |  |       | 4,148 |  |  |        | 5,108 |  |  |       | 5,983 |  |  |       |  | 
|                                                                         | Two years later   |                    |       | 1,731 |  |      |       | 2,045 |  |      |       | 2,285 |  |      |       | 2,585 |  |      |       | 3,125 |  |  |       | 3,536 |  |  |       | 4,172 |  |  |        | 5,357 |  |  |       |       |  |  |       |  | 
|                                                                         | Three years later |                    |       | 1,731 |  |      |       | 2,134 |  |      |       | 2,387 |  |      |       | 2,554 |  |      |       | 3,115 |  |  |       | 3,573 |  |  |       | 4,185 |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Four years later  |                    |       | 1,815 |  |      |       | 2,249 |  |      |       | 2,378 |  |      |       | 2,543 |  |      |       | 3,118 |  |  |       | 3,551 |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Five years later  |                    |       | 1,941 |  |      |       | 2,285 |  |      |       | 2,367 |  |      |       | 2,527 |  |      |       | 3,077 |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Six years later   |                    |       | 1,966 |  |      |       | 2,285 |  |      |       | 2,342 |  |      |       | 2,493 |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Seven years later |                    |       | 1,963 |  |      |       | 2,277 |  |      |       | 2,316 |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Eight years later |                    |       | 1,971 |  |      |       | 2,251 |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Nine years later  |                    |       | 1,946 |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|Cumulative redundancy/ (deficiency) before
    premium development       |                   |                    | (401  | )     |  |      | (413  | )     |  |      | (289  | )     |  |      | (272  | )     |  |      | (321  | )     |  |  | (370  | )     |  |  | (489  | )     |  |  | (891   | )     |  |  | (823  | )     |  |  |       | 
|Percentage before premium development                                    |                   |                    | (26   | )%    |  |      | (22   | )%    |  |      | (14   | )%    |  |      | (12   | )%    |  |      | (12   | )%    |  |  | (12   | )%    |  |  | (13   | )%    |  |  | (20    | )%    |  |  | (16   | )%    |  |  |       | 
|Premium development(5)                                                   |                   |                    | 193   |       |  |      | 295   |       |  |      | 237   |       |  |      | 222   |       |  |      | 344   |       |  |  | 331   |       |  |  | 375   |       |  |  | 467    |       |  |  | 853   |       |  |  |       | 
|                                                                         |                   |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|Cumulative redundancy/ (deficiency) after premium
    development        |                   |                    | (208  | )     |  |      | (118  | )     |  |      | (52   | )     |  |      | (50   | )     |  |      | 23    |       |  |  | (39   | )     |  |  | (114  | )     |  |  | (424   | ) (6) |  |  | 30    |       |  |  |       | 
|Percentage after premium development                                     |                   |                    | (13   | )%    |  |      | (6    | )%    |  |      | (3    | )%    |  |      | (2    | )%    |  |      | 1     | %     |  |  | (1    | )%    |  |  | (3    | )%    |  |  | (9     | )%    |  |  | 1     | %     |  |  |       | 
|Gross re-estimated liability at December 31,
    2001                    |                   |                    | 2,553 |       |  |      | 2,741 |       |  |      | 2,680 |       |  |      | 2,783 |       |  |      | 3,435 |       |  |  | 3,908 |       |  |  | 4,646 |       |  |  | 6,034  |       |  |  | 6,637 |       |  |  |       | 
|Re-estimated retro ceded at December 31, 2001                            |                   |                    | 607   |       |  |      | 490   |       |  |      | 364   |       |  |      | 290   |       |  |      | 358   |       |  |  | 357   |       |  |  | 461   |       |  |  | 677    |       |  |  | 654   |       |  |  |       | 
|                                                                         |                   |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|Net re-estimated liability at December 31,
    2001                      |                   |                    | 1,946 |       |  |      | 2,251 |       |  |      | 2,316 |       |  |      | 2,493 |       |  |      | 3,077 |       |  |  | 3,551 |       |  |  | 4,185 |       |  |  | 5,357  |       |  |  | 5,983 |       |  |  |       | 
|Gross cumulative redundancy/ (deficiency) before
    premium development |                   |                    | (422  | )     |  |      | (367  | )     |  |      | (369  | )     |  |      | (320  | )     |  |      | (373  | )     |  |  | (429  | )     |  |  | (596  | )     |  |  | (1,130 | )     |  |  | (941  | )     |  |  |       | 
|Gross premium development                                                |                   |                    | 344   |       |  |      | 401   |       |  |      | 325   |       |  |      | 301   |       |  |      | 430   |       |  |  | 430   |       |  |  | 443   |       |  |  | 623    |       |  |  | 933   |       |  |  |       | 
|                                                                         |                   |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|Gross redundancy/(deficiency) after premium
    development              |                   |                    | (78   | )     |  |      | 34    |       |  |      | (44   | )     |  |      | (19   | )     |  |      | 57    |       |  |  | 1     |       |  |  | (153  | )     |  |  | (507   | ) (6) |  |  | (8    | )     |  |  |       | 
|Percentage                                                               |                   |                    | (4    | )%    |  |      | 1     | %     |  |      | (2    | )%    |  |      | (1    | )%    |  |      | 2     | %     |  |  | 0     | %     |  |  | (4    | )%    |  |  | (10    | )%    |  |  | (0    | )%    |  |  |       | 






|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | The loss reserve development table is presented
    on an underwriting year basis, consistent with the reporting
    practices of the Company and its cedents, particularly in the
    European market. Accordingly, reserves re-estimated and the
    excess of re-estimated reserves over initial reserves include
    reserves for losses occurring up to twelve months subsequent to
    the original calendar year end.                                                                                                                                                                                                                                     
|   
|(2) | Pursuant to changes in French insurance
    regulations adopted in 1995, the Company reclassified as loss
    and LAE reserves in that year certain amounts relating to the
    Groups construction business previously held as unearned
    premium reserves (EUR 78 million) and certain amounts
    relating to the Groups Accident and Health business
    previously held as future policy benefits (EUR 107
    million). These reclassifications did not affect the
    Groups earned premiums or results of operations for the
    year ended December 31, 1995. The amount of the
    reclassifications relating to prior years cannot be determined.

31



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##### Table of Contents





|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(3) | For 1993 and 1994, SCORs initial gross
    reserves for claims and claims expenses and initial retroceded
    reserves have been adjusted to include the historical amount of
    reserves of Commercial Risk Partners, which was not included in
    the scope of SCORs French GAAP consolidation during such
    years.                                                                                                                                      
|   
|(4) | Cash commutation payments (i) received in
    1993 of EUR 60 million and in 1994 of EUR 129 million
    and (ii) paid in 1994 of EUR 48 million have been
    excluded from the paid (cumulative) amounts presented. The
    Incoming portfolio losses from the business of the North
    American portfolio acquired in 1996 received in 1996 of
    EUR 260 million for the years concerned have been excluded
    from the paid (cumulative) amount presented.
|   
|(5) | Re-estimated gross claims reserves for a given
    underwriting year are reduced by the amount of any premiums
    earned subsequent to but related to that underwriting year,
    including experience-rated premiums received and accrued from
    the ceding insurers as assumed losses were incurred.                                                                                                                                                        
|   
|(6) | Mostly adverse development on December
    1999 European Storms incurred by the whole market, and
    increase of reserves for US Casualty Risks.                                                                                                                                                                                                                                                                                                                

Payout pattern

The payout pattern for the Groups
reinsurance claims varies from year to year, but the
Groups overall experience has been that approximately 50%
of cumulative payments for an underwriting year occur by the end
of year four, 70% by the end of year seven and 90% by the end of
year fifteen.

Reconciliation of Reserves for Losses and LAE
(French GAAP)

|                                                                            |              |                               |       |      |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |       |       | 
|--------------------------------------------------------------------------- | ------------ | ----------------------------- | ----- | ---- | ----- | ---- | ----- | ----- | ----- | ---- | ----- | ----- | ----- |  | ----- | ----- | ----- |  | ----- | ----- | ----- | 
|                                                                            |              |                              
|                                                                            |              | Year ended December 31,      
|                                                                            |              |                              
|                                                                            |              | 1997                          |       | 1998 |       | 1999 |       | 2000  |       | 2001
|                                                                            |              |                               |       |      |       |      |       |       |       |     
|                                                                            |              |                              
|                                                                            |              | (EUR, in millions)           
|Reserves for losses and LAE at beginning of year,
    net                   |              |                               | 2,759 |      |       |      | 3,181 |       |       |      | 3,696 |       |       |  | 4,466 |       |       |  | 5,160 |      
|Effect of changes in foreign currency exchange
    rates                    |              |                               | 193   |      |       |      | (138  | )     |       |      | 356   |       |       |  | 180   |       |       |  | 129   |      
|Effect of claims reserve portfolio transfer and
    other reclassifications |              |                               |      |      |       |      | 316   |       |       |      |      |       |       |  | 46    |       |       |  | 943   | (1)  
|Incurred related to:                                                        |              |                               |       |      |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|                                                                            | Current year |                               |       | 905  |       |      |       | 1,096 |       |      |       | 1,277 |       |  |       | 1,517 |       |  |       | 2,428 |      
|                                                                            | Prior years  |                               |       | 416  |       |      |       | 272   |       |      |       | 452   |       |  |       | 642   |       |  |       | 824   |      
|                                                                            |              |                               |       |      |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|                                                                            |              | Total incurred losses and LAE |       |      | 1,321 |      |       |       | 1,368 |      |       |       | 1,729 |  |       |       | 2,159 |  |       |       | 3,252 | 
|                                                                            |              |                               |       |      |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|Paid related to:                                                            |              |                               |       |      |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|                                                                            | Current year |                               |       | 368  |       |      |       | 157   |       |      |       | 275   |       |  |       | 292   |       |  |       | 686   |      
|                                                                            | Prior years  |                               |       | 724  |       |      |       | 874   |       |      |       | 1,040 |       |  |       | 1,399 |       |  |       | 1,792 |      
|                                                                            |              |                               |       |      |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|                                                                            |              | Total paid losses and LAE     |       |      | 1,092 |      |       |       | 1,031 |      |       |       | 1,315 |  |       |       | 1,691 |  |       |       | 2,478 | 
|                                                                            |              |                               |       |      |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|Reserves for losses and LAE at end of
    year  net                        |              |                               | 3,181 |      |       |      | 3,696 |       |       |      | 4,466 |       |       |  | 5,160 |       |       |  | 7,006 |      
|                                                                            |              |                               |       |      |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|Reinsurance recoverable on unpaid losses                                    |              |                               | 299   |      |       |      | 354   |       |       |      | 438   |       |       |  | 536   |       |       |  | 1,462 |      
|                                                                            |              |                               |       |      |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|Reserves for losses and LAE at end of
    year  gross                      |              |                               | 3,480 |      |       |      | 4,050 |       |       |      | 4,904 |       |       |  | 5,696 |       |       |  | 8,468 |      
|                                                                            |              |                               |       |      |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      






|    |                    
|--- | -------------------
|(1) | SOREMA acquisition.

32



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##### Table of Contents



The following tables present nine-year loss
development on a U.S. GAAP basis and a five-year
reconciliation of beginning and ending reserve balances on a
U.S. GAAP basis. The U.S. GAAP loss development data
is presented on an underwriting year basis, while the reserve
reconciliation data represents the Companys allocation of
incurred and paid losses and LAE between current and prior years
on a calendar year basis. See also Note 15 of Notes to
Consolidated Financial Statements.

Nine-Year Loss Development Table Presented Net
of Reinsurance

with Supplemental Gross Data
(U.S. GAAP)(1)


|                                                                         |                            |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|------------------------------------------------------------------------ | -------------------------- | ------------------ | ----- | ----- |  | ---- | ----- | ----- |  | ---- | ----- | ----- |  | ---- | ----- | ----- |  | ---- | ----- | ----- |  |  | ----- | ----- |  |  | ------ | ----- |  |  | ----- | ----- |  |  | ----- |  | 
|                                                                         |                            |                   
|                                                                         |                            | December 31,      
|                                                                         |                            |                   
|                                                                         |                            | 1993               |       | 1994  |  | 1995 |       | 1996  |  | 1997 |       | 1998  |  | 1999 |       | 2000  |  | 2001
|                                                                         |                            |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |     
|                                                                         |                            |                   
|                                                                         |                            | (EUR, in millions)
|Initial gross reserves for unpaid loss and LAE                           |                            |                    | 2,891 |       |  |      | 2,760 |       |  |      | 2,600 |       |  |      | 3,361 |       |  |      | 3,723 |       |  |  | 3,942 |       |  |  | 4,774  |       |  |  | 5,575 |       |  |  | 8,365 | 
|Initial retroceded reserves                                              |                            |                    | 628   |       |  |      | 351   |       |  |      | 234   |       |  |      | 316   |       |  |      | 306   |       |  |  | 337   |       |  |  | 421    |       |  |  | 507   |       |  |  | 1,448 | 
|                                                                         |                            |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|Initial net reserves(2)                                                  |                            |                    | 2,263 |       |  |      | 2,409 |       |  |      | 2,366 |       |  |      | 3,045 |       |  |      | 3,417 |       |  |  | 3,605 |       |  |  | 4,353  |       |  |  | 5,068 |       |  |  | 6,917 | 
|                                                                         | Paid (cumulative)(3)as of: |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | One year later             |                    |       | 275   |  |      |       | 354   |  |      |       | 420   |  |      |       | 654   |  |      |       | 874   |  |  |       | 1,040 |  |  |        | 1,399 |  |  |       | 1,792 |  |  |       |  | 
|                                                                         | Two years later            |                    |       | 609   |  |      |       | 717   |  |      |       | 901   |  |      |       | 1,136 |  |      |       | 1,440 |  |  |       | 1,668 |  |  |        | 2,245 |  |  |       |       |  |  |       |  | 
|                                                                         | Three years later          |                    |       | 838   |  |      |       | 1,054 |  |      |       | 1,188 |  |      |       | 1,405 |  |      |       | 1,778 |  |  |       | 1,934 |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Four years later           |                    |       | 1,104 |  |      |       | 1,292 |  |      |       | 1,368 |  |      |       | 1,599 |  |      |       | 2,002 |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Five years later           |                    |       | 1,293 |  |      |       | 1,431 |  |      |       | 1,505 |  |      |       | 1,720 |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Six years later            |                    |       | 1,407 |  |      |       | 1,542 |  |      |       | 1,581 |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Seven years later          |                    |       | 1,498 |  |      |       | 1,601 |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Eight years later          |                    |       | 1,541 |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|Reserves re-estimated as of:                                             |                            |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|                                                                         | One year later             |                    |       | 2,462 |  |      |       | 2,595 |  |      |       | 2,630 |  |      |       | 3,458 |  |      |       | 3,690 |  |  |       | 4,057 |  |  |        | 4,996 |  |  |       | 5,892 |  |  |       |  | 
|                                                                         | Two years later            |                    |       | 2,467 |  |      |       | 2,665 |  |      |       | 2,733 |  |      |       | 3,411 |  |      |       | 3,772 |  |  |       | 4,082 |  |  |        | 5,244 |  |  |       |       |  |  |       |  | 
|                                                                         | Three years later          |                    |       | 2,556 |  |      |       | 2,767 |  |      |       | 2,702 |  |      |       | 3,401 |  |      |       | 3,810 |  |  |       | 4,095 |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Four years later           |                    |       | 2,671 |  |      |       | 2,758 |  |      |       | 2,692 |  |      |       | 3,404 |  |      |       | 3,787 |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Five years later           |                    |       | 2,706 |  |      |       | 2,748 |  |      |       | 2,675 |  |      |       | 3,363 |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Six years later            |                    |       | 2,707 |  |      |       | 2,722 |  |      |       | 2,641 |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Seven years later          |                    |       | 2,699 |  |      |       | 2,696 |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|                                                                         | Eight years later          |                    |       | 2,673 |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       |  | 
|Cumulative redundancy/(deficiency) before premium
    development        |                            |                    | (410  | )     |  |      | (287  | )     |  |      | (275  | )     |  |      | (318  | )     |  |      | (370  | )     |  |  | (490  | )     |  |  | (891   | )     |  |  | (824  | )     |  |  |       | 
|Percentage before premium development                                    |                            |                    | (18   | )%    |  |      | (12   | )%    |  |      | (12   | )%    |  |      | (10   | )%    |  |      | (11   | )%    |  |  | (14   | )%    |  |  | (20    | )%    |  |  | (16   | )%    |  |  |       | 
|Premium development(4)                                                   |                            |                    | 295   |       |  |      | 237   |       |  |      | 222   |       |  |      | 344   |       |  |      | 331   |       |  |  | 375   |       |  |  | 467    |       |  |  | 853   |       |  |  |       | 
|                                                                         |                            |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|Cumulative redundancy/(deficiency) after premium
    development         |                            |                    | (115  | )     |  |      | (50   | )     |  |      | (53   | )     |  |      | 26    |       |  |      | (39   | )     |  |  | (115  | )     |  |  | (424   | ) (5) |  |  | 29    |       |  |  |       | 
|Percentage after premium development                                     |                            |                    | (5    | )%    |  |      | (2    | )%    |  |      | (2    | )%    |  |      | 1     | %     |  |      | (1    | )%    |  |  | (3    | )%    |  |  | (10    | )%    |  |  | 1     | %     |  |  |       | 
|Gross re-estimated liability at December 31,
    2001                    |                            |                    | 3,254 |       |  |      | 3,128 |       |  |      | 2,926 |       |  |      | 3,735 |       |  |      | 4,279 |       |  |  | 4,537 |       |  |  | 5,903  |       |  |  | 6,516 |       |  |  |       | 
|Re-estimated receivable at December 31, 2001                             |                            |                    | 581   |       |  |      | 432   |       |  |      | 285   |       |  |      | 372   |       |  |      | 492   |       |  |  | 442   |       |  |  | 659    |       |  |  | 624   |       |  |  |       | 
|                                                                         |                            |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|Net re-estimated liability at December 31,
    2001                      |                            |                    | 2,673 |       |  |      | 2,696 |       |  |      | 2,641 |       |  |      | 3,363 |       |  |      | 3,787 |       |  |  | 4,095 |       |  |  | 5,244  |       |  |  | 5,892 |       |  |  |       | 
|Gross cumulative redundancy/ (deficiency) before
    premium development |                            |                    | (363  | )     |  |      | (368  | )     |  |      | (326  | )     |  |      | (374  | )     |  |      | (556  | )     |  |  | (595  | )     |  |  | (1,129 | )     |  |  | (941  | )     |  |  |       | 
|Gross premium development                                                |                            |                    | 401   |       |  |      | 325   |       |  |      | 301   |       |  |      | 430   |       |  |      | 430   |       |  |  | 443   |       |  |  | 623    |       |  |  | 933   |       |  |  |       | 
|                                                                         |                            |                    |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |      |       |       |  |  |       |       |  |  |        |       |  |  |       |       |  |  |       | 
|Gross redundancy/(deficiency) after premium
    development              |                            |                    | 38    |       |  |      | (43   | )     |  |      | (25   | )     |  |      | 56    |       |  |      | (126  | )     |  |  | (152  | )     |  |  | (506   | ) (5) |  |  | (8    | )     |  |  |       | 
|Percentage                                                               |                            |                    | 1     | %     |  |      | (2    | )%    |  |      | (1    | )%    |  |      | 2     | %     |  |      | (3    | )%    |  |  | (4    | )%    |  |  | (11    | )%    |  |  | (0    | )%    |  |  |       | 




33



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##### Table of Contents





|    |                                                                                                                                                                                                                                                                                                                                
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Initial gross, initial retroceded and initial net
    reserves are shown on a U.S. GAAP basis. Paid (cumulative)
    amounts and reserve re-estimated amounts are shown on an
    underwriting year basis, consistent with the reporting practices
    of the Company and its cedents, particularly in the European
    market.
|   
|(2) | The difference between French GAAP and
    U.S. GAAP initial net reserves are as follows:                                                                                                                                                                                                                                      



| |   |                                                                                                                                                                                                                                                                                                                                                                                                                                             
| | - | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | included under French GAAP is an equalization
    reserve of EUR 67 million, EUR 85 million, EUR 89
    million, EUR 63 million, EUR 76 million, EUR 50
    million, EUR 42 million, EUR 29 million and
    EUR 24 million in 2001, 2000, 1999, 1998, 1997, 1996, 1995,
    1994 and 1993, respectively, which is not recognized under
    U.S. GAAP.                                                                                       
|
| |  | under French GAAP, estimated paid losses, which
    represent that part of loss reserves which is expected to be
    paid within the next six months of EUR 0 million in 2001,
    2000, 1999 and 1998, and EUR 308 million, EUR 331
    million, EUR 191 million, and EUR 401 million in 1997,
    1996, 1995, and 1994, respectively, are included in accruals and
    not in loss reserves, as they are under U.S. GAAP.                 
|
| |  | For 1994, SCORs initial reserves have been
    adjusted of EUR 86 million to include historical amounts
    for CRP, which were not included in the scope of SCORs
    French GAAP during such year.                                                                                                                                                                                                                                      
|
| |  | Premiums accounted for as deposits in accordance
    with SFAS 113 under U.S. GAAP, are recognized as
    revenue and simultaneously recorded in reserves under French
    GAAP. This represents a difference in net reserves of
    EUR 32 million, EUR 7 million, EUR 24 million
    EUR 28 million, EUR (4) million and EUR (4)
    million, in 2001, 2000, 1999, 1998, 1997 and 1996, respectively,
    and none in 1995, 1994 and 1993.
|
| |  | under U.S. GAAP a provision is made for
    claim handling costs, which was not required under French GAAP
    until 1995. This U.S. GAAP provision amounted to EUR 1
    million, EUR 8 million and EUR 7 million in 1997, 1994
    and 1993, respectively, and none in 2001, 2000, 1999, 1998, 1996
    and 1995.                                                                                                                         



|    |                                                                                                                                                                                                                                                                                                                                                                                                                                             
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(3) | Cash commutation payments (i) received in
    1993 of EUR 60 million and in 1994 of EUR 129 million
    and (ii) paid in 1994 of EUR 48 million have been
    excluded from the paid (cumulative) amounts presented. Incoming
    portfolio losses from the business of the North American
    portfolio acquired in 1996 of EUR 260 million for the years
    concerned have been excluded from the paid (cumulative) amount
    presented.
|   
|(4) | Re-estimated gross claims reserves for a given
    underwriting year are reduced by the amount of any premiums
    earned subsequent to but related to that underwriting year,
    including experience-rated premiums received and accrued from
    the ceding insurers as assumed losses were incurred.                                                                                                                                   
|   
|(5) | Mostly adverse development on December
    1999 European Storms incurred by the whole market, and
    increase of reserves for US Casualty Risks                                                                                                                                                                                                                                                                                            

Reconciliation of Reserves for Losses and LAE
(U.S. GAAP)

|                                                                    |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |       |       | 
|------------------------------------------------------------------- | ------------ | -------------------------------- | ----- | ----- | ----- | ---- | ----- | ----- | ----- | ---- | ----- | ----- | ----- |  | ----- | ----- | ----- |  | ----- | ----- | ----- | 
|                                                                    |              |                                 
|                                                                    |              | Year ended December 31,         
|                                                                    |              |                                 
|                                                                    |              | 1997                             |       | 1998  |       | 1999 |       | 2000  |       | 2001
|                                                                    |              |                                  |       |       |       |      |       |       |       |     
|                                                                    |              |                                 
|                                                                    |              | (EUR, in millions)              
|Reserves for losses and LAE at beginning of year,
    net           |              |                                  | 3,045 |       |       |      | 3,417 |       |       |      | 3,605 |       |       |  | 4,353 |       |       |  | 5,068 |      
|Effect of changes in foreign currency exchange
    rates            |              |                                  | 189   |       |       |      | (157  | )     |       |      | 365   |       |       |  | 174   |       |       |  | 133   |      
|Effect of claims portfolio transfer and other
    reclassifications |              |                                  |      |       |       |      |      |       |       |      |      |       |       |  | 46    |       |       |  | 1,071 | (2)  
|                                                                    |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|Incurred related to:                                                |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|                                                                    | Current year |                                  |       | 1,261 |       |      |       | 1,386 |       |      |       | 1,590 |       |  |       | 1,716 |       |  |       | 3,076 |      
|                                                                    | Prior years  |                                  |       | 23    |       |      |       | 70    |       |      |       | 95    |       |  |       | 488   |       |  |       | 101   |      
|                                                                    |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|                                                                    |              | Total incurred losses and LAE(1) |       |       | 1,284 |      |       |       | 1,456 |      |       |       | 1,685 |  |       |       | 2,204 |  |       |       | 3,177 | 
|                                                                    |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|Change in accounting principle                                      |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  | (62   | )    
|Paid related to:                                                    |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|                                                                    | Current year |                                  |       | 301   |       |      |       | 214   |       |      |       | 246   |       |  |       | 303   |       |  |       | 738   |      
|                                                                    | Prior years  |                                  |       | 800   |       |      |       | 897   |       |      |       | 1,056 |       |  |       | 1,406 |       |  |       | 1,732 |      
|                                                                    |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|                                                                    |              | Total paid losses and LAE(1)     |       |       | 1,101 |      |       |       | 1,111 |      |       |       | 1,302 |  |       |       | 1,709 |  |       |       | 2,470 | 
|                                                                    |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|Reserves for losses and loss expenses at end of
    year  net      |              |                                  | 3,417 |       |       |      | 3,605 |       |       |      | 4,353 |       |       |  | 5,068 |       |       |  | 6,917 |      
|Reinsurance recoverable on unpaid losses                            |              |                                  | 306   |       |       |      | 337   |       |       |      | 421   |       |       |  | 507   |       |       |  | 1,448 |      
|                                                                    |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      
|Reserves for losses and loss expenses at end of
    year  gross    |              |                                  | 3,723 |       |       |      | 3,942 |       |       |      | 4,774 |       |       |  | 5,575 |       |       |  | 8,365 |      
|                                                                    |              |                                  |       |       |       |      |       |       |       |      |       |       |       |  |       |       |       |  |       |      






|    |                                                                                                                                                                                                      
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Initial gross, initial retroceded and initial net
    reserves are shown on a U.S. GAAP basis. Paid (cumulative)
    amounts and reserve re-estimated amounts are shown on a calendar
    year basis.
|   
|(2) | SOREMA                                                                                                                                                                                               

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Asbestos and environmental

The Groups reserves for losses and LAE
include an estimate of its ultimate liability for asbestos and
environmental claims for which an ultimate value cannot be
estimated using traditional reserving techniques and for which
there are significant uncertainties in estimating the amount of
the Groups potential losses. SCOR and certain of its
subsidiaries, of which principally SCOR US, have received and
continue to receive notices of potential reinsurance claims from
ceding insurance companies which have in turn received claims
asserting environmental and asbestos losses under primary
insurance policies, in part reinsured by Group companies. Such
claims notices are frequently merely precautionary in nature and
generally are unspecific, and the primary insurers often do not
attempt to quantify the amount, timing or nature of the
exposure. Given the lack of specificity in these notices, SCOR
cannot quantify its potential exposure regarding the claims
reported. In addition, significant uncertainties exist with
respect to estimating the ultimate future amounts that may be
needed for asbestos related and environmental pollution claims,
especially in view of changes in the legal and tort environment
that affect the development of claims reserves, and the
uncertainties inherent in valuing asbestos-related and
environmental pollution claims are not likely to be resolved in
the near future. These inherent uncertainties of estimating
claims reserves are exacerbated for reinsurers by the
significant periods of time that often elapse between the
occurrence of an insured loss, the reporting of the loss to the
direct insurer and, ultimately, to the reinsurer, and the direct
insurers payment of that loss and subsequent
indemnification by the reinsurer.

Management believes, however, that the Company
and its subsidiaries have not underwritten significant amounts
of business in those classes and with those insurers or
reinsurers, whether directly in the U.S. market or through
the London market, that are known to be exposed to asbestos and
environmental-related claims. Accordingly, while there can be no
assurances as to the ultimate exposure to the Group of these
type of claims, management believes based on information
currently available to it that the Groups current known
exposure to asbestos and environmental-related claims is not
material to the Groups financial position and results of
operations. Case reserves have been established when sufficient
information has been developed to indicate the involvement of a
specific reinsurance contract. In addition, incurred but not
reported reserves have been established to provide for
additional exposure on both known and unasserted claims. These
reserves are reviewed and updated continually. In establishing
liabilities for asbestos and environmental claims, management
considers facts currently known and the current legal and tort
environment.

|                                                                     |  |                         |     |               |  |      |     |      |  |      |     |      |  |  |     |   |  |  |     |   |  |  |     |  
|-------------------------------------------------------------------- |  | ----------------------- | --- | ------------- |  | ---- | --- | ---- |  | ---- | --- | ---- |  |  | --- | - |  |  | --- | - |  |  | --- | -
|                                                                     |  |                        
|                                                                     |  | Year ended December 31,
|                                                                     |  |                        
|                                                                     |  |                         |     |              
|                                                                     |  | Asbestos                |     | Environmental
|                                                                     |  |                         |     |              
|                                                                     |  | 1999                    |     | 2000          |  | 2001 |     | 1999 |  | 2000 |     | 2001
|                                                                     |  |                         |     |               |  |      |     |      |  |      |     |     
|                                                                     |  |                        
|                                                                     |  | (EUR, in millions)     
|Gross claims reserves, including IBNR reserves                       |  |                         | 70  |               |  |      | 88  |      |  |      | 86  |      |  |  | 87  |   |  |  | 69  |   |  |  | 57  |  
|% of total loss and LAE reserves                                     |  |                         | 1.5 | %             |  |      | 1.6 | %    |  |      | 1.0 | %    |  |  | 1.8 | % |  |  | 1.2 | % |  |  | 0.7 | %
|Claims and LAE paid                                                  |  |                         | 7   |               |  |      | 12  |      |  |      | 13  |      |  |  | 10  |   |  |  | 11  |   |  |  | 15  |  
|% of the Groups total net Property-Casualty
    claims and LAE paid |  |                         | 0.5 | %             |  |      | 0.7 | %    |  |      | 0.5 | %    |  |  | 0.8 | % |  |  | 0.6 | % |  |  | 0.6 | %

For that three year period the amounts paid in
respect of claims and LAE reflect primarily the settlement of
large claims and the commutation by the Company of several
policies related to one block of pollution-related business
covering prior years. More generally, SCOR has developed a
policy of buying back its longstanding liabilities on asbestos
and environmental exposures whenever the possibility exists to
do so on a commercially reasonable basis, i.e., whenever SCOR
determines, based on its assessment of the potential exposure of
the Group based on actuarial techniques and market practices,
that the terms of the final negotiated settlement are attractive
in light of the possible development of future liabilities.
Preference is given to selected treaties with regard to specific
circumstances such as the maturity of claims, the level of
claims information available, the status of cedents and market
settlements. It is the intention of management, that this
commutation policy be further pursued and developed in 2002 and
in subsequent years. It is anticipated that the policy will
affect settlement patterns to a limited degree in future years,
although these changes in settlement patterns are not

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expected to have a material adverse effect on the
Groups financial condition, results of operations or cash
flows.


SCORs exposure to asbestos and
environmental liabilities stems from its participation in both
proportional and non-proportional treaties and in facultative
contracts, which have generally been in run-off for many years.

Proportional treaties typically provide claims
information on a global treaty basis, and as a result specific
claims data is rarely available. With respect to
non-proportional treaties and facultative contracts, normal
market practice is to provide a specific proof of loss for each
individual claim, making it possible to record total claims
notified for such contracts. With respect to environmental
exposures, most of SCORs identified claims stem from its
U.S. subsidiary operations, with less significant amounts
recorded by its European subsidiaries. When applicable, LAE are
part of the claims submitted by cedents and as such are included
in the figures above for both asbestos and environmental
exposures. No additional litigation costs of any significance
have been incurred in relation to such liabilities.

|                                                                                                       |  |                         |             |               |  |      |             |      |  |  |            |  |  |  |             | 
|------------------------------------------------------------------------------------------------------ |  | ----------------------- | ----------- | ------------- |  | ---- | ----------- | ---- |  |  | ---------- |  |  |  | ----------- | 
|                                                                                                       |  |                        
|                                                                                                       |  | Year ended December 31,
|                                                                                                       |  |                        
|                                                                                                       |  |                         |             |              
|                                                                                                       |  | Asbestos                |             | Environmental
|                                                                                                       |  |                         |             |              
|                                                                                                       |  | 2000                    |             | 2001          |  | 2000 |             | 2001
|                                                                                                       |  |                         |             |               |  |      |             |     
|Number of claims notifications with respect to
    non-proportional treaties and facultative contracts |  |                         | 6,795       |               |  |      | 7,124       |      |  |  | 9,330      |  |  |  | 9,228       | 
|Average cost per claim(1)                                                                              |  |                         | EUR  17,500 |               |  |      | EUR  18,654 |      |  |  | EUR  9,957 |  |  |  | EUR  10,858 | 






|    |                                                                                                                          
|--- | -------------------------------------------------------------------------------------------------------------------------
|(1) | Not including claims that were settled at no
    cost, and claims of a precautionary nature not quantified in
    amount.

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INVESTMENTS

General

SCORs overall investment strategy is to
achieve satisfactory returns on managed assets with minimal
exposure to risk. The investment strategy also reflects the
structure of SCORs liability profile, and the duration of
the assets of each subsidiary is generally established based
upon the expected duration of liabilities. At December 31,
2001, the weighted average maturity of the Groups fixed
maturity portfolio was approximately 4.5 years. As a
general practice, the Group does not invest in derivative
securities for the purpose of managing the relative duration of
its assets and liabilities. See  Changes in
Historical Reserves for a discussion of the expected
duration of the Groups reinsurance liabilities, and the
tabular summary of the Groups fixed maturities by
remaining contract maturity, set forth in Note 2 of Notes
to Consolidated Financial Statements, for information concerning
the duration of the Groups assets. Similarly, assets are
generally invested in currencies corresponding to those in which
the related liabilities are denominated in order to minimize
exposure to currency fluctuations. In addition, to a limited
extent, the Group uses currency spot and forward contracts, as
well as swap and other derivative contracts, to manage its
foreign currency exposure.

SCORs investment policy is largely
centralized. Investment guidelines are established annually and
regularly reviewed and updated by the Investment Committee,
subject to supervision by the Companys Board of Directors.
Regular meetings of the Investment Committee are held to review
portfolio performance and monitor market and portfolio
developments.

The Groups portfolio consists primarily of
unrated government and government-guaranteed bonds with medium
term maturities. The remainder of the portfolio is divided among
equity securities, real estate and liquid and short-term assets.
The Company manages its investment portfolio to maximize income
and generally does not manage such portfolio for the purpose of
generating capital gains, but seeks to realize capital gains or
losses when and as they become available as a result of its
normal investing activities.

The following table summarizes net investment
income of the SCOR Groups portfolio for 1999, 2000 and
2001. See also Note 2 of Notes to Consolidated Financial
Statements.

Consolidated Net Investment Income

|                          |                                                                   |                         |     |          |     |          |      |          |  |          |    |          |  |        |     |          |     |          |      |  |  |  |     |  |  |  |     |     |     |  |      |  |  |  |     |   |  | 
|------------------------- | ----------------------------------------------------------------- | ----------------------- | --- | -------- | --- | -------- | ---- | -------- |  | -------- | -- | -------- |  | ------ | --- | -------- | --- | -------- | ---- |  |  |  | --- |  |  |  | --- | --- | --- |  | ---- |  |  |  | --- | - |  | 
|                          |                                                                   |                        
|                          |                                                                   | Year ended December 31,
|                          |                                                                   |                        
|                          |                                                                   |                         |     |          |     |         
|                          |                                                                   | 1999                    |     | 2000     |     | 2001    
|                          |                                                                   |                         |     |          |     |         
|                          |                                                                   |                         |     | Realized |     |          |      | Realized |  |          |    | Realized
|                          |                                                                   |                         |     | Pre-tax  |     | Gains    |      |          |  | Pre-tax  |    | Gains    |  |        |     | Pre-tax  |     | Gains   
|                          |                                                                   | Income                  |     | Yield(1) |     | (Losses) |      | Income   |  | Yield(1) |    | (Losses) |  | Income |     | Yield(1) |     | (Losses)
|                          |                                                                   |                         |     |          |     |          |      |          |  |          |    |          |  |        |     |          |     |         
|                          |                                                                   |                        
|                          |                                                                   | (EUR, in millions)     
|Fixed maturity securities |                                                                   |                         | 221 |          |     |          | 6.1% |          |  |          | 72 |          |  |        | 300 |          |     |          | 6.5% |  |  |  | 42  |  |  |  | 379 |     |     |  | 6.7% |  |  |  | 69  |  
|Equity securities         |                                                                   |                         | 7   |          |     |          | 1.6% |          |  |          | 71 |          |  |        | 17  |          |     |          | 3.2% |  |  |  | 238 |  |  |  | 26  |     |     |  | 4.7% |  |  |  | (66 | )
|Trading equity securities |                                                                   |                         |    |          |     |          |      |          |  |          |    |          |  |        | 2   |          |     |          |      |  |  |  |     |  |  |  | (56 | )   |     |  |      |  |  |  |     |  
|Short term and other(2)   |                                                                   |                         | 63  |          |     |          | 4.0% |          |  |          |   |          |  |        | 51  |          |     |          | 1.9% |  |  |  | 133 |  |  |  | 92  |     |     |  | 3.6% |  |  |  | 7   |  
|Less investment expense   |                                                                   |                         |     |          |     |          |      |          |  |          |    |          |  |        |     |          |     |          |      |  |  |  |     |  |  |  |     |     |     |  |      |  |  |  |     |  
|                          | Swap interest                                                     |                         |     | (7       | )   |          |      |          |  |          |    |          |  |        |     | (12      | )   |          |      |  |  |  |     |  |  |  |     | (13 | )   |  |      |  |  |  |     |   | 
|                          | Commercial paper expense                                          |                         |     | (4       | )   |          |      |          |  |          |    |          |  |        |     | (4       | )   |          |      |  |  |  |     |  |  |  |     | (3  | )   |  |      |  |  |  |     |   | 
|                          | Administration expense                                            |                         |     | (16      | )   |          |      |          |  |          |    |          |  |        |     | (28      | )   |          |      |  |  |  |     |  |  |  |     | (13 | )   |  |      |  |  |  |     |   | 
|                          | Other (including convertible debenture interest
    and discount) |                         |     | (28      | )   |          |      |          |  |          |    |          |  |        |     | (39      | )   |          |      |  |  |  |     |  |  |  |     | (65 | )   |  |      |  |  |  |     |   | 
|                          |                                                                   |                         |     |          |     |          |      |          |  |          |    |          |  |        |     |          |     |          |      |  |  |  |     |  |  |  |     |     |     |  |      |  |  |  |     |  
|                          |                                                                   | Total                   |     |          | 236 |          |      |          |  |          |    |          |  |        |     |          | 287 |          |      |  |  |  |     |  |  |  |     |     | 347 |  |      |  |  |  |     |   |  | 
|                          |                                                                   |                         |     |          |     |          |      |          |  |          |    |          |  |        |     |          |     |          |      |  |  |  |     |  |  |  |     |     |     |  |      |  |  |  |     |  






|    |                                                                                                                                                                                                                                                                                                                                                                                                                  
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Pre-tax yield is calculated as investment income
    (including dividends in the case of equities) divided by the
    average of the beginning and end of year investment balances.
    Investment balances were at fair value, except for equities for
    which cost was used. To the extent applicable, investment
    balances were converted into euro from local currencies at
    year-end exchange rates.
|   
|(2) | Includes swap income of EUR 8 million in
    1999, 13 million in 2000, and 10 million in 2001.
    Other swap-related net income is included in realized and
    unrealized capital gains (and losses).                                                                                                                                                                                                          

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Portfolios

The following table details the distribution by
category of investment of SCOR Groups insurance investment
portfolio by net book value:

Consolidated Investment Position

|                                                   |       |                                   |       |       |  |      |    |     |   |  |       |       |  |  |    |     |   |  |       |       |  |  |    |     |  
|-------------------------------------------------- | ----- | --------------------------------- | ----- | ----- |  | ---- | -- | --- | - |  | ----- | ----- |  |  | -- | --- | - |  | ----- | ----- |  |  | -- | --- | -
|                                                   |       |                                  
|                                                   |       | Net book value as of December 31,
|                                                   |       |                                  
|                                                   |       |                                   |       |       |  |     
|                                                   |       | 1999                              |       | 2000  |  | 2001
|                                                   |       |                                   |       |       |  |     
|                                                   |       |                                  
|                                                   |       | (EUR, in millions)               
|Fixed maturities available for sale, at fair value |       |                                   | 3,772 |       |  |      | 74 | %   |   |  | 5,563 |       |  |  | 75 | %   |   |  | 5,582 |       |  |  | 62 | %  
|Equity securities, available for sale              |       |                                   | 630   |       |  |      | 12 | %   |   |  | 757   |       |  |  | 10 | %   |   |  | 646   |       |  |  | 7  | %  
|Equity securities, held for trading                |       |                                   |      |       |  |      |   |     |   |  | 200   |       |  |  | 3  | %   |   |  | 56    |       |  |  | 1  | %  
|Short-term investments                             |       |                                   | 286   |       |  |      | 5  | %   |   |  | 301   |       |  |  | 4  | %   |   |  | 448   |       |  |  | 5  | %  
|Other long-term investments                        |       |                                   | 242   |       |  |      | 5  | %   |   |  | 334   |       |  |  | 5  | %   |   |  | 358   |       |  |  | 4  | %  
|Cash and cash equivalents                          |       |                                   | 183   |       |  |      | 4  | %   |   |  | 247   |       |  |  | 3  | %   |   |  | 1,927 |       |  |  | 21 | %  
|                                                   |       |                                   |       |       |  |      |    |     |   |  |       |       |  |  |    |     |   |  |       |       |  |  |    |    
|                                                   | Total |                                   |       | 5,113 |  |      |    | 100 | % |  |       | 7,402 |  |  |    | 100 | % |  |       | 9,017 |  |  |    | 100 | %
|                                                   |       |                                   |       |       |  |      |    |     |   |  |       |       |  |  |    |     |   |  |       |       |  |  |    |    

See Note 2 of Notes to Consolidated
Financial Statements for a breakdown of amortized costs and
estimated fair values of fixed maturity investments by major
type of security, including fixed maturities held to maturity
and available for sale as of December 31, 1999, 2000 and
2001.

The following table presents the Groups
fixed maturities by counter party credit quality as of
December 31, 2001:

|                                                                                                 |       |                         |       |                |  |  |    |     |  
|------------------------------------------------------------------------------------------------ | ----- | ----------------------- | ----- | -------------- |  |  | -- | --- | -
|                                                                                                 |       |                        
|                                                                                                 |       | As of December 31, 2001
|                                                                                                 |       |                        
|                                                                                                 |       |                         |       | % of total net
|Rating                                                                                           |       | Net book value          |       | book value    
|                                                                                                 |       |                         |       |               
|                                                                                                 |       |                        
|                                                                                                 |       | (EUR, in millions)     
|Guaranteed by the French or an European
    government or its agencies, or the European Union(1) |       |                         | 100   |                |  |  | 2  | %  
|AAA                                                                                              |       |                         | 3,538 |                |  |  | 63 | %  
|AA                                                                                               |       |                         | 678   |                |  |  | 12 | %  
|A                                                                                                |       |                         | 755   |                |  |  | 14 | %  
|BBB                                                                                              |       |                         | 262   |                |  |  | 5  | %  
|Below BBB                                                                                        |       |                         | 64    |                |  |  | 1  | %  
|Unrated                                                                                          |       |                         | 185   |                |  |  | 3  | %  
|                                                                                                 |       |                         |       |                |  |  |    |    
|                                                                                                 | Total |                         |       | 5,582          |  |  |    | 100 | %
|                                                                                                 |       |                         |       |                |  |  |    |    






|    |                                                                                                                                                         
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Debt securities issued or guaranteed by the
    French government, by another European government or by the
    European Union, none of which are rated.

See Note 2 of Notes to Consolidated
Financial Statements for a breakdown of fixed maturities
included in the SCOR Groups portfolio by remaining
maturity as of December 31, 2001.

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INFORMATION TECHNOLOGY

SCOR believes that the use of information
technology has become an increasingly important factor in the
reinsurance industry in recent years, and that computerized
access to market and client-specific data will allow reinsurers
to more efficiently and effectively underwrite and price risk,
as well as reduce costs through automation of certain claims,
administrative and accounting functions.

Making the most of new technologies is a primary
objective at SCOR. Not only is the Group equipped with
high-performance information systems, but also its technological
expertise and capacity to innovate are permanently at work for
its clients. Accessible on the Groups Internet site, its
range of i-solutions include Astre, an analysis and
pricing tool for medium-size businesses, I-Fac for
facultative offers in the United States and SAR@, the first site
dedicated to sub-standard risk in Life insurance.

SCOR is also equipped to receive and process its
reinsurance accounts via electronic transfer which has led to
even greater efficiency in its relations with clients and
considerable improvements in terms of administrative management.
In addition, SCOR joined Inreon, an independent, internet-based
reinsurance exchange for reinsurance products whose purpose is
to create a collaborative environment for insurers, reinsurers
and brokers

OMEGA

The Groups information system known as
OMEGA is designed to provide direct network links among SCOR and
all of its subsidiaries, establish Group-wide access to current,
consistent client and market-related data, standardize network
operating environments, methodologies and terminology within the
Group, and allow for more efficient underwriting, claims
processing, accounting and other applications on a Group-wide
basis. The OMEGA system includes both proprietary and
non-proprietary software applications, and is designed to
operate through a server-based system with centers in Paris, New
York and Singapore, supporting the Groups European, North
and Central American and Asia-Pacific operations, respectively.

Development of the system began in 1995,
involving all subsidiaries of the Group. In 1999, OMEGA was
fully operational and is used throughout the Group for all
client-related and marketing information, underwriting, claims
processing, settlement, technical accounting and retrocession
functions. Effective with the six months ended June 30,
1999 closing, the Group has performed its technical accounting
on OMEGA.

The development and implementation of OMEGA has
represented a total cost to the Group of approximately EUR
26 million for external software and hardware, through
December 31, 1999. No significant additional development
and implementation costs were incurred in 2001. This cost is
shared by SCOR and its subsidiaries in proportion to their size
and use of the system and amortized over a period of
approximately five years.

SERN

SERN is the acronym for Système
dEvaluation des Risques Naturels or Natural
Risks Evaluation System, a venture initiated by SCOR and certain
prominent public and private organizations in 1997 to model the
major natural risks, such as storms and earthquakes in the main
countries of the world exposed to these types of risks.

SERN is designed to estimate a companys
earthquake and storm exposure, based on a detailed breakdown of
its portfolio. It is a powerful software package, capable of
simulating events and calculating resulting damages for business
written (facultative and/or treaty), either individually or as a
whole. SCOR believes that SERN, when compared with other models
developed by third-party vendors, is distinguished by its
capacity to analyze insurance and reinsurance contracts in
detail.

This system is capable of reproducing past events
and modeling future ones. Deployed in all of the Groups
subsidiaries and directly linked to OMEGA, it is already being
used to analyze risk accumulations in contracts. It can also
provide assistance in rating non-proportional treaties and in
calculating reserves, and may

39



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##### Table of Contents



be adapted to wider geographic areas and applied
to other types of natural catastrophes, including hurricanes and
floods.


The current scope of the software includes
windstorm in eight countries of Europe and earthquake in 20
countries of the world. It will be further enhanced over the
coming years to model other natural perils such as hurricanes in
the U.S. typhoons in Asia and floods in several regions of
the world.

Sar@

Sar@ is an internet site designed to provide Life
insurance companies with pricing and information on substandard
risks in Life and disability insurance. Using the potential of
Internet, it is accessible worldwide 24 hours a day, in
French, English, Spanish, Italian and German.

Sar@ offers a pricing module in a secured
environment, with an extensive data base of 3,500 diseases,
1,500 professions, 350 sports, and more than 20 means of
transport. With its real time updating, it is aimed at
facilitating the pricing of risk exposures in 180 countries. The
benefits covered by Sar@ include death, total and permanent
disability and short-term disability, with medical expenses and
long term care to be added.

REGULATION OF THE REINSURANCE
INDUSTRY

The business of reinsurance is subject to
regulation in most countries, although such regulation is
subject to significant variation in different jurisdictions.
While generally less highly regulated in most countries than
primary insurers, in certain jurisdictions reinsurers are
subject to licensing and supervision standards comparable to
those governing direct insurers.

Management believes that the Company and its
subsidiaries are in material compliance with all applicable laws
and regulations pertaining to their business and operations.




C. ORGANIZATIONAL STRUCTURE

OPERATIONS

General

The Groups reinsurance operations are
conducted through the treaty Property-Casualty reinsurance,
Life/ Accident & Health reinsurance, and large industrial
risks operating divisions of SCOR, respectively known as
Division SCOR Non-Vie, Division SCOR Vie and Division SCOR
Business Solutions, as well as through ten European,
North-American and Asian subsidiaries, each of which operates
primarily in its regional market. SCOR and its operating
divisions, SCOR U.S., and Commercial Risk Partners, Ltd.
(CRP), accounted for more than 75% of the
Groups gross written premiums in 2001. The life, accident,
disability, health, unemployment and long-term care operations
of the Group are conducted mainly through Division SCOR Vie,
which also provides support in these segments of reinsurance to
Group subsidiaries, primarily SCOR Life U.S. Re, SCOR
Deutschland and SCOR Italia. The following sets forth the
Groups primary reinsurance

40



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##### Table of Contents



subsidiaries as of December 31, 2001, their
respective country of incorporation, and between brackets, the
main markets served by each entity:





The current Group structure has been developed to
facilitate access to domestic markets through local subsidiaries
and branch offices, to provide for clearly identified profit
centers in each major primary reinsurance market, and to develop
local management and underwriting expertise in order to better
attract, service and maintain relationships with local cedents
and better understand the unique nature of local risks.

The Groups headquarters operations in Paris
provide claims, actuarial, accounting, legal, administrative,
systems, internal audit, investment, human resources and other
support to the Group subsidiaries. The Groups worldwide
offices are connected through a backbone network and
application, data and exchange systems, allowing local access to
centralized risk analysis, underwriting or pricing databases,
while at the same time allowing information on local market
conditions to be shared among the Groups offices
worldwide. In addition, through regular exchanges of personnel
between Group headquarters in Paris and its non-French
subsidiaries and branch offices, the Group encourages
professional development and training across its various
geographic markets and business lines.




D. PROPERTY, PLANTS AND
EQUIPMENT

The Group owns the Companys executive
offices, consisting of 35,000 square meters located in the
business center of La Defense near Paris. The Group owns also
properties in Hanover (Germany), Milan (Italy) and Singapore,
where its subsidiaries in those locations have their head
offices, and rents space for other subsidiaries. SCOR USs
headquarters, located at the WTC in New York, were destroyed in
the attacks of September 11th and have since been relocated
to other facilities in lower Manhattan. SCOR believes that the
Groups facilities are adequate for its present needs in
all material respects. SCOR also holds other investment
properties in connection with its reinsurance operations.

41



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##### Table of Contents






Item 5. Operating and Financial
Review and Prospects






A. OPERATING RESULTS


Overview

The Groups results of operations are
affected by a variety of market and other conditions, including
insurance and reinsurance industry conditions, exchange rate
fluctuations relative to the euro and changes in interest rates
and the general economic environment.

Industry Conditions

The year 2001 was a watershed year for our
industry as a whole, affecting every aspect of the insurance
markets: supply and demand, players, rating conditions, analysis
of exposures. Technical conditions in the Property &
Casualty (P&C) insurance markets deteriorated sharply
between 1995 and 2000, due to a continuous, across-the-board
decline in rates, from motor insurance to non-standard
engineering risks. This was accompanied by the simultaneous
widening  and deterioration  of cover
terms, including reduced deductibles, caps, enlargement of the
scope of guarantees and improper bases for insured values.

This situation could hardly fail to generate
recurring technical losses. But it was compounded by a wave of
major natural catastrophes, including the Lothar and Martin
storms in Europe in 1999, hurricane Bart in Japan in 2000, as
well as by major industrial disasters.

Until the end of 2000, net investment income may
have obscured the scale of this structural deficit. However, the
downturn in the business cycle in early 2001 made it impossible
to continue to offset underwriting losses in this way. This new
situation was aggravated by the stock market slide and loss of
assets in the wake of September 11, highlighting the need
for a return to prices and conditions more closely aligned with
technical and economic realities in our various business lines.

Meanwhile, our industry also had to cope with the
emergence of new exposures either as a result of proven new
risks such as cyber-risks, directors and officers (D&O)
liability, Employment Practice Liability (EPL), or as a result
of potential, as yet unrealized, risks such as GMOs or cloning.
At the same time, events such as the September 11 attacks
and the AZF chemical plant disaster in Toulouse have emphasized
the need to account for cumulative exposures between classes
previously thought of as relatively uncorrelated, as well as the
need for more accurate evaluation of a major catastrophic
exposures.

Insurers, weakened by their underwriting losses
and reduced equity portfolio valuations, and conscious of their
new exposures, reacted in 2001 by raising their rates, modifying
their covers and managing their exposures more rigorously. This
was reflected notably in increased demand for reinsurance.

Exchange Rate Fluctuations

The following table sets forth the value of one
euro in our subsidiaries main functional currencies, used
in the preparation of the Consolidated Financial Statements for
balance sheet items (year-end exchange rates) and income
statement items (average yearly rates) not denominated in French
francs.

|                 |  |                                    |       |                                 |  |      |       |      |  |      |       |      |  |  |       |  |  |  |       |  |  |  |       | 
|---------------- |  | ---------------------------------- | ----- | ------------------------------- |  | ---- | ----- | ---- |  | ---- | ----- | ---- |  |  | ----- |  |  |  | ----- |  |  |  | ----- | 
|                 |  |                                   
|                 |  | Value of one euro in each currency
|                 |  |                                   
|                 |  |                                    |       |                                
|                 |  | Year-end exchange rates            |       | Average annual exchange rates  
|                 |  | as of December 31,                 |       | for the year ended December 31,
|                 |  |                                    |       |                                
|                 |  | 1999                               |       | 2000                            |  | 2001 |       | 1999 |  | 2000 |       | 2001
|                 |  |                                    |       |                                 |  |      |       |      |  |      |       |     
|U.S. Dollar      |  |                                    | 1.008 |                                 |  |      | 0.929 |      |  |      | 0.882 |      |  |  | 1.059 |  |  |  | 0.916 |  |  |  | 0.892 | 
|Canadian Dollar  |  |                                    | 1.493 |                                 |  |      | 1.402 |      |  |      | 1.413 |      |  |  | 1.576 |  |  |  | 1.363 |  |  |  | 1.386 | 
|British Pound    |  |                                    | 0.628 |                                 |  |      | 0.624 |      |  |      | 0.609 |      |  |  | 0.656 |  |  |  | 0.607 |  |  |  | 0.620 | 
|Singapore Dollar |  |                                    | 1.684 |                                 |  |      | 1.608 |      |  |      | 1.636 |      |  |  | 1.795 |  |  |  | 1.582 |  |  |  | 1.604 | 

42



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Consolidated Results of Operations

We recorded net loss of EUR 365 million for
the year ended December 31, 2001, compared to net income of
EUR 77 million in 2000, and EUR 89 million in 1999.
The following discussion addresses the principal components of
our revenues, expenses and other components of net income in
each of those years.

Premiums

The following table sets forth the Groups
premium revenues for the years ended December 31, 1999,
2000 and 2001:

|                       |                             |                         |  |         |       |      |  |       |       |  |  |       |       | 
|---------------------- | --------------------------- | ----------------------- |  | ------- | ----- | ---- |  | ----- | ----- |  |  | ----- | ----- | 
|                       |                             |                        
|                       |                             | Year ended December 31,
|                       |                             |                        
|                       |                             | 1999                    |  | 2000(1) |       | 2001
|                       |                             |                         |  |         |       |     
|                       |                             |                        
|                       |                             | (EUR, in millions)     
|Gross premiums written |                             |                         |  |         |       |      |  |       |       |  |  |      
|                       | Treaty Property-Casualty    |                         |  | 1,270   |       |      |  | 1,272 |       |  |  | 1,922 |      
|                       | Life/Accident & Health      |                         |  | 705     |       |      |  | 934   |       |  |  | 1,062 |      
|                       | Specialty Property-Casualty |                         |  | 785     |       |      |  | 1,149 |       |  |  | 1,445 |      
|                       |                             |                         |  |         |       |      |  |       |       |  |  |      
|                       |                             | Total                   |  |         | 2,760 |      |  |       | 3,355 |  |  |       | 4,429 | 
|                       |                             |                         |  |         |       |      |  |       |       |  |  |      
|Net premiums written   |                             |                         |  |         |       |      |  |       |       |  |  |      
|                       | Treaty Property-Casualty    |                         |  | 1,185   |       |      |  | 1,116 |       |  |  | 1,737 |      
|                       | Life/Accident & Health      |                         |  | 582     |       |      |  | 770   |       |  |  | 896   |      
|                       | Specialty Property-Casualty |                         |  | 690     |       |      |  | 992   |       |  |  | 1,087 |      
|                       |                             |                         |  |         |       |      |  |       |       |  |  |      
|                       |                             | Total                   |  |         | 2,457 |      |  |       | 2,878 |  |  |       | 3,720 | 
|                       |                             |                         |  |         |       |      |  |       |       |  |  |      
|Net premiums earned    |                             |                         |  |         |       |      |  |       |       |  |  |      
|                       | Treaty Property-Casualty    |                         |  | 1,197   |       |      |  | 1,119 |       |  |  | 1,704 |      
|                       | Life/Accident & Health      |                         |  | 540     |       |      |  | 685   |       |  |  | 852   |      
|                       | Specialty Property-Casualty |                         |  | 625     |       |      |  | 873   |       |  |  | 1,097 |      
|                       |                             |                         |  |         |       |      |  |       |       |  |  |      
|                       |                             | Total                   |  |         | 2,362 |      |  |       | 2,677 |  |  |       | 3,653 | 
|                       |                             |                         |  |         |       |      |  |       |       |  |  |      






|    |                                                                                                                                             
|--- | --------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Reallocated figures from Specialty
    Property-Casualty to Property-Casualty treaty of small risk
    facultatives for comparison purposes.

Gross premiums written by the Group increased 32%
in 2001 to EUR 4,429 million, from EUR 3,355 million
in 2000. Adjusted to account for the SCOR Life Re and Sorema
acquisitions, and on a constant currency basis, the Groups
gross premium written increased 20% in 2001 from 2000. In 2001,
50% of the Groups gross premiums written originated from
North America, continuing the trend, first evidenced in 1998,
that the U.S., Canada and Bermuda account for the largest
portion of the Groups gross written premiums. Europe
represented 38% of gross written premiums in 2001, compared to
37% in 2000 and 42% in 1999.

The rise in total gross premiums written in 2001
illustrates the change in the Groups segments of activity:
treaty Property-Casualty, the largest segment of the Group,
increased 51% in 2001 from 2000, Life/Accident & Health
increased by 14% and Specialty Property-Casualty increased 26%.
The important increase of premiums in Property-Casualty treaties
can be explained mainly by an improvement of the pricing
conditions and an increase of market shares. In Specialties, the
Credit and Surety branch falls sharply due to international
situation. ART is stable following a strong progression over the
last five years. There is a notable increase of the pricing
conditions for Large Corporate Accounts in 2001, following a
strong decline observed during these last years. In 2001, the
treaty Property-Casualty and the Specialty Property-Casualty
segments each represented 43% and 33% of gross premiums written,
compared to respectively 38% and 34% in 2000, and 46% and 28% in
1999. The proportion of Life/Accident & Health in the
Groups total gross premiums written decreased to 24% in
2001, compared to 28% in 2000 and 26% in 1999.

Net premiums written in 2001 were EUR 3,720
million, which represented an increase of 29% from 2000, lower
than the increase in gross premiums written. 2000 net premiums
increased 17% from 1999. Overall, the Groups retention
rate was 84% (90% for treaty Property-Casualty, 84% for
Life/Accident & Health, and 75% for Specialty
Property-Casualty reinsurance) in 2001, compared to 86% (88% for
treaty Property-Casualty, 82% for Life/Accident & Health,
and 86% for Specialty Property-Casualty reinsurance) in 2000,
and to 89%

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(93% for treaty Property-Casualty, 83% for
Life/Accident & Health, and 88% for Specialty
Property-Casualty reinsurance) in 1999. The lower retention rate
for 2001 reflected both the increase in Property-Casualty and a
decrease in Specialty.


Revenues

The Groups consolidated total revenues
increased 19% to EUR 4,010 million in 2001 compared to
EUR 3,377 million in 2000, reflecting growth in net
premiums earned of 36% and a significant decrease in realized
gains on investment. The overall increase in net premiums earned
consisted of an increase in the treaty Property-Casualty,
Life/Accident & Health and Specialty Property-Casualty
segments of 52%, 24%, and 25% respectively. Investment revenues
were EUR 357 million in 2001, of which EUR 10 million
represented net realized gains on investments, compared to
investment revenues of EUR 700 million and net realized
gains on investments of EUR 413 million in 2000. Capital
gains for 2001 were lower due to the decrease in the financial
markets and the partial sale in 2000 of our investments in
COFACE, which brought our interest from 45% to 35% and in Euler,
in which we reduced our ownership from 12% to 5%.

2000 consolidated revenues increased 23% from
EUR 2,741 million in 1999, reflecting growth in net
premiums earned and a significant rise in investment revenues.

Tracking the downward trend in rates over the
course of the year, we progressively reduced the sensitivity of
our bond portfolio. In light of persistently low returns on
fixed-income instruments, and convinced that deflation posed no
real threat to the European and American economies, we protected
our portfolio against the risk of a rise in interest rates by
taking our profits on the longer bonds. In the United States,
this reduction in the sensitivity of the bond portfolio was
accentuated by early repayment of mortgage-backed bonds. Our
response to the volatile stock market in 2001 and deluge of bad
news in the stock market environment was to favor defensive
stocks in the retail and health sectors, to the detriment of
telecom operators and media stocks. We also favored medium-sized
corporations with strong balance sheets, believing them most
likely to post decent growth rates.

Net investment income of EUR 347 million in
2001 represented an increase of 21% from 2000. 2000 net
investment income of EUR 287 million increased 22% from
1999.

Gross investment income of EUR 441 million
in 2001 increased 19% from 2000. This increase originated
primarily from income from fixed maturities, principally due to
the additional volume of fixed maturities contributed by SCOR
Life US Re which was accounted for 12 months in 2001
against 6 months in 2000, and from interests on deposits
from SCOR US, partially reduced by the fair value of Swiss Life
shares accounted for as trading.

The gross investment expense in 2001 of
EUR 94 million increased 13% from 2000. The increase is
attributable to additional interest expense from step-up notes
issued in mid-2000, and a loss on options on equities exercised
during 2001. Gross investment expense in 2000 increased 51% from
1999, resulting from additional interest expense from step-up
notes issued in 2000, and the full year of interest and
amortization expense from notes and convertible bonds issued in
1999.

Net foreign exchange gain was EUR 8 million
in 2001, compared with loss EUR 18 million in 2000. The net
gain resulted from an exchange protection subscribed to protect
the larger proportion of U.S. dollar-denominated
transactions in 2001 and the further decrease of the euro
against the U.S. dollar.

2000 net foreign exchange loss was EUR 18
million, compared with EUR 21 million in 1999. The net loss
resulted from further decreases of the euro against the
U.S. dollar and the larger proportion of
U.S. dollar-denominated transactions in 2000.

Interest swap expense was EUR 13 million in
2001 and EUR 12 million in 2000. Interest swap income
generated was EUR 10 million and EUR 13 million
respectively in 2001 and 2000. Interest swap expense is offset
by corresponding decreases in interest income arising from
counter-swap cash flows and the reinvestment of funds borrowed
under the Groups commercial paper program, primarily in
short-term instruments.

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2000 interest swap expense was EUR 12
million, compared to EUR 7 million in 1999.

Expenses

In 2001, the Groups consolidated total
expenses increased 40% to EUR 4,693 million, compared to
EUR 3,359 million in 2000. Losses increased 45% due to
growth in the volume of premiums as well as risks underwritten,
WTC catastrophe, loss net of reinsurance of EUR 215
million, very high losses on industrial risks and additional
reserves made on US business for underwriting years 1998 and
prior. The September 21, 2001 AZF explosions resulted in
addition net losses of EUR 51 million. The
Property-Casualty loss ratio rose to 104% in 2001, compared to
96% in 2000 and 83% in 1999.

Life claims increased 59% to EUR 451 million
in 2001 compared to EUR 283 million in 2000 and to
EUR 239 million in 1999, mainly as the result of the
inclusion of SCOR Life US Re for the full year compared to
6 months in 2000.

Policy acquisition costs and commissions
increased 28% to EUR 848 million in 2001, compared to
EUR 661 million in 2000. This increase is consistent with
the increase in premiums earned of 36% in 2001 compared to 2000.
Underwriting and administration expenses increased 29% to
EUR 209 million from EUR 162 million in 2000, also
reflecting the increase in premiums earned for that year.

Amortization of goodwill in 2001 remained
consistent compared to 2000 and 1999, and the slight increase
relates to amortization of goodwill resulting from the
acquisition of SCOR Life US Re.

Other operating income was EUR 1 million in
2001, compared to expenses of EUR 16 million in 2000. The
level of other operating expenses in 2000 was due to an increase
in defined benefit plan expense and an additional expense for
potential tax liability. Other operating income was EUR 4
million in 1999 and consists of aggregated items that are not
significant when taken individually.

Income taxes

In 2001 income taxes paid by French corporations
were subject to a surcharge of 6% and to an additional surcharge
of 3.3%, which resulted in a total rate of income tax on French
corporations of 36.43%. In 2000, the additional surcharges were
10% and 3.3%, which resulted in a total rate of income tax of
37.76%. In 1999, the additional surcharge was 10%, which
resulted in total rate of income tax of 40%. In 2001 the Group
recorded a net income tax benefit of EUR 251 million
compared to a benefit of EUR 57 million in 2000. The 2001
net income tax benefit resulted primarily from a tax benefit
computed at statutory rate of EUR 219 million including
deferred tax benefits resulting of tax loss carry forwards,
compared to EUR 7 million in 2000. It also resulted from
EUR 21 million of tax exempt revenues, resulting in tax
loss carry forward that are greater than GAAP losses, and from
EUR 11 million from the reduction in French corporate tax
rates for 2002 and after. In 1999, the Groups overall
effective income tax rate was 25%, for an income tax expense of
EUR 23 million.

Income from investments accounted for under
the equity method

Income from investments accounted for under the
equity method was EUR 4 million in 2001, EUR 3 million
in 2000, and EUR 23 million in 1999. The significantly
lower level of income in 2001 and 2000 compared to 1999 is due
principally to the combined effect of the Groups dilution
in, and subsequent partial sale of, its interest in COFACE. It
also results from a reduction of the net income due to the
weakened position of the credit insurance sector.

Underwriting Results

Treaty Property-Casualty

In 2001, our treaty Property-Casualty segment
showed both an increase in revenues and underwriting loss.
During the year, we continued the systematic review of our
U.S. portfolio begun in 1999.

For insurers and reinsurers, the year proved to
be an extremely difficult one due to a combination of
exceptional factors that squeezed earnings severely,
persistently negative trends in underwriting results on

45



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business written at the bottom of the cycle,
exceptional loss notifications following the WTC and the
financial and stock market crises.


In 2001, continuing a strategy initiated in 1999,
we focused on strengthening client relationships and widening
the recognition of our technical skills in Western Europe and in
the U.S. as well as in the emerging markets. We provided
advice and transferred know-how, and helped to formulate methods
for pricing and risk selection by segmentation, thereby taking
part in the transformation of the products and services our
clients are providing to their customers.

No major natural catastrophes occurred in 2001
and 2000, contrary to 1999 when European winter storms and, to a
lesser extent, floods in the UK and Italy significantly impacted
our treaty Property-Casualty underwriting results.

The following table sets forth premium, loss and
expense data, and related ratios, for the Groups treaty
Property-Casualty segment for the years indicated:

|                                |  |                         |       |         |  |      |       |   |  |  |       |    
|------------------------------- |  | ----------------------- | ----- | ------- |  | ---- | ----- | - |  |  | ----- | ---
|                                |  |                        
|                                |  | Year ended December 31,
|                                |  |                        
|                                |  | 1999                    |       | 2000(2) |  | 2001
|                                |  |                         |       |         |  |     
|                                |  |                        
|                                |  | (EUR, in millions)     
|Gross premiums written          |  |                         | 1,270 |         |  |      | 1,272 |   |  |  | 1,922 |    
|Net premiums written            |  |                         | 1,185 |         |  |      | 1,116 |   |  |  | 1,737 |    
|                               
|Net premiums earned             |  |                         | 1,197 |         |  |      | 1,119 |   |  |  | 1,704 |    
|Net loss and LAE                |  |                         | 1,073 |         |  |      | 1,176 |   |  |  | 1,693 | (3)
|Net commissions and expenses(1) |  |                         | 386   |         |  |      | 399   |   |  |  | 553   |    
|Underwriting profit (loss)      |  |                         | (262  | )       |  |      | (455  | ) |  |  | (542  | )  
|                               
|Loss ratio                      |  |                         | 90%   |         |  |      | 105%  |   |  |  | 99%   |    
|Expense ratio(1)                |  |                         | 32%   |         |  |      | 35%   |   |  |  | 32%   |    
|Combined ratio                  |  |                         | 122%  |         |  |      | 140%  |   |  |  | 132%  |    






|    |                                                                                                                                                                                           
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Non-commission expenses are allocated by class of
    business pro rata according to gross written
    premiums for such class relative to total gross written premiums
    for the Group.
|   
|(2) | Reallocated figures from Specialty
    Property-Casualty to Property-Casualty treaty of small risk
    facultatives for comparison purposes.                                              
|   
|(3) | Includes EUR 62 million profit effect of
    change in accounting principles: discounting workers
    compensation reserves of SCOR US.                                                  

Premium volumes increased in all markets and all
classes by 51% in 2001 over 2000, as a result of the improvement
in rating and underwriting conditions over the course of the
year. This was consistent with our expectation of a cyclical
upturn. The comparative analysis, excluding Sorema, which was
consolidated beginning July 1st 2001, showed that the
premiums volume in 2001 increased 36% over 2000. Retention
levels for this class of business increased to 90% in 2001 from
88% in 2000.

Net premiums earned in 2001 increased 52% from
2000, reflecting the increase of premium volume discussed above,
which principally affected the property class of business and
long tail casualty business.

Loss and loss adjustment expenses increased 44%
in 2001 from 2000 and 3% in 2000 from 1999. Although the loss
ratio in 2001 decreased by 6 points to 99% (105% in 2000), its
level remained particularly unsatisfactory. Together with the
WTC tragedy, an unprecedented catastrophe in the history of
insurance, our results were also affected by the need to
reinforce our reserves on US treaties regarding prior accident
years (from 1997 to 1999, the low point of the previous cycle).
Furthermore, we faced an unexpected exceptional number of high
loss declarations from cedents, especially at year-end.

Loss and loss adjustment expenses increased 3% in
2000 from 1999. This moderate increase resulted from an
additional charge to our 2000 loss and loss adjustment expense
relating to the 1999 European storms in the property class
of business and the additional reserves on the
U.S. portfolio, principally in the casualty class of
business, offset in part by decreases in loss and LAE in other
classes consistent with reductions in earned premiums. The loss
ratio was 105% in 2000, significantly higher than 90% in 1999
reflecting the increase in

46



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loss and LAE noted above, and the decline in
premiums in this segment. The Group discounted certain reserves
for losses and loss adjustment expenses relating for the most
part to workers compensation claims, over the estimated
payment of the liabilities. The discount rate is based on
risk-free rates of return on investments of similar duration,
and the discount rate is locked in rate. At the end of 2001,
SCOR US discounted workers compensation reserves,
resulting in a EUR 62 million profit.


Commission and expenses increased 40% in 2001
from 2000, generally reflecting the increase in earned premiums
of 52%. In 2000, commissions and expenses remained at a level
consistent with 1999.

Life/Accident & Health

Life/Accident & Health premiums continued to
expand in 2001 compared to 2000. This ongoing development,
mainly registered in North America and Europe, stemmed mainly
from major new term Life contracts, market share gains in the
face of growing demand for individual life covers, and a sizable
contraction of retrocession capacity.

The following table sets forth premium, loss and
expense data, and related ratios, for the Groups
Life/Accident & Health segment for the years indicated:

|                                |  |                         |      |      |  |      |      |   |  |  |       |  
|------------------------------- |  | ----------------------- | ---- | ---- |  | ---- | ---- | - |  |  | ----- | -
|                                |  |                        
|                                |  | Year ended December 31,
|                                |  |                        
|                                |  | 1999                    |      | 2000 |  | 2001
|                                |  |                         |      |      |  |     
|                                |  |                        
|                                |  | (EUR, in millions)     
|Gross premiums written          |  |                         | 705  |      |  |      | 934  |   |  |  | 1,062 |  
|Net premiums written            |  |                         | 582  |      |  |      | 770  |   |  |  | 896   |  
|                               
|Net premiums earned             |  |                         | 540  |      |  |      | 685  |   |  |  | 852   |  
|Net loss and LAE                |  |                         | 389  |      |  |      | 516  |   |  |  | 687   |  
|Net commissions and expenses(1) |  |                         | 166  |      |  |      | 250  |   |  |  | 266   |  
|Underwriting profit (loss)      |  |                         | (15  | )    |  |      | (81  | ) |  |  | (101  | )
|                               
|Loss ratio                      |  |                         | 72%  |      |  |      | 75%  |   |  |  | 81%   |  
|Expense ratio(1)                |  |                         | 31%  |      |  |      | 36%  |   |  |  | 31%   |  
|Combined ratio                  |  |                         | 103% |      |  |      | 113% |   |  |  | 112%  |  






|    |                                                                                                                                                                                           
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Non-commission expenses are allocated by class of
    business pro rata according to gross written premiums for
    such class relative to total gross written premiums for the
    Group.

Gross premiums written in 2001 were
EUR 1,062 million, a 14% increase over 2000. Much of the
increase in premiums derived from the North America operations
with a full year of activity of SCOR Life US Re (versus
6 months in 2000), partly offset by the cessation of the
health business underwritten in the region, as well as from
Europe where growth in saving products, health spending and the
emergence of demand for provident product, for the very old
exceeded a slight decline observed regarding pure
Life contracts new inflows. The newly acquired operations of
Sorema N.A., included in the second half of the year in the
Scors Life/Accident & Health portfolio, had no
significant influence on the overall 2001-premium progression.
The premium growth of 32% in 2000 compared to 1999 mainly
resulted from the first year inclusion of SCOR Life US Res
operations.

Net premiums written increased 16% in 2001 from
2000, and 32% in 2000 from 1999, in the same proportion as gross
premiums written. The retention rate in 2001 was 84% as compared
to 82% for both 2000 and 1999.

Net premiums earned increased 24% in 2001 from
2000. This stronger increase registered in net earned premiums
compared to net written premiums mainly reflected the full year
activity of SCOR Life US Re. In 2000, net premiums earned
increased 27% from 1999. The smaller increase in premiums earned
than premiums written is due to the deferral, for certain
Accident and Health contracts, of a portion of the premium to
unearned premium reserves over the duration of the contract. The
deferral is particularly noticeable in years of increased
premiums such as 2000 and 1999.

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The net loss ratio in 2001 was 81%, compared to
75% in 2000. This increase in loss ratio, representing a 6 point
deterioration, came equally from our North American and European
operations, both showing a less favorable loss experience, and
each operation being hit by one major claim (WTC and a
significant life insurance claim in Spain).

In 2001, the commissions and expenses ratio
decreased by 7% from 2000. This important decrease resulted
from, on the one hand, the increase of the net earned premium,
and, on the other hand, the acquisition of new important
contracts. In 2000, commissions and expenses increased 57% from
1999, especially in the annuity-based and individual and group
Life classes of reinsurance, mainly as a result of the
amortization in 2000 of the value of business acquired with SCOR
Life US Re.

Specialty Property-Casualty

In 2001 the heavy loss experience resulting from
the WTC and AZF disasters contributed to a significant portion
of the Groups Specialty Property-Casualty underwriting
loss. The year also registered exceptionally high loss
experience in the energy and space risks sectors.

Specialty Property-Casualty includes the lines of
business of ART, credit, surety and political risks, and large
Property-Casualty corporate risks, written on a facultative
basis.

ART, principally conducted through CRP, generated
EUR 712 million in Property-Casualty gross written premiums
in 2001 and continued its expansion in alternative risk transfer
mechanisms developed in complement or as an alternative to
classic insurance or reinsurance products.

Credit, surety and political risks decreased by
13% in 2001 from 2000, as a result of both a reduction in our US
surety book and the economic slowdown in the US, and the
sluggish growth in Europe. Although loss experience was much
higher than the earlier years, in the wake of a number of
bankruptcies, Swissair and Enron noticeably, our credit
portfolio suffered relatively little from the business failures
recorded, and thus posted positive results.

The following table sets forth premium, loss and
expense data, and related ratios, for the Groups Specialty
Property-Casualty segment for the years indicated:

|                                |  |                         |     |         |  |      |       |   |  |  |       |  
|------------------------------- |  | ----------------------- | --- | ------- |  | ---- | ----- | - |  |  | ----- | -
|                                |  |                        
|                                |  | Year ended December 31,
|                                |  |                        
|                                |  | 1999                    |     | 2000(2) |  | 2001
|                                |  |                         |     |         |  |     
|                                |  |                        
|                                |  | (EUR, in millions)     
|Gross premiums written          |  |                         | 785 |         |  |      | 1,149 |   |  |  | 1,445 |  
|Net premiums written            |  |                         | 690 |         |  |      | 992   |   |  |  | 1,087 |  
|                               
|Net premiums earned             |  |                         | 625 |         |  |      | 873   |   |  |  | 1,097 |  
|Net loss and LAE                |  |                         | 462 |         |  |      | 795   |   |  |  | 1,193 |  
|Net commissions and expenses(1) |  |                         | 152 |         |  |      | 174   |   |  |  | 239   |  
|Underwriting profit (loss)      |  |                         | 11  |         |  |      | (95   | ) |  |  | (335  | )
|                               
|Loss ratio                      |  |                         | 74% |         |  |      | 91%   |   |  |  | 109%  |  
|Expense ratio(1)                |  |                         | 24% |         |  |      | 20%   |   |  |  | 22%   |  
|Combined ratio                  |  |                         | 98% |         |  |      | 111%  |   |  |  | 131%  |  






|    |                                                                                                                                                                                       
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Non-commission expenses are allocated by class of
    business pro rata according to gross written premiums for such
    class relative to total gross written premiums for the Group.
|   
|(2) | Reallocated figures from Specialty
    Property-Casualty to Property-Casualty treaty of small risk
    facultatives for comparison purposes.                                          

Gross premiums written in Specialty
Property-Casualty increased 26% in 2001 from 2000. This growth
was attributable to large Property-Casualty corporate risks
business, for which premiums were EUR 558 million in 2001,
compared to EUR 332 million in 2000, and to ART, for which
premiums were EUR 712 million in 2001, compared to
EUR 615 million in 2000.

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Credit, surety and political risks premiums
decreased 13% to EUR 175 million in 2001 from 2000.

Gross premiums written in Specialty
Property-Casualty increased 46% in 2000 from 1999. This growth
was primarily attributable to ART, for which gross premiums
written were EUR 615 million in 2000, compared to
EUR 347 million in 1999. The Groups large corporate
risks business also contributed to the segments rise in
gross premiums written in 2000 from 1999.

Net premiums written in 2001 did not increase
from 2000 in the same proportion as gross premiums written,
because the retention ratio decreased to 75% in 2001 from 86% in
2000 and 88% in 1999. Retention, which was close to 100% for ART
and approximately 92% for credit, surety and political
reinsurance for both years, was reduced in large
Property-Casualty corporate risks business in 2001 to 39%,
compared to 55% in 2000 and 69% in 1999, as a result of
increased retrocession costs.

Net premiums earned increased 25% in 2001 from
2000. Net premiums earned in 2000 increased 40% from 1999.

The loss ratio increased significantly, to 109%
in 2001 compared to 91% in 2000. This 18-point increase as
compared to 2000 resulted from substantial claims in the large
corporate risks business. For this segment, the loss ratio
following WTC and AZF claims rose to 161% compared to 91% in
2000. The ART loss ratio also increased to 98% in 2001, compared
to 91% in 2000. On the other hand, credit, surety and political
risks had improved results with a loss ratio decreasing to 71%
from 80% in 2000. The Specialty Property-Casualty loss ratio
increased in 2000 from 74% in 1999 as a result of substantial
claims in the large corporate risks business.

Net commissions and expenses increased 41% in
2001, compared to 2000. Net commissions and expenses increased
11% in 2000 from 1999. For both years commissions and expenses
increased, reflecting the increase in premiums in these periods,
not in a similar proportion however because of the nature of the
contracts in that segment of activity.

Changes in accounting standards

In June 1998, the Financial Accounting Standards
Board issued Statement of Financial Accounting Standards
No. 133, Accounting for Derivative Instruments and
Hedging Activities (SFAS 133). SFAS 133
establishes accounting and reporting standards requiring that
every derivative instrument be recorded in the balance sheet as
either an asset or a liability measured at its fair value. The
accounting for changes in fair value (i.e. gains and losses) of
a derivative instrument depends on whether it has been
designated and qualifies as part of a hedging relationship and,
if so, on the reason for holding it, or not. Some of our
derivative instruments did not qualify for hedge accounting. The
adoption of SFAS 133 from January 1, 2001, and the
related transition adjustment resulted in a gain of EUR
2 million to net income before taxes. In June 2001, the
Financial Accounting Standards Board issued the Statement of
Financial Accounting Standards No. 141, Business
Combinations (SFAS 141), and No. 142,
Goodwill and Other Intangible Assets
(SFAS 142). SFAS 142 was applied in respect of the
Sorema acquisition on July 1, 2001. These two standards
will become fully effective for our company effective
January 1, 2002.

During 2001, SCOR US adopted the practice of
discounting tabular workers compensation claims for
statutory and U.S. GAAP using an interest rate of 5%. The
Company believes that discounting such claims is preferable
since it more closely matches revenues and expenses, better
reflects the economic reality of paying the fixed amounts over a
long period of time and represents a method commonly used in the
industry. The effect of the change in 2001 was to increase net
income by EUR 62 million and EUR 41 million, before
and after tax, respectively.




B. LIQUIDITY AND CAPITAL
RESOURCES

Liquidity and Capital Resources

In the insurance and reinsurance industries,
liquidity generally relates to the ability of a company or a
group to generate adequate amounts of cash from its normal
operations, including from its investment portfolio, in order to
meet its financial commitments, which are principally
obligations under its insurance or reinsurance

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contracts. Future catastrophe claims, the timing
and amount of which are inherently unpredictable, may create
increased liquidity requirements for the Property-Casualty
operations of the Group.


The principal sources of funds for the
Groups reinsurance operations are premiums, net investment
income and realized capital gains, while the major uses of these
funds are to pay claims and related expenses, and other
operating costs. The Group generates substantial cash flow from
operations as a result of most premiums being received in
advance of the time when claim payments are required. These
positive operating cash flows, along with that portion of the
investment portfolio that is held in cash and highly liquid
securities, have historically met the liquidity requirements of
the Groups operations as evidenced by the growth in
investments.

The Groups liquidity requirements are met
on both a short and long-term basis by funds provided by
reinsurance premiums collected, investment income and collected
retrocessional reinsurance receivable balances, and from the
sale and maturity of investments. The Group also has access to
the commercial paper, medium-term note and other credit
facilities described below as additional sources of liquidity.

The Groups balance of cash and cash
equivalents was EUR 1,927 million at December 31,
2001, compared to EUR 247 million at December 31,
2000, and EUR 183 million at December 31, 1999. The
consolidated statement of cash flows for the year ended
December 31, 2001 includes SOREMA since July 1, 2001
and the consolidated statement of cash flows for the year ended
December 31, 2000 includes SCOR Life US Re from
July 1, 2000.

Net cash provided operations was EUR
9 million in 2001, compared to net cash used of EUR
216 million in 2000 and provided of EUR 106 million in
1999. In 2001, the components of operation cash-flows reflected
the rise in Property-Casualty and specialty premiums offset by
the increase in paid claims due to major losses occurred in 2001.

The increase in reserves, mainly for WTC, AZF
catastrophes and very high losses on industrial risks and in
Treaty reserves due to additional reserves made on US business
for underwriting years 1998 and prior, reflects an increase in
loss and LAE reserves, net, of EUR 772 million. The
increase in Property-Casualty and Specialty premiums written was
reflected through a change in accrued reinsurance balance,
gross, of EUR 306 million.

In 2000, the components of cash flows from
operations reflected the increase in Property-Casualty paid
losses from 1999 partly offset by the rise in Property-Casualty
premiums, as well as by the impact of realized gains on
investments.

The increase in Property-Casualty reserves
reflects an increase in loss and LAE reserves, gross, of
EUR 558 million, resulting primarily from the high
level of loss experience in 2000 as well as the strengthening of
reserves on the U.S. portfolio. The increase in
Property-Casualty premiums written also impacted the change in
unearned premium reserves, gross, of EUR 209 million. In
addition, reduction in Life reserves for future policy benefits
included the effect of the cancellation of a treaty by SCOR Life
US Re after July 1, 2000, and a reduction in funds held
under reinsurance treaties of EUR 118 million reflected the
disposal of business that was eventually retained by the
previous owner. Both resulted in corresponding decreases in
securities and short-term investments.

Net cash provided by investing activities was EUR
846 million in 2001, compared to EUR 163 million in
2000. In 2001, transactions in fixed maturities resulted in a
net sale of EUR 1,261 million. The sales were made to raise
liquidity for future payments for the World Trade Center claims.
Transactions in equity securities resulted in a net sale of EUR
465 million. Investments in reinsurance companies resulted
in a net purchase, representing the purchase of Sorema S.A..

In 2000, net sales of fixed maturity securities
were EUR 193 million. Transactions in equity securities
resulted in a net purchase of EUR 49 million. Proceeds from
sales of investments in consolidated companies included the
partial sale of our interest in COFACE. Investment in
reinsurance companies represented net assets net of cash from
the acquisition of SCOR US Life Re. Net cash used in investing
activities was EUR 497 million in 1999. In 1999, the Group
maintained its reinvestment policy on fixed maturity securities,
which resulted in a

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net purchase of EUR 232 million, and
invested in equities that resulted in a net purchase of
EUR 318 million, consisting primarily of the
additional 5% investment in Euler of EUR 47 million, 1%
shareholding of Swiss Life of EUR 69 million, and
other equities, including call options, in order to benefit from
the performance of the equity markets.


Cash provided by the Groups financing
activities was EUR 742 million in 2001, compared to EUR
84 million in 2000. Proceeds from borrowings of EUR
774 million, net of repayments of EUR 491 million,
represented principally the issuance in 2001 of commercial paper
for future payments of WTC related claims. Additionally an
amount of EUR 174 million was invested by minority
shareholders of IRP. In 2000, proceeds from borrowings of EUR
526 million, net of repayments of EUR 369 million,
represented principally the issuance in 2000 of
EUR 100 million of subordinated debt, and amounts
drawn on the notes payable and commercial paper program. Cash
provided by the Groups financing activities was EUR
267 million in 1999. Proceeds from borrowings of EUR
900 million, net of repayments of EUR 446 million,
consisted primarily of the convertible bond issue of EUR
236 million, and the U.S. dollar and euro denominated
subordinated debt programs in of EUR 147 million, and
amounts drawn on the notes payable and commercial paper program.

At December 31, 2001, 2000 and 1999,
investments totaling EUR 794 million, EUR 629 million
and EUR 529 million, respectively, were pledged to
guarantee certain technical reinsurance commitments.

At December 31, 2001, the Group had
approximately EUR 640 million available in unused short and
long-term credit lines, compared to EUR 671 million for
2000 and 1999. At December 31, 2001, EUR 381 million
of this amount consisted of confirmed back-up credit lines
related to the commercial paper program provided by several
French and German banks at a commitment fee not higher than
1/16th of 1% and a drawing cost not higher than 3/16th of 1%
over EURIBOR, subject to certain limited exceptions. At the same
dates, EUR 250 million was represented by back-up
credit facilities with several banks at commitment fees ranging
from 1/10th to 5/32nd of 1% and a drawing costs of ranging
3/16th of 1% over EURIBOR.

SCORs commercial paper program is primarily
used to manage inter-company cash and short term needs,
including immediate needs for liquidity, such as in the case of
a major catastrophic event. SCORs commercial paper program
allows it to meet these liquidity needs without having to sell
fixed-income securities. Commercial paper is issued in euro,
carrying a fixed interest rate coupon. SCOR may decide, based
upon market conditions and internal considerations, to enter
into interest rate swap agreements to convert the fixed coupon
to a floating rate.

It may also decide, depending on the Groups
inter-company needs, to sell or swap the proceeds in euro into
another currency. Inasmuch as some or all of the proceeds of the
commercial paper issued is reinvested, the outstanding amount of
commercial paper issued has historically had little or no impact
on the net investment income of the Company as interest expense
is largely offset by an equivalent amount of interest income.

SCORs euro medium-term note program is
primarily used to maintain a presence on the French medium-term
note market and as an alternative to bank borrowings. Euro
medium-term notes are issued with fixed or floating interest
rates. Inasmuch as some or all of the proceeds of the notes are
reinvested, the outstanding amount of notes has historically
little or no impact on the net investment income of the Company
as interest expense is largely offset by an equivalent amount of
interest income.




C. RESEARCH AND DEVELOPMENT, PATENTS,
LICENSES

See Item 4.B  Business
overview  Information technology.




D. TREND INFORMATION

See Item 4.B  Business
overview and Item 5.A  Operating
results.




E. CRITICAL ACCOUNTING POLICIES

SCORs consolidated financial statements
have been prepared in accordance with accounting principles
generally accepted in the United States (U.S. GAAP). The
preparation of financial statements in conformity

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with U.S. GAAP requires management to make
estimates and assumptions. The following presents those
accounting policies that management believes are the most
critical to its operations and those policies that require
significant judgment on the part of management. These critical
accounting policies are those which involve the most complex or
subjective decisions or assessments, and relate to the
recognition of premium income, the establishment of technical
insurance reserves, the recording of deferred acquisition costs
and the determination of the fair value of financial assets. In
each case, the determination of these items is fundamental to
our financial condition and results of operations, and requires
management to make complex judgments based on information and
financial data that may change in future periods. As a result,
determinations regarding these matters necessarily involve the
use of assumptions and subjective judgments as to future events
and are subject to change, as the use of different assumptions
or data could produce materially different results.


Technical Reserves.

Our insurance provisions, or technical reserves,
represent estimates of future payouts that we will make in
respect of our Property-Casualty and Life reinsurance claims,
including expenses relating to such claims. Such estimates are
made on a case-by-case basis, based on the facts known to us at
the time provisions are established, and are periodically
adjusted to recognize the estimated ultimate cost of a claim.

As a reinsurance company, our reserve estimates
are largely based on information received from our ceding
companies, which are in turn dependent on information received
from their underlying insureds, with the result that a
significant amount of time can lapse between the assumption of
risk on our part, and the ultimate payment of a claim on a
covered loss event. In addition, we establish IBNR
reserves in our Property-Casualty business to recognize the
estimated cost of losses that have occurred but about which we
do not yet have notice.

The establishment of our technical reserves is an
inherently uncertain process, involving assumptions as to
factors such as court decisions, changes in laws, social,
economic and demographic trends, inflation and other factors
affecting claim costs. Reserves are calculated on the basis of
their ultimate cost undiscounted, except for workmens
compensation, which are discounted in accordance with
reinsurance industry practice. In our Life reinsurance business,
the technical reserves for Life benefits that we establish are
based on information received from our ceding companies,
together with actuarial estimates concerning mortality and
morbidity trends. We have assessed that, as far as the
evaluation of our technical reserves was concerned, the World
Trade Center tragedy was considered as one event only. See also
Note 1.14 of Notes to Consolidated Financial Statements.

Premiums.

Management must make judgments about the ultimate
premiums written by the Group. Due to lags in the reporting of
premium data by our ceding company clients, our reported
premiums written are based on reports received from ceding
companies, supplemented by our own estimates of premiums written
for which ceding company reports have not been received.
Property-Casualty and Life premiums recorded in the year
correspond to the estimated premiums anticipated at the time of
writing the contract. This is regularly reviewed in the course
of the year to adjust for possible modifications in premiums
paid under the contract. An unearned premium reserve is
calculated, either on a time apportioned contract-by-contract
basis, or using a statistical method when this yields as a
result close to that obtained via the contract-by-contract
method. See also Note 1.7 of Notes to Consolidated
Financial Statements.

Amortization of Deferred Policy Acquisition
Costs.

We amortize our deferred policy acquisition costs
(DAC) for Life business based on a percentage of our expected
gross profits (EGPs) over the life of the policies. Our
estimated EGPs are computed based on assumptions related to the
underlying policies written, including the lives of the
underlying policies, and, if applicable, growth rate of the
assets supporting the liabilities. We amortize deferred policy
acquisition costs by estimating the present value of the EGPs
over the lives of the insurance policies and the calculate a
percentage

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of the policy acquisition cost deferred as
compared to the present value of the EGPs. That percentage is
used to amortize the deferred policy acquisition cost such that
amount amortized over the life of the policies results in a
constant percentage of amortization when related to the actual
and future gross profits.


Because of the EGPs are only estimates of the
profits we expect to recognize from these policies, the EGPs are
adjusted at each balance sheet date to take into consideration
the actual gross profits to date and any changes in the
remaining expected future gross profits. When EGPs are adjusted,
we also adjust the amortization of the DAC amount, if
applicable, either to maintain a constant amortization
percentage over the entire life of the policies (FAS 97
products), or to take into account the absence of future profits
(FAS 60). For 2001 we have not materially changed the weighted
average expected life of the policies. The present value of
future profits acquired in the context of the purchase of SCOR
Life Re US is determined in a similar manner. See note 1.8
of the Financial statements.

In our Property-Casualty business, deferred
acquisition costs represent the portion of commissions
pertaining to contracts in force at year-end over the period for
which premiums are not yet earned, and are written down over the
residual duration of the contracts in question.

Fair Values.

Fair value determinations for financial assets
are based generally on listed market prices or broker or dealer
price quotations. If prices are not readily determinable or if
liquidating our positions is reasonably expected to affect
market prices, fair value is based on either internal valuation
models or managements estimate of amounts that could be
realized under normal market conditions, assuming an orderly
liquidation over a reasonable period of time. Certain financial
instruments, including OTC derivative instruments, are valued
using pricing models that consider, among other factors,
contractual and market prices, correlations, time value, credit,
yield curve volatility factors and/or prepayment rates of the
underlying positions. The use of different pricing models and
assumptions could produce materially different estimates of fair
value.

Deferred Tax.

The deferred tax assets and liabilities on the
consolidated balance sheets reflect timing differences between
the carrying amount of assets and liabilities for financial
reporting and income tax purposes. See Financial Statements
Note 7. Income Tax for significant components
of the Groups deferred tax assets and liabilities.

SFAS 109 requires the establishment of a
valuation allowance for deferred income tax benefits if, based
on the weight of available evidence, it is more likely than not
that some portion of all the deferred or all of the deferred tax
assets will not be realized. Management believes, based on the
Groups historical record of generating taxable income and
its expectations of future earnings, that the Groups
taxable income in future years will be sufficient to realize the
deferred tax benefits, which are reflected on its consolidated
balance sheet as of December 31, 2001. Management believes
certain tax planning strategies exist, including its ability to
alter the mix of its investment portfolio to taxable investments
from tax-exempt investments, which could be implemented if
necessary to ensure sufficient taxable income to realize fully
its deferred income tax benefits.

As December 31, 2001, we have EUR
336 million of deferred tax assets related principally to
domestic and US domiciled loss carry forwards that expire
between 5 or 7 years (2006  2008), for
which no valuation allowance has been recorded. The realization
of these assets is based upon estimates of future taxable
income. In preparing estimates of future taxable income, we have
used the same assumptions and projections utilized in our
internal forecasts. Based on these projections, we estimate that
the loss carry forwards will be fully utilized prior the
expiration of the loss carry forwards. Estimates of future
earnings are based on an increase in reinsurance rates, and the
absence of major catastrophes like those hitting us in 2001.
Should the pretax book income and taxable income instead remain
at 2001 levels due to an occurrence of other catastrophes, a
valuation allowance would be required.

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Item 6. Directors, Senior Management
and Employees






A. DIRECTORS AND SENIOR
MANAGEMENT


In accordance with French law governing a
société anonyme, the board of directors has for
main mission to determine the orientations of the activity of
the Company and to watch their application The Chairman and
Chief Executive Officer has full executive authority to manage
the affairs of the Company, subject to the prior authorization
of the Board of Directors or of the Companys shareholders
for certain decisions defined by law.

Board of Directors

Under French law, the Board of Directors prepares
and presents the year-end accounts of the Company to the
shareholders and convenes shareholders meetings. In
addition, the Board of Directors reviews and monitors
SCORs economic, financial and technical strategies. French
law provides that the Board of Directors be composed of no fewer
than three and no more than eighteen members. The actual number
of directors must be within such limits and may be provided for
in the statuts (By-laws) or determined by the
shareholders at the annual general meeting of shareholders. The
Board of Directors cannot increase the number of members of the
Board.

The Companys Board of Directors currently
consists of fifteen members, including two employee directors.
Each director must be a shareholder of the Company. Under French
law a director, other than an employee director, may be an
individual or a corporation, but the Chairman must be an
individual. Currently, each of the Companys directors is
an individual. Each employee director is currently elected for a
three-year term by the Companys and its French
subsidiaries employees and each voting director is elected
for a six-year term, and there is no limitation, other than
applicable age limits set out in the Companys charter, on
the number of terms that a director may serve. Non-employee
directors are elected by the shareholders and serve until the
expiration of their respective term, or until their resignation,
death or removal, with or without cause, by the shareholders.
Vacancies, which exist in the Board of Directors, may, under
certain conditions, be filled by the Board of Directors, pending
the next shareholders meeting.

Directors are required to comply with applicable
law and SCORs statuts. Under French law, directors
are liable for violations of French legal or regulatory
requirements applicable to sociétés anonymes,
violation of the Companys statuts or mismanagement.
Directors may be held liable for such actions both individually
and jointly with the other directors.

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The following table sets forth the names of the
directors of SCOR, their current positions with SCOR and their
principal business activities performed outside SCOR, the dates
of their initial appointment as directors and the expiration
dates of their term in office.


|     |                                |     |  |                                      |    |           |  |                                                                                               |  |  |          |  |  |  |      | 
|---- | ------------------------------ | --- |  | ------------------------------------ | -- | --------- |  | --------------------------------------------------------------------------------------------- |  |  | -------- |  |  |  | ---- | 
|     |                                |     |  |                                      |    |           |  | Proposed                                                                                     
|     |                                |     |  | Current position                     |    | Initially |  | Term                                                                                         
|Name |                                | Age |  | and business activities outside SCOR |    | appointed |  | to Expire                                                                                    
|     |                                |     |  |                                      |    |           |  |                                                                                              
|     | Jacques Blondeau(1)            |     |  |                                      | 57 |           |  | Chairman and Chief Executive Officer                                                          |  |  | 8/30/94  |  |  |  | 2002 | 
|    
|     | Jean Baligand(2)               |     |  |                                      | 52 |           |  | Vice Chairman and Director; Chairman of the Board
    of GROUPAMA                             |  |  | 9/4/01   |  |  |  | 2006 | 
|    
|     | Michèle Aronvald(5)            |     |  |                                      | 43 |           |  | Director                                                                                      |  |  | 8/30/01  |  |  |  | 2003 | 
|    
|     | Jean-Antoine Chabannes(1)      |     |  |                                      | 63 |           |  | Director; Chairman of the Board of Groupe
    Société Suisse France                           |  |  | 11/18/96 |  |  |  | 2004 | 
|    
|     | Allan Chapin, Esq.(2)(3)(4)    |     |  |                                      | 60 |           |  | Director; Managing partner, Lazard
    Frères & Co. LLC (New York, U.S.A.)                    |  |  | 5/12/97  |  |  |  | 2003 | 
|    
|     | Georges Chodron de Courcel (3) |     |  |                                      | 51 |           |  | Director; Directeur Général
    Délégué of BNP-Paribas                                        |  |  | 5/9/94   |  |  |  | 2006 | 
|    
|     | Jacques Giraud(1)              |     |  |                                      | 54 |           |  | Director; Directeur Général
    Délégué of GROUPAMA                                         |  |  | 9/4/01   |  |  |  | 2002 | 
|    
|     | John Harbour                   |     |  |                                      | 56 |           |  | Director; President and Chief Operating Officer
    of Industrielle Alliance (Canada)         |  |  | 11/18/96 |  |  |  | 2004 | 
|    
|     | Daniel Havis                   |     |  |                                      | 46 |           |  | Director; Chairman and Chief Executive Officer of
    MATMUT Assurances                       |  |  | 11/18/96 |  |  |  | 2002 | 
|    
|     | Serge Osouf                    |     |  |                                      | 58 |           |  | Director; Directeur Général
    Délégué                                                       |  |  | 11/18/96 |  |  |  | 2004 | 
|    
|     | Patrick Peugeot(1)(4)          |     |  |                                      | 64 |           |  | Director, Honorary Chairman; Chairman and Chief
    Executive Officer of La Mondiale          |  |  | 8/30/94  |  |  |  | 2006 | 
|    
|     | Luc Rougé(5)                   |     |  |                                      | 49 |           |  | Director                                                                                      |  |  | 6/30/94  |  |  |  | 2003 | 
|    
|     | Jean Simonnet(1)(4)            |     |  |                                      | 65 |           |  | Director; Chairman of the Board of MACIF                                                      |  |  | 3/2/99   |  |  |  | 2002 | 
|    
|     | Alain Tempelaere(2)            |     |  |                                      | 67 |           |  | Director; Chairman of the Board of AREAS- CMA                                                 |  |  | 5/12/97  |  |  |  | 2003 | 
|    
|     | Francesco Torri                |     |  |                                      | 62 |           |  | Director; Managing Director and Chief Executive
    Officer of Toro Assicurazioni SpA (Italy) |  |  | 11/18/96 |  |  |  | 2004 | 






|    |                                            
|--- | -------------------------------------------
|(1) | Member of the Strategic Planning Committee.
|   
|(2) | Member of the Audit and Ethics Committee.  
|   
|(3) | Member of the Compensation Committee.      
|   
|(4) | Member of the Selection Committee.         
|   
|(5) | Employee director.                         

Executive Officers

Under French law, the Chairman and Chief
Executive Officer has full executive authority to manage the
affairs of SCOR. The Chairman and Chief Executive Officer has
broad powers to act on behalf of SCOR and to represent SCOR in
dealings with third parties, subject only to those powers
expressly reserved by law to the Board of Directors or the
shareholders. The Chairman and Chief Executive Officer
determines, and is responsible for the implementation of the
goals, strategies and budgets of SCOR, which are reviewed and
monitored by the Board of Directors. The Board of Directors has
the power to appoint and remove, at any time, the Chairman and
Chief Executive Officer.

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Upon a proposal made by the Chairman and Chief
Executive Officer, the Board of Directors may also appoint a
Chief Operating Officer to assist the Chairman and Chief
Executive Officer in managing the Companys affairs.


The following table sets forth the names of the
executive officers of SCOR, their current positions with SCOR
and the first dates as of which they served as executive
officers of SCOR.

|                          |  |     |    |                  |  |                                       |  |  |      | 
|------------------------- |  | --- | -- | ---------------- |  | ------------------------------------- |  |  | ---- | 
|                          |  |     |    |                  |  | Executive Officer                    
|Name                      |  | Age |    | Current Position |  | Since                                
|                          |  |     |    |                  |  |                                      
|Jacques Blondeau          |  |     | 57 |                  |  | Chairman and Chief Executive Officer  |  |  | 1994 | 
|Serge Osouf               |  |     | 58 |                  |  | President and Chief Operating Officer |  |  | 1994 | 
|Pierre-Denis Champvillard |  |     | 55 |                  |  | Group Executive Vice President        |  |  | 1994 | 
|François Reach            |  |     | 52 |                  |  | Group Executive Vice President        |  |  | 1994 | 
|Romain Durand             |  |     | 44 |                  |  | Chief Operating Officer, SCOR Vie     |  |  | 1997 | 
|Jerome Karter(1)          |  |     | 64 |                  |  | Vice Chairman SCOR US                 |  |  | 1997 | 



---



|    |                                                                                                                        
|--- | -----------------------------------------------------------------------------------------------------------------------
|(1) | Jerome Karter, due to retire on June 30,
    2002 was replaced by Jerome Faure, CEO of SCOR US, on
    January 1, 2002.

Business experience of SCORs executive
officers:

Jacques Blondeau

After a career in the management of a large
aluminium group in France, the US and Australia, Jacques
Blondeau joined the General Management of SCOR in 1988 and
became Chairman and Chief Executive Officer of the Group on
September 1, 1994.

Serge Osouf

Serge Osouf joined SCOR in 1979 to head the Hong
Kong office and in 1983, SCORs Canadian subsidiary. In
1987, he was appointed to the General Management of SCOR
Réassurance in Paris and became General Manager. He was
appointed President and Chief Operating Officer of the Group in
1994 and Director in 1996.

Pierre-Denis Champvillard

Pierre-Denis Champvillard joined SCOR in 1971 and
was named Managing Director of SCOR activities in the United
Kingdom in 1973 and in Hong Kong in 1983. In 1988 he was
appointed Managing Director of SCOR Vie and since 1993 he has
been concurrently Managing Director of SCOR Réassurance and
responsible for the non-Life activities of the Group in Europe.
He became a member of the Group Executive Committee in 1994.

François Reach

After a career at the Banque de France,
François Reach joined SCOR in 1974 as Financial Analyst,
and then became General Secretary and Manager of Investments and
Treasury of the Group. In 1994 he was appointed Chairman of the
financial division SCOR Gestion Financière and became a
member of the Group Executive Committee in 1994.

Romain Durand

After a career in insurance, that included his
appointment as General Manager of the Bâloise France Group,
Romain Durand joined SCOR in January 1997. He was named Chief
Operating Officer of SCOR Vie in April 1998 and became Member of
the Group Executive Committee.

Jerome Karter

After a career in the management of several
insurance groups in the US, Jerry Karter joined SCOR US in
1989 as Executive Vice President. In 1994 he was appointed
President and Chief Executive Officer of

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SCOR US and a member of the Group Executive
Committee in 1997. Since July 2000 he has assumed the position
of Vice Chairman of the SCOR US Board of Directors.





B. COMPENSATION

The aggregate amount of compensation of all
directors and executive officers of SCOR as a group
(19 persons) paid or accrued for services in all capacities
for the year ended December 31, 2001 was approximately
EUR 2,3 million, of which approximately 13% was in the
form of performance-related bonuses paid to executive officers
of SCOR. Such bonuses are calculated as a percentage of the
Groups net income which is fixed, in the case of the
Chairman and Chief Executive Officer and the President and Chief
Operating Officer, every two years by the Board of Directors
and, in the case of the four Group Senior Vice Presidents,
periodically, but no more often than annually, by the Chairman.

Aggregate compensation paid in respect of 2001 to
members of the Group Executive Committee, is as follows:

|                          |  |                     |     |                     |  |  |    | 
|------------------------- |  | ------------------- | --- | ------------------- |  |  | -- | 
|Name                      |  | Fixed               |     | Variable           
|                          |  |                     |     |                    
|                          |  | (EUR, in thousands) |     | (EUR, in thousands)
|Jacques Blondeau(1)       |  |                     | 482 |                     |  |  | 20 | 
|Serge Osouf(1)            |  |                     | 395 |                     |  |  | 20 | 
|Pierre-Denis Champvillard |  |                     | 191 |                     |  |  | 83 | 
|François Reach            |  |                     | 154 |                     |  |  | 71 | 
|Romain Durand             |  |                     | 152 |                     |  |  | 71 | 
|Jerome Karter             |  |                     | 462 |                     |  |  |   | 






|    |                                                                                                            
|--- | -----------------------------------------------------------------------------------------------------------
|(1) | J. Blondeau and S. Osouf received in 2001 each a
    total amount of EUR 20,000 as directors fees of SCOR.

As of December 31, 2001, 776,300 options to
purchase an aggregate of 776,300 Shares were held by executive
officers of the Company as a group (6 persons). Under French
law, the Company cannot grant options to members of the Board of
Directors other than those who are also officers or employees.

Stock options granted in 2001 and unexercised
options or Ordinary Shares held by members of the Group
Executive Committee as of December 31, 2001, are as follows:

|                          |  |                     |        |                   |  |            |       |               |  |          |            |            |  |  |     |  |  |  |       |  |  |  |            | 
|------------------------- |  | ------------------- | ------ | ----------------- |  | ---------- | ----- | ------------- |  | -------- | ---------- | ---------- |  |  | --- |  |  |  | ----- |  |  |  | ---------- | 
|                          |  |                     |        |                  
|                          |  | September 2001 plan |        | October 2001 plan
|                          |  |                     |        |                  
|                          |  | Stock Options       |        | Exercise          |  | Expiration |       | Stock Options |  | Exercise |            | Expiration
|Name                      |  | Granted             |        | Price             |  | Date       |       | Granted       |  | Price    |            | Date      
|                          |  |                     |        |                   |  |            |       |               |  |          |            |           
|Jacques Blondeau          |  |                     | 50,000 |                   |  |            | 48.00 |               |  |          | 09/03/2011 |            |  |  | 200 |  |  |  | 34.00 |  |  |  | 10/02/2011 | 
|Serge Osouf               |  |                     | 40,000 |                   |  |            | 48.00 |               |  |          | 09/03/2011 |            |  |  | 200 |  |  |  | 34.00 |  |  |  | 10/02/2011 | 
|Pierre-Denis Champvillard |  |                     | 20,000 |                   |  |            | 48.00 |               |  |          | 09/03/2011 |            |  |  | 200 |  |  |  | 34.00 |  |  |  | 10/02/2011 | 
|François Reach            |  |                     | 17,000 |                   |  |            | 48.00 |               |  |          | 09/03/2011 |            |  |  | 200 |  |  |  | 34.00 |  |  |  | 10/02/2011 | 
|Romain Durand             |  |                     | 20,000 |                   |  |            | 48.00 |               |  |          | 09/03/2011 |            |  |  | 200 |  |  |  | 34.00 |  |  |  | 10/02/2011 | 
|Jerome Karter             |  |                     | 3,000  |                   |  |            | 48.00 |               |  |          | 09/03/2011 |            |  |  | 200 |  |  |  | 34.00 |  |  |  | 10/02/2011 | 

Members of the Group Executive Committee and
other senior executives of the Group are entitled to the use of
a vehicle for their professional transportation and a
noncontributory defined benefit retirement plan with an
accumulated benefit obligation and fair value of plan assets of
EUR 6 million as of December 31, 2001. They do
not receive directors fees in respect of their
directorships of companies in which SCOR holds more than 20% of
the capital. They do not receive any benefits in kind and are
reimbursed for justified business expenses.




C. BOARD PRACTICES

Committees of the Board of Directors

Under French law, the Board of Directors is
authorized to establish committees comprised of directors that
report to the Board of Directors and prepare the decisions of
the Board of Directors on specific issues. The committees have
no power of decision.

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The Board of Directors has appointed four
committees from among its members. Within their respective
areas, these committees prepare for the proceedings of the full
Board of Directors, making proposals and recommendations, and
expressing opinions. They may carry out or order the performance
of all studies needed to inform the discussions of the Board of
Directors.



| |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
| | - | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | The Strategic
    Committee, consisting of five members,
    considers all-important questions of general interest, new
    policies and company plans, and reviews projects in progress.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|
| |  | The Audit and Ethics
    Committeeis made up of three
    non-executive outside Directors. It is responsible for ensuring
    the relevance, continuity and reliability of accounting methods
    used, and checking that the internal procedures for the
    collection and verification of data are adequate to ensure the
    quality of the information disclosed. It expresses its opinion
    on the validity of the procedures applied in accounting for
    significant transactions and reviews the financial condition of
    the Group. In addition, it enforces proper application of the
    Companys code of conduct, whose implementation is the
    responsibility of the Corporate Secretary, who is also the
    Groups Compliance Officer.
|
| |  | The Compensation
    Committeehas two members and is
    responsible for making recommendations regarding the
    compensation packages for the Chairman and Chief Executive
    Officer and for the President and Chief Operating Officer, and
    regarding the granting of stock options.                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|
| |  | The Nominations
    Committeecomprises three members and
    is responsible for reviewing proposals regarding the membership,
    organization and procedures of the Board of Directors.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       




D. EMPLOYEES

As of December 31, 2001, the Group employed
1,345 people, including 686 at its headquarters facility in
Paris, 405 in North America, 64 in the Asia-Pacific
region, 166 in other European countries, and 24 in
other regions. In addition to the provisions of the French labor
code, SCORs employees in France are covered by various
collective bargaining agreements relating to working conditions
that are negotiated periodically with the employees
representatives. SCOR believes that its relations with its
employees are good.

The following is the distribution of the persons
employed:

|                                        |                                  |                    |       |      |  |      |       |     |  |  |       |     | 
|--------------------------------------- | -------------------------------- | ------------------ | ----- | ---- |  | ---- | ----- | --- |  |  | ----- | --- | 
|                                        |                                  |                   
|                                        |                                  | As of December 31,
|                                        |                                  |                   
|                                        |                                  | 1999               |       | 2000 |  | 2001
|                                        |                                  |                    |       |      |  |     
|Number of employees                     |                                  |                    | 1,150 |      |  |      | 1,196 |     |  |  | 1,345 |    
|Breakdown by geographic location France |                                  |                    | 590   |      |  |      | 590   |     |  |  | 686   |    
|                                        | North America                    |                    |       | 314  |  |      |       | 369 |  |  |       | 405 | 
|                                        | Asia-Pacific region              |                    |       | 62   |  |      |       | 57  |  |  |       | 64  | 
|                                        | Other European countries         |                    |       | 168  |  |      |       | 162 |  |  |       | 166 | 
|                                        | Other regions                    |                    |       | 16   |  |      |       | 18  |  |  |       | 24  | 
|Breakdown by main category of activity  |                                  |                    |       |      |  |      |       |     |  |  |       |    
|                                        | Property-Casualty reinsurance    |                    |       | 424  |  |      |       | 402 |  |  |       | 464 | 
|                                        | Life reinsurance                 |                    |       | 143  |  |      |       | 194 |  |  |       | 184 | 
|                                        | Specialty                        |                    |       | 175  |  |      |       | 175 |  |  |       | 222 | 
|                                        | Management, Investment and other |                    |       | 408  |  |      |       | 425 |  |  |       | 475 | 




E. SHARE OWNERSHIP

A total of 4,479,900 options were granted by the
Board of Directors in 1992, 1994, 1995, 1996, 1997, 1998, 1999,
2000 and 2001 under plans adopted pursuant to such resolutions.

As of April 22, 2002, there were 3,065,228
options granted but not yet exercised under such plans.

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The following table sets forth certain
information relating to the various option plans:

|            |      |                       |  |          |            |           |  |                |         |            |  |  |         |  |  |  |       |  |  |  |            | 
|----------- | ---- | --------------------- |  | -------- | ---------- | --------- |  | -------------- | ------- | ---------- |  |  | ------- |  |  |  | ----- |  |  |  | ---------- | 
|            |      |                       |  | Options  |            | Options   |  | Exercise Price |         |           
|            |      | Date of Board of      |  | Granted  |            | Not Yet   |  | per Share      |         | Expiration
|Option Plan |      | Directors Resolution |  | (Shares) |            | Exercised |  | (EUR)          |         | Date      
|            |      |                       |  |          |            |           |  |                |         |           
|            | 1992 |                       |  |          | 09/28/1992 |           |  |                | 318,800 |            |  |  | 6,150   |  |  |  | 11.81 |  |  |  | 09/27/2002 | 
|            | 1994 |                       |  |          | 05/09/1994 |           |  |                | 429,000 |            |  |  | 64,958  |  |  |  | 17.38 |  |  |  | 05/08/2004 | 
|            | 1995 |                       |  |          | 05/15/1995 |           |  |                | 430,000 |            |  |  | 105,650 |  |  |  | 16.31 |  |  |  | 05/14/2005 | 
|            | 1996 |                       |  |          | 09/05/1996 |           |  |                | 480,000 |            |  |  | 321,370 |  |  |  | 28.97 |  |  |  | 09/04/2006 | 
|            | 1997 |                       |  |          | 09/04/1997 |           |  |                | 481,500 |            |  |  | 398,500 |  |  |  | 37.20 |  |  |  | 09/03/2007 | 
|            | 1998 |                       |  |          | 09/03/1998 |           |  |                | 498,000 |            |  |  | 432,000 |  |  |  | 56.25 |  |  |  | 09/02/2008 | 
|            | 1999 |                       |  |          | 09/02/1999 |           |  |                | 498,500 |            |  |  | 431,500 |  |  |  | 46.00 |  |  |  | 09/01/2009 | 
|            | 2000 |                       |  |          | 05/04/2000 |           |  |                | 111,600 |            |  |  | 103,400 |  |  |  | 48.00 |  |  |  | 05/03/2010 | 
|            | 2000 |                       |  |          | 08/31/2000 |           |  |                | 406,500 |            |  |  | 381,500 |  |  |  | 45.00 |  |  |  | 08/30/2010 | 
|            | 2001 |                       |  |          | 09/04/2001 |           |  |                | 560,000 |            |  |  | 556,000 |  |  |  | 48.00 |  |  |  | 09/03/2011 | 
|            | 2001 |                       |  |          | 10/03/2001 |           |  |                | 266,000 |            |  |  | 264,200 |  |  |  | 34.00 |  |  |  | 10/02/2011 | 

As of April 22, 2002, SCORs employees
held 0.48% of the SCORs ordinary shares collectively
through the Companys pension plans. The Companys
directors and members of its administrative, supervisory or
management bodies held individually 0.6% or less of SCORs
ordinary shares or options to subscribe thereto.

|                          |  |                   |         |                  |  |                  |       |  |  |  |            | 
|------------------------- |  | ----------------- | ------- | ---------------- |  | ---------------- | ----- |  |  |  | ---------- | 
|                          |  | Shares Held(1)    |         | Weighted-Average |  | Weighted-Average
|                          |  | and Options       |         | Exercise Price   |  | Expiration Date 
|Name                      |  | Not Yet Exercised |         | of the options   |  | of the options  
|                          |  |                   |         |                  |  |                 
|Jacques Blondeau          |  |                   | 264,044 |                  |  |                  | 44.84 |  |  |  | 06/13/2009 | 
|Serge Osouf               |  |                   | 217,477 |                  |  |                  | 40.26 |  |  |  | 09/25/2008 | 
|Pierre-Denis Champvillard |  |                   | 104,800 |                  |  |                  | 44.30 |  |  |  | 04/02/2009 | 
|François Reach            |  |                   | 133,273 |                  |  |                  | 39.24 |  |  |  | 06/30/2008 | 
|Romain Durand             |  |                   | 68,350  |                  |  |                  | 47.10 |  |  |  | 01/26/2010 | 
|Jerome Karter             |  |                   | 60,300  |                  |  |                  | 40.56 |  |  |  | 05/13/2008 | 




(1) Acquired through the exercise of stock
options or by purchases on the market.

59



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##### Table of Contents






Item 7. Major Shareholders and
Related Party Transactions






A. MAJOR SHAREHOLDERS


The following sets forth entities or persons
known to the Company to be the direct or indirect owners of 5%
or more of the Companys Ordinary Shares as of
April 22, 2002:

|                |  |                                       |  |              |           |         |  |        |     |  |  |  |     | 
|--------------- |  | ------------------------------------- |  | ------------ | --------- | ------- |  | ------ | --- |  |  |  | --- | 
|                |  |                                       |  |              |           | Percent |  | Voting
|Title of Class  |  | Identity of Person or Group           |  | Number Owned |           | Owned   |  | Rights
|                |  |                                       |  |              |           |         |  |       
|Ordinary Shares |  | GROUPAMA                              |  |              | 7,145,454 |         |  |        | 17% |  |  |  | 19% | 
|Ordinary Shares |  | Templeton Global Investors, Inc       |  |              | 3,013,980 |         |  |        | 7%  |  |  |  | 8%  | 
|Ordinary Shares |  | Société Générale 
    Crédit du Nord |  |              | 1,885,678 |         |  |        | 5%  |  |  |  | 5%  | 

Each share carries one voting right. Treasury
stocks are non-voting. There are neither special voting rights
nor any shareholders agreement.

As of April 22, 2002, no other entity or
person was known to the Company to be the direct or indirect
owner of 5% or more of the Companys Ordinary Shares. As of
the same date, the officers and directors of the Company, as a
group, owned 77,267 Ordinary Shares (0.19% of the Companys
issued and outstanding share capital).

See Note 6 of Notes to Consolidated
Financial Statements for information regarding the
Companys convertible bonds.

Under the terms of the agreement to acquire
SOREMA S.A. and SOREMA N.A. from GROUPAMA, approved by
the shareholders extraordinary meeting of June 29,
2001, GROUPAMA received 6,370,370 new SCOR Ordinary Shares in
the transaction. As a result GROUPAMA became SCORs largest
shareholder with an interest of 17%.




B. RELATED PARTY TRANSACTIONS

Several directors of the Company are also
officers or directors of companies with whom SCOR has arms
length transactions in the regular course of business.
Specifically, COFACE, Unistrat and Euler have entered and
regularly enter into reinsurance transactions with SCOR on
ordinary commercial terms.

As disclosed in Item 4 
Information on the Company  Recent Development,
GROUPAMA became SCORs largest shareholder. The chairman of
GROUPAMA and its Chief Operating Officer are directors of SCOR.

SCOR continues to enter into reinsurance
transactions with GROUPAMA in the regular course of business.

As part of the transaction for the acquisition of
SOREMA S.A. and SOREMA N.A., GROUPAMA has provided two
guarantees. GROUPAMA may eventually indemnify SCOR for negative
development as of material social and tax liabilities and
liabilities in respect of technical reserves for the 2000 and
previous underwriting years as assessed December 31, 2006.




C. INTERESTS OF EXPERTS AND
COUNSEL

Not applicable.

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##### Table of Contents






Item 8. Financial
Information






A. CONSOLIDATED STATEMENTS AND OTHER FINANCIAL
INFORMATION


Legal Proceedings

The Company and its subsidiaries are subject to
litigation and arbitration proceedings as reinsurers, employers
and taxpayers in the normal course of their businesses. While
the ultimate outcome thereof cannot be predicted with certainty,
management does not believe that any such proceedings will have
a material adverse effect on the Groups results of
operations or financial position.




B. SIGNIFICANT CHANGES

None.

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##### Table of Contents






Item 9. The Offer and
Listing






A. OFFER AND LISTING DETAILS


The following tables set forth the highest and
lowest sales price of the Ordinary Shares on the Paris Bourse,
as reported by Euronext Paris, and the highest and lowest sales
price of the ADSs, as reported on the NYSE composite tape, for
time periods indicated:

|                                        |                |                          |           |                |  |                    |           |                |  |                 |       |                |  |  |           |           |  |  |           |           |  |  |     |    | 
|--------------------------------------- | -------------- | ------------------------ | --------- | -------------- |  | ------------------ | --------- | -------------- |  | --------------- | ----- | -------------- |  |  | --------- | --------- |  |  | --------- | --------- |  |  | --- | -- | 
|                                        |                |                          |           |                |  | Average Monthly    |           |                |  | Average Monthly
|                                        |                |                          |           | Trading Volume |  | Price Per American |           | Trading Volume
|                                        |                | Price Per Ordinary Share |           |                |  | Depositary Share   |           |               
|                                        |                |                          |           | Shares         |  |                    |           | ADSs          
|                                        |                | High                     |           | Low            |  | (in thousands)     |           | High           |  | Low             |       | (in thousands)
|                                        |                |                          |           |                |  |                    |           |                |  |                 |       |               
|1997(1)                                 |                |                          | EUR 48.45 |                |  |                    | EUR 27.44 |                |  |                 | 3,305 |                |  |  | USD 52.13 |           |  |  | USD 34.13 |           |  |  | 124 |   
|1998(1)                                 |                |                          | EUR 66.62 |                |  |                    | EUR 41.47 |                |  |                 | 2,359 |                |  |  | USD 73.00 |           |  |  | USD 46.00 |           |  |  | 66  |   
|1999                                    |                |                          | EUR 58.90 |                |  |                    | EUR 41.55 |                |  |                 | 2,145 |                |  |  | USD 68.50 |           |  |  | USD 42.94 |           |  |  | 110 |   
|2000                                    |                |                          | EUR 60.00 |                |  |                    | EUR 40.05 |                |  |                 | 2,598 |                |  |  | USD 53.63 |           |  |  | USD 38.38 |           |  |  | 86  |   
|First Quarter                           |                |                          | EUR 55.80 |                |  |                    | EUR 40.05 |                |  |                 | 3,506 |                |  |  | USD 53.63 |           |  |  | USD 40.00 |           |  |  | 63  |   
|Second Quarter                          |                |                          | EUR 51.80 |                |  |                    | EUR 42.02 |                |  |                 | 3,155 |                |  |  | USD 49.00 |           |  |  | USD 38.38 |           |  |  | 70  |   
|Third Quarter                           |                |                          | EUR 51.50 |                |  |                    | EUR 43.26 |                |  |                 | 1,891 |                |  |  | USD 45.50 |           |  |  | USD 39.75 |           |  |  | 97  |   
|Fourth Quarter                          |                |                          | EUR 60.00 |                |  |                    | EUR 47.42 |                |  |                 | 1,838 |                |  |  | USD 52.00 |           |  |  | USD 42.63 |           |  |  | 115 |   
|2001                                    |                |                          | EUR 58.20 |                |  |                    | EUR 24,47 |                |  |                 | 1,679 |                |  |  | USD 53.75 |           |  |  | USD 27,89 |           |  |  | 89  |   
|First Quarter                           |                |                          | EUR 58.20 |                |  |                    | EUR 45.02 |                |  |                 | 1,224 |                |  |  | USD 53.75 |           |  |  | USD 40.80 |           |  |  | 118 |   
|Second Quarter                          |                |                          | EUR 53.90 |                |  |                    | EUR 47.00 |                |  |                 | 1,765 |                |  |  | USD 45.16 |           |  |  | USD 41.95 |           |  |  | 110 |   
|Third Quarter                           |                |                          | EUR 53.00 |                |  |                    | EUR 24.47 |                |  |                 | 1,745 |                |  |  | USD 46.50 |           |  |  | USD 23.50 |           |  |  | 76  |   
|Fourth Quarter                          |                |                          | EUR 41.40 |                |  |                    | EUR 30.20 |                |  |                 | 1,981 |                |  |  | USD 36.85 |           |  |  | USD 27.89 |           |  |  | 50  |   
|                                        | October, 2001  |                          |           | EUR 41.35      |  |                    |           | EUR 30.20      |  |                 |       | 2,142          |  |  |           | USD 36.85 |  |  |           | USD 27.89 |  |  |     | 84 | 
|                                        | November, 2001 |                          |           | EUR 41.40      |  |                    |           | EUR 34.20      |  |                 |       | 2,483          |  |  |           | USD 35.91 |  |  |           | USD 32.10 |  |  |     | 30 | 
|                                        | December, 2001 |                          |           | EUR 40.25      |  |                    |           | EUR 34.80      |  |                 |       | 1,317          |  |  |           | USD 35.15 |  |  |           | USD 31.45 |  |  |     | 34 | 
|2002                                    |                |                          | EUR 46.80 |                |  |                    | EUR 31.50 |                |  |                 | 2,431 |                |  |  | USD 40.80 |           |  |  | USD 27.75 |           |  |  | 33  |   
|First Quarter                           |                |                          | EUR 46.80 |                |  |                    | EUR 31.50 |                |  |                 | 2,753 |                |  |  | USD 40.80 |           |  |  | USD 27.75 |           |  |  | 31  |   
|                                        | January, 2002  |                          |           | EUR 46.80      |  |                    |           | EUR 34.02      |  |                 |       | 3,618          |  |  |           | USD 40.80 |  |  |           | USD 37.40 |  |  |     | 47 | 
|                                        | February, 2002 |                          |           | EUR 37.60      |  |                    |           | EUR 31.50      |  |                 |       | 2,785          |  |  |           | USD 32.70 |  |  |           | USD 27.75 |  |  |     | 34 | 
|                                        | March, 2002    |                          |           | EUR 39.43      |  |                    |           | EUR 36.15      |  |                 |       | 1,855          |  |  |           | USD 34.00 |  |  |           | USD 32.00 |  |  |     | 11 | 
|Second Quarter (through April 22, 2002) |                |                          |           |                |  |                    |           |                |  |                 |       |                |  |  |           |           |  |  |           |           |  |  |     |   
|                                        | April, 2002    |                          |           | EUR 38.88      |  |                    |           | EUR 35.87      |  |                 |       | 1,098          |  |  |           | USD 34.40 |  |  |           | USD 32.00 |  |  |     | 31 | 






|    |                                                                                                                        
|--- | -----------------------------------------------------------------------------------------------------------------------
|(1) | Amounts restated from French francs to euro using
    the official fixed exchange rate of FRF 6.55957 for one
    euro.

On April 22, 2002, the last reported sale
price of the Ordinary Shares on the Paris Bourse was
EUR 38.88 and the last reported sale price of the ADSs on
the NYSE was USD 34.40.

As of April 22, 2002, there were 41,246,516
Ordinary Shares outstanding, of which 122,884 or 0.3%, were in
the form of ADSs.

On June 15, 1999, SCOR launched a
EUR 233 million issue of convertible bonds redeemable in
new or existing shares (OCEANE), represented by
4,025,000 bonds with a nominal value of EUR 58 each. The
OCEANE bear interest at a rate of 1% per annum, payable annually
on January 1, of each year, and are redeemable in full at
maturity on January 1, 2005 at EUR 65.28 per bond.
Early redemption in whole or in part is possible, at the option
of the Company by:



| |    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 1. | purchases on the market or public offers,                                                                                                                                                                                                                                                                                                                                                                                                                                 
|
| | 2. | at any time from January 1, 2003 until
    December 31, 2004, at an early redemption price equivalent
    to the yield to maturity if the product of the conversion ratio
    and the arithmetic means of the closing prices of the SCOR
    Ordinary Share over 20 consecutive trading days of the
    40 consecutive trading days preceding the publication of a
    notice concerning such redemption, exceeds 120% of the early
    redemption price of each bond, and
|
| | 3. | when less than 10% of the bond issue remains
    outstanding.                                                                                                                                                                                                                                                                                                                                                                                                             

62



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Bondholders may request conversion at any time
from June 28, 1999. The Company may, at its option, deliver
new shares and/or existing shares. As of April 22, 2002,
all 4,025,000 OCEANE are outstanding.

The OCEANE and the shares to be issued upon
conversion or delivered upon exchange have not been and will not
be registered under the U.S. Securities Acts of 1933, as amended
or the Securities Exchange Act of 1934, as amended, and subject
to certain restrictions, may not be sold in the U.S.




B. PLAN OF DISTRIBUTION

Not applicable.




C. MARKETS

The primary market for the Companys
Ordinary Shares is the Paris Bourse, the French integrated
national dealing system through which all French listed
securities are exchanged. The Companys American Depositary
Shares (ADSs) are listed on the New York Stock
Exchange (NYSE). Each ADS represents one Ordinary
Share. The Ordinary Shares are also traded on the Frankfurt
over-the-counter market (the Freiverkehrshandel).

The Companys Ordinary Shares have been
listed on the Paris Bourse since 1989. The Ordinary Shares are
traded on the premier marché of the Paris Bourse.

The Companys ADSs have been traded in the
U.S. since October 11, 1996, the date of their listing on
the New York Stock Exchange under the symbol SCO.
The Companys ADSs are issued and exchanged by The Bank of
New York, as Depositary.

The Ordinary Shares are included in the
SBF 120 and 250 Indexes, consisting of the 120 and 250
most actively traded French stocks, respectively. The Ordinary
Shares are also in the Euronext Next 150, which comprises the
150 next largest stocks following the selection of the 100 most
largest and most liquid stocks traded on Euronext. The Next
150 Index represents the large to mid capitalization
segment of listed stocks at Euronext. The following indexes also
include the Ordinary Shares: SBF Financial, Dow Jones
STOXX, Dow Jones Euro STOXX, Bloomberg Europe,
Bloomberg Europe Insurance and Bloomberg Europe Financial.

The Paris Bourse

Effective September 22, 2000, Euronext was
formed from the merger of Paris Bourse SBF S.A., the
Amsterdam Stock Exchange and the Brussels Exchange, and will see
the introduction of Portugal Exchange in January 2002. Euronext
operates three subsidiary holding companies, in each of the
three member countries. Each subsidiary continues to hold an
exchange license for the local capital market. Listed companies
remain listed on their exchanges but all shares are traded on a
single integrated trading platform and listing requirements have
been harmonized. Trading is regulated with a single rulebook and
the take-over rules continue to be imposed domestically.
Euronext provides integrated trading, clearing and settlement on
all three markets, and a central counter party, netting and
clearing house for all executed trades via Clearnet.

Official trading of listed securities on the
Paris Bourse is transacted through providers of investment
services or prestataires de services dinvestissements
(investment companies and other financial institutions), and
takes place continuously on each business day from
9:00 a.m. through 5:30 p.m., with a final fixing at
5:35 p.m. During a pre-opening session from 7:15 a.m.
through 9:00 a.m. transactions are recorded but not
executed. Any trade effected after the close of a stock-exchange
session is recorded, on the next Paris Bourse trading day, at
the closing price for the relevant security at the end of the
previous days session. Euronext Paris is a market
enterprise (entreprise de marché) to which is entrusted the
operation of regulated markets, including the admission of
financial instruments. Euronext Paris publishes a daily Official
Price List that includes price information on each listed
security. Euronext Paris provides continuous trading by computer
during trading hours for all listed securities.

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Securities Listed on the Paris Bourse Are
Traded on One of Five Markets

The securities of most large public companies,
including the Ordinary Shares, are listed on the Premier
Marché of Euronext Paris. The second marché is
available for small- and medium-sized companies, the nouveau
marché, for companies seeking development capital and the
EDR market for European Depositary Receipts. Shares of certain
other companies are traded on the marché libre-OTC, an
unregulated over-the-counter type of market. In addition, shares
listed on the Paris Bourse are placed in one of four categories
depending on the volume of transactions. The Ordinary Shares are
listed in the category known as Continu A, which includes the
most actively traded shares (i.e., a minimum daily trading
volume of EUR 38,112 or twenty trades).

Trading in the listed securities of an issuer may
be reserved or suspended by Euronext Paris if changes in quoted
prices exceed certain price limits defined by its regulations.
In particular, if the quoted price of a security varies by more
than 10% from the reference price, Euronext Paris may restrict
trading in that security for up to four minutes
(réservation à la hausse ou à la baisse).
The reference price is the opening price, or, with respect to
the first quoted price of a given trading day, the last traded
price of the previous trading day, as adjusted if necessary by
Euronext Paris. Euronext Paris may also reserve trading for a
four-minute period if the quoted price of a security varies by
more than 2% from the last traded price. However, subject to
trading conditions and appropriate and timely information,
Euronext Paris may modify the reservation period and may accept
broader fluctuation ranges than above mentioned. Euronext Paris
may also suspend trading of a listed security in certain other
limited circumstances, including, for example, the occurrence of
unusual trading activity in such security.

Effective September 25, 2000, trades of
equity securities listed on the premier marché of Euronext
Paris are settled on the third trading day following the
execution. All equity securities included in the SBF 120
index, or equity securities with a market capitalization of
EUR 1,000 million or more or minimum daily trading
volume of EUR 1 million, are eligible for a deferred
settlement service (service de règlement différé
SRD) in which the intermediary settles the trade with the seller
in lieu of the investor. The investor may elect, for a fee, to
decide on the determination date (date de liquidation), which is
the fifth trading day prior to the end of the month either:



| |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| | - | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | to settle the trade no later than on the last
    trading day of such month, or                                                                                                                                                                                                                                                                                                                                                                       
|
| |  | upon payment of an additional fee, to extend to
    the determination date of the following month the option either
    to settle no later than the last trading day of such month or to
    postpone further the selection of a settlement date until the
    next determination date (a procedure known as a report). Such
    purchaser may decide to renew its option on each subsequent
    determination date upon payment of an additional fee.

The transfer of ownership of equity securities
traded on the premier marché of Euronext Paris occurs at
the time of registration of the securities in the appropriate
shareholders account. The majority of transactions in
equity securities on the Paris Bourse are settled on the premier
marché of Euronext Paris. In accordance with French
securities regulations, any sale of equity securities executed
on the monthly settlement market during the month of a dividend
payment date is deemed to occur after payment of the dividend,
and the purchasers account is credited with an amount
equal to the dividend paid and the sellers account is
debited in the same amount.

64



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D. SELLING SHAREHOLDERS

Not applicable.




E. DILUTION

Not applicable.




F. EXPENSES OF THE ISSUE

Not applicable.

65



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Item 10. Additional
Information






A. SHARE CAPITAL


Not applicable.




B. MEMORANDUM AND ARTICLES OF
ASSOCIATION

The following summarizes certain material rights
of holders of SCORs ordinary shares under the material
provisions of our articles of association
(Statuts) and French law. A copy of the
Statuts, as amended on January 14, 2002, has been
filed as an exhibit to this annual report on Form 20-F. As
set forth in Article 3 of the Statuts, SCORs
objects include the following:



| |   |                                                                                                                                                                                                                                                                                                                                                                                                         
| | - | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | insurance, reinsurance, cession or retrocession
    business of any nature in all classes and in all countries;
    transfer in any form of reinsurance contracts or liabilities of
    any French or foreign company, organization, entity or
    association; creation, acquisition, rental lease, installation
    and operation of any undertaking for the purpose of carrying on
    such business;
|
| |  | construction, rental, operation or purchase of
    any building;                                                                                                                                                                                                                                                                                                                                        
|
| |  | acquisition and management of all securities and
    other equity rights by any means including but not limited to
    subscription for, transfer or acquisition of shares, bonds,
    interests in private companies or partnerships and other equity
    rights;                                                                                                                                      
|
| |  | acquisition of equity investments or interests in
    any industrial, commercial, agricultural, financial, realty and
    personalty company or other undertaking, formation of any
    company, participation in any rights issues, mergers, break-ups
    and partial conveyances; and                                                                                                                
|
| |  | administration, management, and control of any
    company or other undertaking, direct or indirect participation
    in all transactions carried out by such companies or
    undertakings by any means and including but not limited to
    direct or indirect participation in any company or equity
    investment.                                                                                 

Changes in Share Capital

The share capital of SCOR may be increased only
with the approval of the shareholders at an extraordinary
general meeting, following a recommendation of the Board of
Directors. Increases in share capital may be effected either by
the issuance of additional Ordinary Shares, by an increase in
the nominal value of existing Ordinary Shares or by the creation
of a new class of shares. Additional Ordinary Shares may be
issued for cash, in satisfaction of indebtedness incurred by
SCOR or for assets contributed in kind, upon the conversion,
exchange or redemption of debt securities previously issued by
SCOR or by capitalization of reserves, profits or share premium,
or upon the exercise of share warrants or other similar
securities comprising rights to subscribe for Ordinary Shares or
of stock options. An increase in share capital effected by
capitalization of reserves, profits or share premium requires a
simple majority of the votes cast. French law permits different
classes of shares to have different liquidation, voting and
dividend rights. Pursuant to French law of February 19,
2001, any decision to increase the share capital require the
shareholders, at an extraordinary shareholders meeting, to
decide upon a capital increase reserved to employees, it being
understood that such capital increase does not have to be voted.
Share dividends may be distributed in lieu of payment of cash
dividends, as described under  Dividend and
Liquidation Rights.

The share capital of SCOR may be decreased only
with the approval of the shareholders at an extraordinary
general meeting. Share capital may be reduced either by
decreasing the nominal value of the Ordinary Shares or by
reducing the number of outstanding Ordinary Shares. The
conditions under which the capital may be reduced will vary
depending upon whether the reduction is attributable to losses
incurred by SCOR. Under French company law all shareholders must
be treated equally. If the reduction is not attributable to
losses incurred by SCOR, each shareholder will be offered an
opportunity to participate in such capital reduction and may
decide whether or not to participate therein (unless the
reduction is effected by cancellation of shares repurchased
pursuant to a buy-back program). The number of outstanding
Ordinary Shares may be reduced either by an exchange of Ordinary
Shares or by the repurchase and cancellation by SCOR of Ordinary
Shares.

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If, as a consequence of losses, the net assets
(capitaux propres) of the Company are reduced below
one-half of the share capital of the Company, the Board of
Directors must, within four months from the approval of the
accounts showing this loss, convene an extraordinary general
meeting of shareholders in order to decide whether the Company
ought to be dissolved before its statutory term. If the
dissolution is not declared, the share capital must, at the
latest at the end of the second fiscal year following the fiscal
year during which the losses were established, and subject to
the legal provisions concerning the minimum capital of
sociétés anonymes, be reduced by an amount at
least equal to the losses which could not be charged against
reserves, if during that period the net assets have not been
restored up to an amount at least equal to one-half of the share
capital.


Additional Ordinary Shares Issuances
Authorized

Under French law, the shareholders can delegate
to the Board of Directors, within certain limits of time defined
by law, and within a maximum amount to be defined by the
shareholders meeting, the power to issue new Ordinary
Shares, bonds convertible, exchangeable or redeemable into
Ordinary Shares or warrants to subscribe to Ordinary Shares.

Pursuant to a resolution approved by the
Companys shareholders during an extraordinary meeting held
on April 19, 2001, the Board of Directors is authorized for
a period of 26 months to issue with or without preferential
subscription rights, in a single issuance or from time to time,
shares or any security giving access at any time or at fixed
date to Ordinary Shares. The maximum number of shares that may
be issued may not exceed twenty million and the maximum
aggregate principal amount of debt securities giving access to
shares may not exceed EUR 1 billion.

Preferential Subscription Rights

Holders of Ordinary Shares have preferential
rights to subscribe for additional Ordinary Shares issued by
SCOR for cash on a pro rata basis. Shareholders may
waive such preferential subscription rights at an extraordinary
general meeting under certain circumstances. Preferential
subscription rights, if not previously waived, are transferable
during the subscription period relating to a particular offering
of Ordinary Shares.

The shareholders meeting may also decide to
withdraw the preferential rights of shareholders with respect to
any issuance of new Ordinary Shares, of bonds convertible,
exchangeable or redeemable into Ordinary Shares or of warrants
to subscribe to Ordinary Shares. In such case, however, the
Shareholders meeting has the power to grant to
shareholders a non-transferable priority right to subscribe all
or part of the issuance of Ordinary Shares, of bonds
convertible, exchangeable or redeemable into Ordinary Shares or
of warrants to subscribe to Ordinary Shares.

Attendance and Voting at Shareholders
Meetings

In accordance with French law, there are two
types of shareholders general meetings, ordinary and
extraordinary.

Ordinary general meetings of shareholders are
required for matters such as the election, replacement and
removal of directors, the appointment of statutory auditors, the
approval of the annual report prepared by the Board of Directors
and of the annual accounts, the declaration of dividends and the
issuance of bonds. The board of directors is required to convene
an annual ordinary general meeting of shareholders, which must
be held within six months of the end of SCORs fiscal year.

Extraordinary general meetings of shareholders
are required for approval of matters such as amendments to
SCORs statuts, modification of shareholders
rights, approval of mergers, increases or decreases in share
capital, the creation of a new class of capital stock and the
authorization of the issuance of investment certificates or
notes convertible or exchangeable into capital stock. In
particular, shareholder approval will be required for any and
all mergers in which the Company is not the surviving entity or
in which the Company is the surviving entity but in connection
with which the Company is issuing a portion of its share capital
to the shareholders of the acquired entity.

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Other ordinary or extraordinary meetings may be
convened at any time during the year. Meetings of shareholders
may be convened by the Board of Directors or, if the Board of
Directors fails to call such a meeting, by SCORs statutory
auditors, by its liquidators in case of bankruptcy in some
instances, by shareholders owning the majority of the
Companys Ordinary Shares or voting rights after having
launched a takeover bid or by an agent appointed by a court. The
court may be requested to appoint an agent either by
shareholder(s) holding at least 5% of SCORs share capital,
or a duly authorized association of shareholders holding their
Ordinary Shares in registered form for at least two years and
holding together a certain percentage of the Companys
voting power (determined on the basis of a formula related to
capitalization) or by any interested party in cases of urgency,
including the Workers Council (Comité
dentreprise). The notice calling such meeting must
state the matters to be considered at such meeting.

At least 15 days before the date set for any
general meeting on first call, and at least six days before
any second call, notice of the meeting must be sent by mail to
holders of Ordinary Shares who have held such Ordinary Shares in
registered form for at least one month prior to the date of the
notice and for all other holders of Ordinary Shares notice of
the meeting is given by publication in a journal authorized to
publish legal announcements in the
département in which SCOR is registered
and in the Bulletin des annonces légales
obligatoires (BALO), with prior notice given to
the Commission des Opérations de Bourse
(COB). At least 30 days prior to the date set
for any ordinary or extraordinary general meeting, a preliminary
written notice (avis de réunion), containing, among
other things, the agenda for the meeting and a draft of the
resolutions to be considered, must also be published in the
BALO. Prior to such publication, a copy of the preliminary
written notice must be sent to the COB. The COB also recommends
that such preliminary written notice be published in a newspaper
of French national circulation. One or several shareholder(s),
the Workers council or a duly authorized association of
shareholders holding their Ordinary Shares in registered form
for at least two years and holding together a certain percentage
of the Companys voting power (determined on the basis of a
formula related to capitalization) may, within 10 days
after such publication, propose resolutions to be submitted for
approval by the shareholders at the meeting.

Attendance and exercise of voting rights at
ordinary general meetings and extraordinary general meetings of
shareholders are subject to certain conditions. In accordance
with French law and the Companys statuts, in order to have
the right to attend or be represented at a general meeting of
shareholders and vote, a holder of Ordinary Shares held in
registered form or, under certain conditions for holders who are
not French residents, its intermediary, must have them
registered in its name in a shareholder account maintained by or
on behalf of SCOR within one day fixed by the Board of
Directors. A holder of Ordinary Shares (or its intermediary,
where applicable) held in bearer form must deposit with the
Company, within one day fixed by the Board of Directors, a
certificate (certificat dimmobilisation de titres au
porteur) issued by an accredited financial intermediary
(French broker, bank or authorized financial institution)
evidencing the holding of the Ordinary Shares until the time
fixed for the meeting.

All shareholders who have properly registered
their Ordinary Shares or have duly deposited at the
Companys registered office a certificate of an accredited
financial intermediary have the right to participate in general
meetings, either in person, by proxy, or by mail, and to vote
according to the number of Ordinary Shares they hold. Each
Ordinary Share confers on the shareholder the right to one vote.
Under French company law, Ordinary Shares held by entities
controlled directly or indirectly by SCOR are not entitled to
any voting rights. Proxies may be granted by a shareholder or,
under certain conditions, by its intermediary, to his or her
spouse, to another shareholder or to a legal representative, in
the case of a corporation, or by sending a proxy in blank to the
Company without nominating any representative. In the latter
case, the chairman of the meeting of shareholders will vote the
Ordinary Shares covered by such blank proxy in favor of all
resolutions proposed by the Board of Directors and against all
others.

The presence in person (including those voting by
correspondence) or by proxy of shareholders holding not less
than 25% (in the case of an ordinary general meeting or an
extraordinary general meeting where an increase in our share
capital is proposed through incorporation of reserves, profits
or share premium) or one-third (in the case of any other
extraordinary general meeting) of the Ordinary Shares entitled
to vote is necessary for a quorum. If a quorum is not present at
any meeting, then the meeting is adjourned. Upon recommencement
of an adjourned meeting, there is no quorum requirement in the
case of an ordinary general

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meeting or an extraordinary general meeting where
an increase in our share capital is proposed through
incorporation of reserves, profits or share premium and the
presence in person (including those voting by correspondence) or
by proxy of shareholders holding not less than 25% of the
Ordinary Shares entitled to vote is necessary for a quorum in
the case of any other extraordinary general meeting.


At an ordinary general meeting, a simple majority
of the votes cast is required to pass a resolution. At an
extraordinary general meeting, a two-thirds majority of the
votes cast is required. However, a unanimous vote is required to
increase liabilities of shareholders. Abstention by those
present in person or by correspondence or represented by proxy
is deemed a vote against the resolution submitted to a vote.

The rights of a holder of shares of a class of
capital stock of SCOR, including the Ordinary Shares, can be
amended only after an extraordinary general meeting of all
shareholders of such class has taken place and the proposal to
amend such rights has been approved by a two-thirds majority
vote of shares of such class present in person (including those
voting by correspondence) or represented by proxy. The Ordinary
Shares constitute the Companys only class of capital stock.

In addition to rights to certain information
regarding SCOR, any shareholder may, during the two-week period
preceding a shareholders meeting, submit to the Board of
Directors written questions relating to the agenda for the
meeting. The Board of Directors is required to respond to such
questions during the meetings, subject to confidentiality
concerns.

Dividend and Liquidation Rights

Net income in each fiscal year (after deduction
for legal reserves), as increased or reduced, as the case may
be, by any net income or loss of SCOR carried forward from prior
years, is available for distribution to the shareholders of SCOR
as dividends, subject to the requirements of French law and
SCORs statuts. Dividends may also be distributed
from reserves of the Company, subject to approval by the
shareholders and certain limitations.

SCOR is required by law to establish and maintain
a legal reserve at a level equal to 10% of the aggregate nominal
value of its share capital and, if necessary to maintain such
legal reserve, to make a minimum transfer of 5% of such net
income each year to the legal reserve. The legal reserve is
distributable only upon the liquidation of SCOR. SCORs
statuts also provide that distributable profits of SCOR
(after deduction of any amounts required to be allocated to the
legal reserve) can be allocated to one or more special purpose
reserves or distributed as dividends, as may be determined by
the general meeting of shareholders.

The payment of dividends is fixed by the ordinary
general meeting of shareholders at which the annual accounts are
approved following recommendation of the Board of Directors. The
determination of the portion, if any, of the annual dividend
that each shareholder will have the option to receive in
Ordinary Shares is also made at the ordinary general meeting of
shareholders following a recommendation by the board of
directors. Dividends are distributable to shareholders pro rata
their respective holdings of Ordinary Shares. Dividends are
payable to holders of Ordinary Shares outstanding on the date of
the shareholder meeting approving the distribution of dividends
or, in the case of interim dividends, on the date of the meeting
of the Board of Directors approving the distribution of interim
dividends. The actual dividend payment date is determined by the
shareholders at the ordinary general meeting approving the
declaration of the dividends or by the Board of Directors in the
absence of such determination by the shareholders. The payment
of the dividends must occur within nine months of the end of
SCORs fiscal year. Dividends not claimed within five years
of the date of payment revert to the French State. The statuts
of the Company authorize the shareholders, in an ordinary
general meeting to authorize the grant to each shareholder of an
option to receive all or part of any annual or interim dividends
in either cash or Ordinary Shares.

If net income (as shown on an interim income
statement certified by SCORs statutory auditors) is
sufficient, the Board of Directors has the authority, subject to
French law and regulations, without the approval of
shareholders, to distribute interim dividends.

In the event that SCOR is liquidated, the assets
of SCOR remaining after payment of its debts, liquidation
expenses and all of its remaining obligations will be
distributed first to repay in full the nominal value of the

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Ordinary Shares, then the surplus, if any, will
be distributed pro rata among the holders of Ordinary Shares in
proportion to the nominal value of their shareholdings and
subject to any special rights granted to holders of priority
shares, if any.


Repurchase of Ordinary Shares

Under French law, SCOR may not acquire its own
shares, except:



| |    |                                                                                                                                                                                                                                                                                                      
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 1. | to reduce its share capital under specified
    circumstances with the approval of the shareholders at an
    extraordinary general meeting;                                                                                                                                                         
|
| | 2. | to provide shares for distribution to employees
    under a profit-sharing or stock option plan after obtaining
    approval of the shareholders at an extraordinary general
    meeting; and                                                                                                        
|
| | 3. | for a specific purpose (including stabilization
    of the market of its shares) approved by the shareholders at an
    ordinary general meeting, such shareholders authorization
    being given for a period to be decided by the shareholders
    resolution and which may not exceed 18 months.

The amounts repurchased under (2) and (3) may
not, in either case, result in SCOR holding more than 10% of its
own shares. In the event that such repurchases result in the
Company holding more than 10% of its issued shares, we are
required to transfer any shares in excess of the 10% threshold
within one year. French law requires that the Company cancel any
shares in excess of this 10% limit that have not been
transferred within the one-year period. Shares repurchased under
(3) may be cancelled by an extraordinary general
shareholders meeting, although no more than 10% of our
registered capital may be cancelled in any 24-month period. When
the Company holds its own shares, such shares are deemed to be
outstanding under French law, but are not entitled to any
dividend or voting rights and the Company may not exercise
preferential subscription rights.

French law requires SCOR to prepare a prospectus
(note dinformation ), for which it
would have to obtain a COB visa, prior to a shareholders meeting
authorizing the repurchase of shares under (3) above. SCOR
must notify the COB in advance and on a monthly basis of its
trading program in its own shares. SCOR must also report all
trading made in its own shares promptly to the COB and, on a
monthly basis, to the Conseil des Marchés
Financiers, the self-regulatory organization that has
general regulatory authority over the French stock exchanges and
whose members include representatives of French stockbrokers
(the CMF). The CMF makes this information publicly
available.

When SCOR purchases its own shares, the shares
must be fully paid. SCOR must hold repurchased shares in
registered form. Repurchased shares are deemed to be outstanding
under French law, but are not entitled to any dividends or
voting rights, and SCOR may not exercise preferential
subscription rights. The shareholders, at an extraordinary
general meeting, may decide not to take these shares into
account in determining the preferential subscription rights
attached to the other shares. In the absence of such a decision,
the rights attached to any shares held by SCOR must either be
sold on the market before the end of the subscription period or
distributed to other shareholders on a pro rata basis.

On April 19, 2001, SCORs shareholders
approved a repurchase program for SCORs own shares as well
as their possible cancellation. The shareholders approval
of this program is a condition to the closing of the acquisition
transaction. This authorization will be valid until the
shareholders meeting approving the annual accounts for
2001 and is limited to a number of shares representing 10% of
its share capital. On December 21, 2001, the ordinary
general meeting modified the initial intervention price fixed
during the meeting on April 19, 2001, carrying the maximum
buying price for one share to Euro 100 from Euro 90,
and the minimum selling price to Euro 40 from Euro 50.

Further to the above mentioned Meeting of
December 21, 2001, the Company intends to use the
repurchased shares, in order of preference, for:



| |   |                                                                                                                                                                                                                                                                                                                                                                         
| | - | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | the exchange of shares for bonds, outstanding or
    to be issued, convertible, exchangeable or redeemable in shares
    outstanding or to be issued, including but not limited to,
    pursuant to the EUR 233 million loan issued by the
    Company on June 28, 1999, represented by 4,025,000 bonds,
    convertible or exchangeable into new or outstanding shares,

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| |   |                                                                                                                                                                                                                                                  
| | - | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | the implementation of stock option plans,                                                                                                                                                                                                        
|
| |  | the custody or transfer of the shares by any and
    all means, notably by exchange of securities,                                                                                                                                               
|
| |  | the purchasing or selling of shares of the
    Company by any and all means, dependent on market conditions or
    in order to diversify the shareholder base,                                                                                   
|
| |  | the carrying out of acquisitions,                                                                                                                                                                                                                
|
| |  | the cancellation of shares, up to the statutory
    limit, for the purpose of improving earnings per share, under
    the authorization currently in force granted by the Ordinary and
    Extraordinary Shareholders Meeting of April 19, 2001,
|
| |  | the price stabilization by systematic
    intervention during counter-trends.                                                                                                                                                                    

The ordinary and extraordinary shareholders
meeting held on April 19, 2001 authorized the Company to
buy back shares representing 10% of its capital stock, or
3,479,629 shares as of April 19, 2001. At present, the
Companys intention is to complete its repurchase
operations during the course of the year 2001 period up to the
ceiling of 10%. With the shares already acquired, this
represents a maximum number of 494,004 additional shares to be
repurchased. However, the Company reserves the right to make
full use of the approval granted by the shareholders
meeting in the event it has used all or part of the shares
already bought back for any of the above-mentioned purposes. The
maximum amount that SCOR is liable to pay if shares are
purchased at the maximum price to be approved at the
shareholders meeting, EUR 100 per share, would be
EUR 49 million.

As approved by the ordinary and extraordinary
shareholders meeting held on April 19, 2001 and
December 21, 2001, SCOR will be able to make share
purchases up to the date of the shareholders meeting
called to approve the Companys 2001 accounts. The exact
schedule for purchases and the number of shares acquired will
depend on market conditions and any investment opportunities
that may arise. The Company will finance purchases with cash and
the sale of short-term and medium-term investments.

Form, Holding and Transfer of Ordinary
Shares

Form of Shares.SCORs statuts provide
that Ordinary Shares may be held in registered or bearer form.

Holding of Ordinary Shares.In accordance with French law
concerning dématérialisation of
securities, the ownership rights of holders of the Ordinary
Shares are not represented by share certificates but by book
entries. Equity securities, such as the Ordinary Shares, may be
held in either bearer or registered form, and a holder of equity
securities may change from one form of holding to the other.

The Company maintains a share account with
Euroclear France in respect of all Ordinary Shares in registered
form (the Company Share Account), which, in France,
is administered by BNP Paribas (BNP) acting
on behalf of the Company as its agent. Ordinary Shares held in
registered form are inscribed in the name of each shareholder
(either directly, or, at the shareholders request, through
such shareholders accredited intermediary) in separate
accounts (the Shareholder Accounts) maintained by
BNP on behalf of the Company. Each Shareholder Account shows the
name of the holder and such shareholders shareholdings
and, in the case of Ordinary Shares inscribed through an
accredited intermediary, shows that they are so held. BNP, as a
matter of course, issues confirmations as to holdings of
Ordinary Shares inscribed in the Shareholder Accounts to the
persons in whose names the shareholdings are inscribed, but
these confirmations do not constitute documents of title.

In the case of Shares held in bearer form, the
Ordinary Shares are held on the Shareholders behalf by an
accredited intermediary and are inscribed in an account
maintained by such accredited intermediary with Euroclear France
separately from the Company Share Account. Ordinary Shares held
in this manner are referred to as being in bearer form. Each
accredited intermediary maintains a record of Ordinary Shares
held through it and will issue certificates of inscription in
respect thereof.

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Transfers of Ordinary Shares held in bearer form
may only be effected through accredited intermediaries.
SCORs statuts permit it to request Euroclear France
at any time to provide it with the identity, address and
citizenship of the holders of bearer shares.

The ordinary Shares held by non-French residents
may be inscribed in an account, either maintained by an
accredited intermediary or the Company, under the name of their
intermediary, who can represent several holders.

Under a French statute dated May 15, 2001,
shares may be registered in the name of intermediaries who act
on behalf of one or more investors residing outside France. When
shares are so held, we are entitled to request from such
intermediaries the name of the investors and the number of
shares held by such investors. Also, we may request any legal
person who holds more than 2.5% of our shares, to disclose the
name of any person who owns, directly or indirectly, more than a
third of its share capital or of its voting rights. A person not
providing the complete requested information in time might be
deprived by a French court of either its voting rights or its
dividends or both for a period of up to five years. A decree
must be taken by the French government to implement certain
provisions of this statute.

Requirements for Holdings Exceeding Certain
Percentages.French law provides
that any individual or entity, directly or indirectly, acting
alone or in concert with others, that becomes the owner of more
than 5%, 10%, 20%, 33 1/3%, 50%, 66 2/3% of the
outstanding shares or the voting rights thereof of the Company,
or whose holding decreases below any such percentage, must
notify the Company, within fifteen calendar days of the date
such threshold has been crossed, of the number of Ordinary
Shares it holds and the voting rights attached thereto. Such
individual or entity must also notify the CMF, within five Paris
Bourse trading days of the date such threshold has been crossed.
In the event of failure to comply with such notification
requirement, the Ordinary Shares in excess of the relevant
threshold will be deprived of voting rights for all shareholders
meetings until the end of a two-year period following the date
on which the owner thereof has complied with such notification
requirements. In addition, any shareholder who fails to comply
with the above requirements may have all or part of its voting
rights suspended for up to five years by the commercial court at
the request of the Companys chairman, any shareholder or
the COB, and may be subject to criminal penalties.

To permit shareholders to comply with these
requirements, SCOR must publish in the BALO, within 15 calendar
days after its annual meeting, information regarding the total
number of votes available as of the date of its annual meeting.
In addition, if the number of available votes changes by 5% or
more between two ordinary meetings, SCOR must publish the
revised number of available votes in the BALO within 15 calendar
days of the change and notify the CMF.

French law also requires any individual or
entity, acting alone or in concert with others, that acquires
more than 10% or 20% of SCORs voting rights, to file a
report with SCOR, the CMF and the COB, disclosing its intentions
for the 12-month period following the acquisition. The acquirer
must disclose first whether it is acting alone or in concert
with other persons, and whether it intends to continue
purchasing shares, acquire control, or seek nomination to
SCORs Board of Directors. The acquirer must file the
report within 15 calendar days of crossing either threshold. The
CMF will publish the notice, and the acquirer must publish a
press release stating its intention in a financial newspaper of
French national circulation. A shareholder who fails to comply
with these requirements will lose the voting rights attached to
the shares exceeding the 10 or 20% threshold and will only
regain them two years after complying with the notification
requirements.

Regulations of the CMF generally require, subject
to limited exemptions granted by the CMF, any individual or
entity that acquires, alone or in concert with others, shares
resulting in a holding of one-third or more of SCORs share
capital or voting rights, to initiate a public tender offer for
all remaining outstanding shares of SCOR.

In addition, Article 7 of the Companys
statuts provides that every shareholder (including a
holder of ADSs) who, directly or indirectly, acting alone or in
concert with others, becomes the owner of Ordinary Shares
resulting in the clearing of a 2.5% threshold of the
Companys share capital shall be required to notify the
Company of such fact by registered letter with return receipt
requested within five Paris Bourse trading days of the date of
the registration of the Ordinary Shares causing such shareholder
acting alone or in concert with

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others to reach or exceed such percentage. In the
event of failure to comply with such notification and only upon
request of one or several shareholder(s) holding a percentage of
at least 2.5% of the Companys share capital of the
Ordinary Shares in excess of the threshold will be deprived of
voting rights for all shareholders meetings until the end of a
two-year period following the date on which the owner thereof
has complied with such notification requirements.


Transfer of Ordinary Shares.An owner of Ordinary Shares
residing outside France may trade such shares on the Paris
Bourse. Should such owner, or the broker or other agent through
whom a sale is effected, require assistance in this connection,
an accredited intermediary should be contacted.

Prior to any transfer of Ordinary Shares held in
registered form on the Paris Bourse, such shares must be
inscribed in an account maintained by an accredited
intermediary. Dealings in Ordinary Shares are initiated by the
owner giving instructions (through an agent, if appropriate) to
the relevant accredited intermediary. For dealing on the Paris
Bourse, an impôt sur les opérations de bourse,
or tax assessed on the price at which the securities were
traded, is payable, at a rate of 0.3% on transactions from EUR
7,622.45 up to EUR 152,449 and at a rate of 0.15% thereafter,
subject to a rebate of EUR 22.87 per transaction and to a
maximum assessment of EUR 609.80 per transaction. Non-residents
of France are not subject to this tax. In addition, a fee or
commission is payable to the société de bourse,
or French broker, accredited intermediary or other agent
involved in the transaction (whether within or outside France).
No registration duty is normally payable in France, unless a
transfer instrument has been executed.

Trading by the Company in Ordinary
Shares

Under Regulation N 90-04 of the COB, as
amended, we may not trade in our own shares for the purpose of
manipulating the market. There are three general requirements
for trades by a company in its own shares to be deemed valid:



| |   |                                                                                                                                                                                                                          
| | - | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | These trades must be executed on our behalf by
    only one intermediary in each trading session, except during the
    issues period of any securities if the trades are made to ensure
    the success of the issuance,
|
| |  | Any block trades may not be made at a price above
    the current market price, and                                                                                                                                      
|
| |  | Each trade must be made at a price that falls
    between the lowest and the highest trading price of the trading
    session during which it is executed.                                                               

If a companys shares, like our shares, are
continuously quoted (cotation en continu), then a trade
must meet three further requirements to be deemed valid:



| |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
| | - | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | The trade must not influence the determination of
    the quoted price before the opening of trading, at the first
    trade of the shares, at the reopening of trading following a
    suspension or reservation of securities, or, as applicable, in
    the last half-hour of any trading session or at the fixing of
    the closing price,                                                                                                                                                                                                 
|
| |  | The trade must not be carried out in order to
    influence the price of a derivative instrument relating to the
    companys shares, and                                                                                                                                                                                                                                                                                                                                                                                                      
|
| |  | The trade must not account for more than 25% of
    the average total daily trading volume on Euronext Paris in the
    shares during a certain reference period immediately preceding
    the trade. In the case of shares eligible for the deferred
    settlement service, like our shares, this reference period is
    three days. This 25% limit does not apply to off-market block
    trades or to acquisitions made by an investment service provider
    on our behalf pursuant to a liquidity agreement meeting certain
    criteria.

However, there are two periods during which we
are not permitted to trade in our own securities other than
through an investment service provider acting on our behalf
pursuant to a liquidity agreement meeting certain criteria: the
15-day period before the date on which we make our consolidated
or annual accounts public, and the period beginning on the date
at which we become aware of information that, if disclosed,
would have a significant impact on the market price of our
securities and ending on the date this information is made
public.

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After making an initial purchase of our own
share, we must file monthly reports with the COB and the CMF
that contain specified information about subsequent
transactions. The CMF makes this information publicly available.

Ownership of Shares by Non-French
Persons

Under current French law, there is no limitation
on the right of non-residents or non-French shareholders to own
or to vote securities of a French company.

A French law dated February 14, 1996
abolished the requirement that a person who is not a resident of
the European Union obtain an autorisation préalable
or preliminary authorization prior to acquiring a controlling
interest in a French company. Under current French foreign
direct investment regulations, a notice (déclaration
administrative) must be filed, however, with the French
Ministry of the Economy in connection with the acquisition of an
interest in the Company by any person not residing in France or
any group of non-French residents acting in concert or by any
foreign controlled resident if such acquisition would result in
(i) the acquisition of a controlling interest in the
Company or (ii) the increase of a controlling interest in
the Company unless such person not residing in France or group
of non-French residents already controls more than two-thirds of
the Companys share capital or voting rights prior to such
increase. Under existing administrative rulings, ownership of
20% or more of a listed companys share capital or voting
rights is regarded as a controlling interest, but a lower
percentage may be held to be a controlling interest in certain
circumstances (depending upon such factors as the acquiring
partys intentions, its ability to elect directors or
financial reliance by the French company on the acquiring party).




C. MATERIAL CONTRACTS

No material contract existed in 2001 outside the
ordinary course of business, except for IRP purchase of minority
interests, see Item 4. Information on the
Company  Underwriting, and for GROUPAMA
guarantees, see Item 7. Major Shareholders and
Related Party Transactions, B. Related Party
Transactions.




D. EXCHANGE CONTROLS

Exchange Controls

Under current French exchange control
regulations, there are no limitations on the amount of payments
that may be remitted by a French company to non-residents. Laws
and regulations concerning foreign exchange controls do require,
however, that all payments or transfers of funds made by a
French resident to a non-resident be handled by an accredited
intermediary. In France, all registered banks and substantially
all credit establishments are accredited intermediaries.




E. TAXATION

The following describes the principal United
States federal income tax consequences and the principal French
tax consequences of the ownership of Ordinary Shares or ADRs by
a U.S. Holder (as defined below). This summary does not
purport to address all potential tax consequences of the
ownership of Ordinary Shares or ADRs, and does not apply to
special classes of holders subject to special rules, including
tax-exempt entities, certain insurance companies,
broker-dealers, traders in securities that elect to
mark-to-market, investors liable for alternative minimum tax,
investors that actually or constructively own 10% or more of the
capital of the Company, investors that hold Ordinary Shares or
ADRs as part of a straddle or a hedging or conversion
transaction or investors whose functional currency is not the
U.S. dollar.

This summary is based in part upon the
representations of the Depositary and the assumption that each
obligation in the Deposit Agreement and any related agreement
will be performed in accordance with its terms. In addition,
this summary is based on the tax laws of the United States
(including the Internal Revenue Code of 1986, as amended, its
legislative history, existing and proposed regulations there
under, published rulings and court decisions) and France as in
effect on the date hereof, as well as on the Convention Between
the United States of America and France for the Avoidance of
Double Taxation and the Prevention of Fiscal

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Evasion with Respect to Taxes on Income and
Capital dated August 31, 1994 (the Treaty), all
of which are subject to change (or changes in interpretation),
possibly with retroactive effect.


The discussion does not address any aspects of
United States taxation other than federal income taxation or any
aspects of French taxation other than income taxation, gift and
inheritance taxation, transfer taxation, and wealth taxation.
U.S. Holders (as defined below) are urged to consult their
tax advisors regarding the United States federal, state and
local and the French and other tax consequences of owning and
disposing of Ordinary Shares and ADRs in their particular
circumstances. In particular, U.S. Holders are urged to
confirm their status as Eligible U.S. Holders (as defined
below) with their advisors and to discuss with their advisors
any possible consequences of their failure to qualify as
Eligible U.S. Holders.

For purposes of this discussion, a
U.S. Holder is any beneficial owner of Ordinary
Shares or ADRs that is:



| |   |                                                                                                                                                                                                                                                 
| | - | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | a citizen or resident of the United States,                                                                                                                                                                                                     
|
| |  | a corporation organized under the laws of the
    United States or any State,                                                                                                                                                                   
|
| |  | an estate the income of which is subject to
    United States federal income tax without regard to its source, or                                                                                                                               
|
| |  | a trust if a court within the United States is
    able to exercise primary supervision over the administration of
    the trust and one or more United States persons have the
    authority to control all substantial decisions of the trust.

In general, and taking into account the earlier
assumptions, holders of ADRs will be treated as the owners of
the Ordinary Shares represented by such ADRs and exchanges of
Ordinary Shares for ADRs, and ADRs for Ordinary Shares, will not
be subject to United States federal income or French tax.

Taxation of Dividends

French Taxation.In
France, dividends are paid out of after-tax income. A resident
of France is entitled to an avoir fiscal or a tax credit,
in respect of a dividend received from a French corporation,
such as the Company, equal to 50% of the amount of the dividend
for individuals, 50% for companies owning at least 5% of the
Company and meeting the conditions to qualify under the French
parent-subsidiary regime, and 15% for other shareholders.
Dividends paid by French companies to non-residents of France
generally are subject to French withholding tax at a 25% rate,
and are not eligible for the benefit of the avoir fiscal.
However, under the Treaty, avoir fiscal is allowed
totally or partially to shareholders who are residents of the
United States.

Under the Treaty, payments of dividends and
avoir fiscal to Eligible U.S. Holders, as defined
below, are subject to French withholding tax at the rate of 15%.

An Eligible U.S. Holder is a
U.S. Holder whose ownership of Ordinary Shares or ADRs is
not effectively connected with a permanent establishment in
France and who is for purposes of the Treaty:



| |   |                                                                                                                                                                                                                                                                                                        
| | - | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | an individual or other non-corporate holder that
    is a resident of the United States for Treaty purposes (Eligible
    individual),                                                                                                                                                                 
|
| |  | a United States corporation, other than a
    regulated investment company, that does not own, directly or
    indirectly, 10% or more of the capital of the Company (Eligible
    corporation), or                                                                                                    
|
| |  | a United States corporation that is a regulated
    investment company if it does not own, directly or indirectly,
    10% or more of the capital of the Company and less than 20% of
    its shares are owned by persons who are not citizens or
    residents of the United States (Eligible R.I.C.).

Payment of the avoir fiscal is made by the
French Treasury not earlier than January 15 following the
close of the calendar year in which the related dividends are
paid, and only after receipt by the French tax

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administration of a claim for such payment in
accordance with the procedures described below. However, there
are certain limitations to the availability of the avoir
fiscal under the Treaty.




| |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
| | - | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | The Eligible U.S. Holder must own less than
    10% of the Companys capital.                                                                                                                                                                                                                                                                                                                                                                                                               
|
| |  | The Eligible U.S. Holder must be subject to
    U.S. federal income tax on both the dividends and the
    avoir fiscal.                                                                                                                                                                                                                                                                                                                                                                     
|
| |  | A partnership or a trust (other than a pension
    trust, a real estate investment trust or a real estate mortgage
    investment conduit) is entitled to the avoir fiscal only
    to the extent that its partners, beneficiaries or grantors, as
    applicable, are themselves Eligible U.S. Holders (other
    than a regulated investment company) and are themselves subject
    to U.S. federal income tax on their respective shares of
    both the dividends and the avoir fiscal.
|
| |  | The Eligible U.S. Holder, where required by
    the French tax administration, must show that he or she is the
    beneficial owner of the Ordinary Shares or ADRs and that the
    holding of such Ordinary Shares or ADRs does not have as one of
    its principal purposes the purpose of allowing another person to
    take advantage of the grant of the avoir fiscal under the
    Treaty.                                                                                          

Under the Treaty, special rules apply to
(i) any Eligible Pension Fund, which is a
tax-exempt entity established in, and sponsored or established
by a resident of, the United States, the exclusive purpose of
which is to provide retirement or employee benefits and which
does not own, directly or indirectly, 10% or more of the capital
of the Company, (ii) any Eligible Not-For-Profit
Organization, which is a tax-exempt entity organized in
the United States, the use of whose assets is limited under
U.S. federal or state laws, both currently and upon
liquidation, to the accomplishment of the purposes that serve as
the basis of its exemption from income taxation in the United
States and which does not own, directly or indirectly, 10% or
more of the capital of the Company, and (iii) any
Individual Holding Shares in a Retirement Plan,
meaning an individual who is a resident of the United States
under the Treaty and who owns Ordinary Shares or ADRs through an
individual retirement account (IRA), a Keogh plan or
any similar arrangement under which the contributions or the
accumulated earnings receive a favored tax treatment under
U.S. federal income tax law. (Eligible Pension
Funds, Eligible Not-For-Profit Organizations
and Individual Holding Shares in a Retirement Plan
are referred to collectively as Eligible Tax-Exempt
Holders.)

Eligible Tax-Exempt Holders are entitled to
receive from the French Treasury a payment equal to 30/85ths of
the avoir fiscal (the partial avoir
fiscal).

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The following illustrates the consequences of a
dividend of EUR 100 to different categories of U.S. Holder:

|                                                                                                                                     |  |          |     |        |  |         |    |           |  |                |       |           |  |                                            |    |  |     |  |     |                          |       |  |       | 
|------------------------------------------------------------------------------------------------------------------------------------ |  | -------- | --- | ------ |  | ------- | -- | --------- |  | -------------- | ----- | --------- |  | ------------------------------------------ | -- |  | --- |  | --- | ------------------------ | ----- |  | ----- | 
|                                                                                                                                     |  |          |     | Total  |  | Partial |    |           |  | Withholding on |       |          
|                                                                                                                                     |  | Dividend |     | Avoir  |  | Avoir   |    | Refund of |  | payment to     |       | Total net
|                                                                                                                                     |  | Amount   |     | Fiscal |  | Fiscal  |    | Précompte |  | U.S. Holders   |       | payment  
|                                                                                                                                     |  |          |     |        |  |         |    |           |  |                |       |          
|                                                                                                                                     |  | (EUR)    |     |        |  |         |    |           |  |                |       | (EUR)    
|Individuals,                                                                                                                         |  |          | 100 |        |  |         | 50 | %         |  |                | no    |           |  |                                            | no |  |     |  | 15% |                          |       |  | 127.5 | 
|                                                                                                                                    
|Individuals, via an IRA owning less than 10% of
    the Companys capital                                                            |  |          | 100 |        |  |         | no |           |  |                | 17.65 | %         |  | Yes, if it has been paid by the Company    |    |  | 15% |  |     | 100 +Précompte(if any)  
|                                                                                                                                    
|Corporation, other than R.I.C. owns less than 5%
    of the Companys capital                                                        |  |          | 100 |        |  |         | 15 | %         |  |                | no    |           |  | Partly, if it has been paid by the Company |    |  | 15% |  |     |                          | 97.75 | 
|                                                                                                                                    
|Corporation, other than R.I.C. owns more than 5%
    and less than 10% of the Companys capital                                      |  |          | 100 |        |  |         | 50 | %         |  |                | no    |           |  |                                            | no |  |     |  | 15% |                          |       |  | 127.5 | 
|                                                                                                                                    
|Corporation, other than R.I.C. owns 10% or more
    of the Companys capital                                                         |  |          | 100 |        |  |         | no |           |  |                | no    |           |  | Yes, if it has been paid by the Company    |    |  | 5%  |  |     | 95 +Précompte(if any)   
|                                                                                                                                    
|RIC, owns less than 10% of the Companys
    capital and more than 20% of its shares are owned by
    non-U.S. citizens or residents |  |          | 100 |        |  |         | no |           |  |                | no    |           |  | Yes, if it has been paid by the Company    |    |  | 15% |  |     | 85 +Précompte(if any)   
|Or,                                                                                                                                  |  |          |     |        |  |         |    |           |  |                |       |           |  |                                            |    |  |     |  |     |                          |       |  |       | 
|RIC, owns more than 10% of the Companys
    capital                                                                                 |  |          |     |        |  |         |    |           |  |                |       |           |  |                                            |    |  |     |  |     |                          |       |  |       | 
|                                                                                                                                    
|RIC, owns less than 10% of the Companys
    capital and less than 20% of its shares are owned by
    non-U.S. citizens or residents |  |          | 100 |        |  |         | 15 | %         |  |                | no    |           |  | Partly, if it has been paid by the Company |    |  | 15% |  |     | 97.75 +Précompte(if any)
|                                                                                                                                    
|Pension funds(1)owns less than
    10% of the Companys capital                                                                      |  |          | 100 |        |  |         | 0  | %         |  |                | 5.29  | %         |  | Yes, if it has been paid by the Company    |    |  | 15% |  |     | 89.5 +Précompte(if any) 






|    |                                                                                                                                       
|--- | --------------------------------------------------------------------------------------------------------------------------------------
|(1) | sec.401(a) Qualified retirement plans, sec.403(b)
    Tax deferred annuity contracts, and sec.457 Deferred
    compensation contracts.

An Eligible Tax-Exempt Holder, where required by
the French tax administration, must show that it is the
beneficial owner of the Ordinary Shares or ADRs and that the
holding of such Ordinary Shares or ADRs does not have as one of
its principal purposes to allow another person to take advantage
of the grant of the partial avoir fiscal under the Treaty.

Eligible Holders that do not benefit from a total
avoir fiscal are also entitled to a refund of any
précompte paid by the Company with respect to the
dividends they receive, but such refund is reduced by the amount
of the partial avoir fiscal to which they are entitled
and further reduced by the 15% or 5% withholding tax on
dividends.

Eligible Tax-Exempt Holders generally must follow
the procedures set forth below, even though the existing French
forms do not take into account the special tax treatment
applicable to Eligible Tax-Exempt Holders with respect to the
payment of the partial avoir fiscal and the refund of the
précompte. Certain Eligible Tax-Exempt Holders may
also be required to provide written evidence certified by the
U.S. Internal Revenue Service of their status under
U.S. federal income tax law. As a consequence, Eligible
Tax-Exempt Holders are urged to contact their own tax advisors
with respect to the procedures to be followed to obtain Treaty
benefits.

To benefit from the reduced withholding tax rate
of 15% or 5% immediately upon payment of a dividend and to
receive the payment of the avoir fiscal less the 15% or
5% withholding tax on that amount, Eligible

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U.S. Holders must complete and deliver to
the French tax authorities either (i) the simplified
certificate described below, or (ii) an application for
refund on a French Treasury form RF 1A EU 
No. 5052, entitled Application for Refund,
before the date of payment of the dividends. A simplified
certificate must state that the Eligible U.S. Holder is
(i) a U.S. resident within the meaning of the Treaty,
(ii) do not maintain a permanent establishment or fixed
base in France with which the holding giving rise to the
dividend is effectively connected, (iii) own all the rights
attached to the full ownership of the shares (including dividend
rights), (iv) meet all the requirements of the Treaty for
obtaining the benefit of the reduced rate of withholding tax and
the refund of the avoir fiscal, and (v) claim the
reduced rate of withholding tax and payment of the avoir
fiscal. If an Eligible U.S. Holder that is not an
individual submits an Application for Refund form,
the application must be accompanied by an affidavit attesting
that the Eligible U.S. Holder is the owner of all the
rights attached to the full ownership of the shares (including
dividend rights), or if the Eligible U.S. Holder is not the
owner of all such rights, providing certain information
concerning other owners. The Application for Refund
form, together with instructions, will be provided by the
Depositary to all U.S. Holders registered with the
Depositary and is also available from the U.S. Internal
Revenue Service. An Eligible U.S. Holder who does not
benefit from the reduced withholding tax rate of 15% or 5%
immediately upon the payment of the dividend may claim a refund
of the excess 10% or 20%, respectively, withholding tax and may
claim payment of the avoir fiscal less a 15% or 5%
withholding tax on that amount by filing a French Treasury Form
RF 1A EU  No. 5052 with the French
fiscal authorities by December 31 of the year following the
calendar year in which the related dividend was received. The
Depositary will arrange for the filing with the French fiscal
authorities of all forms completed by U.S. Holders
registered with the Depositary and returned to the Depositary in
sufficient time so they may be filed with the French fiscal
authorities by December 31 of the year following the
calendar year in which the related dividend was received.


If an Eligible U.S. Holder sells Ordinary
Shares in a trade executed on the monthly settlement market
during a month during which a dividend payment date with respect
to the Ordinary Shares occurs, generally the seller, rather than
the purchaser, will be entitled to the avoir fiscal with
respect to the dividend paid on such dividend payment date. See
Item 9.C  Markets for a summary of
certain information relating to trading of the Ordinary Shares
on the monthly settlement market.

United States Federal Income Taxation.Under the United States federal income
tax laws, and subject to the passive foreign investment company
(PFIC) rules discussed below, U.S. Holders must
include in gross income the gross amount of any dividend paid
(before reduction for French withholding taxes) by the Company
out of its current or accumulated earnings and profits (as
determined for United States federal income tax purposes) as
ordinary income when the dividend is actually or constructively
received by the U.S. Holder, in the case of Ordinary
Shares, or by the Depositary, in the case of ADRs. The gross
amount of any avoir fiscal also will be treated as
dividend income. The dividend will not be eligible for the
dividends-received deduction generally allowed to United States
corporations in respect of dividends received from other United
States corporations. The amount of the dividend distribution
includible in income of a U.S. Holder will be the
U.S. dollar value of the euro payment made, determined at
the spot U.S. dollar/euro rate on the date such dividend
distribution is includible in the income of the
U.S. Holder, regardless of whether the payment is in fact
converted into U.S. dollars. Generally, any gain or loss
resulting from currency exchange fluctuations during the period
from the date the dividend payment is includible in income to
the date such payment is converted into U.S. dollars will
be treated as ordinary income or loss. Such gain or loss will
generally be income from sources within the United States for
foreign tax credit limitation purposes. Distributions in excess
of current and accumulated earnings and profits, as determined
for United States federal income tax purposes, will be treated
as a return of capital to the extent of the
U.S. Holders basis in the Shares or ADRs and
thereafter as capital gains.

Subject to certain limitations, the French tax
withheld in accordance with the Treaty and paid over to France
will be creditable against the U.S. Holders United
States federal income tax liability. To the extent a refund of
tax withheld is available to a U.S. Holder (for example,
because the Holder does not establish before the date of payment
that it is a resident of the United States under the Treaty),
the amount of tax withheld that is refundable will not be
eligible for credit against the U.S. Holders United
States federal income tax liability. See
 French Taxation, above, for the
procedures for obtaining a refund of tax withheld in excess of
the 15%

78



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or 5% treaty rates. For foreign tax credit
limitation purposes, the dividend will be income from sources
without the United States, but generally will be passive
income (or, in the case of certain holders,
financial services income). Passive income or
financial services income must be treated separately for
purposes of computing the foreign tax credit allowable to a
U.S. Holder.


Distributions of additional Ordinary Shares to
U.S. Holders with respect to their Ordinary Shares or ADRs
that are made as part of a pro rata distribution to all
shareholders of the Company generally will not be subject to
United States federal income tax.

Taxation of Capital Gains

French Taxation.Under the Treaty, no French tax is
levied on any capital gain derived from the sale of Ordinary
Shares or ADRs by a U.S. Holder who (i) is a resident
of the United States under the Treaty, (ii) is entitled to
Treaty benefits under the limitation on benefits provisions of
Article 30 thereof, and (iii) does not have a
permanent establishment in France to which the Ordinary Shares
or ADRs are effectively connected or, in the case of an
individual, who does not maintain a fixed base in France to
which the Ordinary Shares or ADRs are effectively connected.

United States Federal Income Taxation.Subject to the PFIC rules discussed
below, upon a sale or other disposition of Ordinary Shares or
ADRs, a U.S. Holder will recognize gain or loss for United
States federal income tax purposes in an amount equal to the
difference between the U.S. dollar value of the amount
realized and the U.S. Holders tax basis (determined
in U.S. dollars) in such Ordinary Shares or ADRs.
Generally, such gain or loss will be long-term capital gain or
loss if the U.S. Holders holding period for such
Ordinary Shares or ADRs exceeds twelve months and will be gain
or loss from sources within the United States for foreign tax
credit limitation purposes. The deductibility of capital losses
is subject to significant limitations. Long-term capital gain of
a non-corporate U.S. Holder is generally subject to
U.S. federal income tax at preferential rates if specified
minimum holding periods are met.

French Estate and Gift Taxes

Under the Convention Between the United States of
America and the French Republic for the Avoidance of Double
Taxation and the Prevention of Fiscal Evasion with Respect to
Taxes on Estates, Inheritance and Gifts, a transfer of ADRs or
Ordinary Shares by gift or by reason of the death of a
U.S. Holder that would otherwise be subject to French gift
or inheritance tax, respectively, will not be subject to such
French tax unless the donor or the transferor is domiciled in
France at the time of making the gift or of his or her death, or
the ADRs or Ordinary Shares were used in, or held for use in,
the conduct of a business or profession through a permanent
establishment or a fixed place of business based in France.

French Wealth Tax

The French wealth tax does not generally apply to
the shares of U.S. Holders.

Additional United States Federal Income Tax
Considerations

PFIC Rules.The
Company believes that Ordinary Shares and ADRs should not be
treated as stock of a passive foreign investment company (a
PFIC) for United States federal income tax purposes,
but this conclusion is a factual determination made annually and
thus may be subject to change.

In general, the Company will be a PFIC with
respect to a U.S. Holder if, for any taxable year in which
the U.S. Holder held ADRs or Ordinary Shares, either:



| |   |                                                                                                                                                                                                        
| | - | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | at least 75% of the gross income of the Company
    for the taxable year is passive income, or                                                                                                         
|
| |  | at least 50% of the value (determined on the
    basis of a quarterly average) of the Companys assets is
    attributable to assets that produce or are held for the
    production of passive income.

For this purpose, passive income generally
includes dividends, interest, royalties, and rents, as well as
certain other categories of income, but generally does not
include income derived in the active conduct of an

79



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insurance business by a corporation predominantly
engaged in an insurance business. The Company believes that this
exception applies to the income earned through the reinsurance
businesses conducted by its subsidiaries. However, no regulatory
guidelines have been issued interpreting this exception.


If the Company were treated as a PFIC, a
U.S. Holder would be subject to special rules with respect
to:

a. any gain realized on the sale or other
disposition of Ordinary Shares or ADRs, and



| |    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
| | -- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | b. | any excess distribution by the
    Company to the U.S. Holder (generally, any distributions to
    the U.S. Holder in respect of the Ordinary Shares or ADRs
    during a single taxable year that are greater than 125% of the
    average annual distributions received by the U.S. Holder in
    respect of the Ordinary Shares or ADRs during the three
    preceding taxable years or, if shorter, the
    U.S. Holders holding period for the Ordinary Shares
    or ADRs).

Under these rules:



| |    |                                                                                                                                                                                               
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 1. | the gain or excess distribution would be
    allocated ratably over the U.S. Holders holding
    period for the Ordinary Shares or ADRs, beginning in the year
    the Company became a PFIC.
|
| | 2. | the amount allocated to the taxable year in which
    the gain or excess distribution was realized would be taxable as
    ordinary income,                                                   
|
| | 3. | the amount allocated to each prior year, with
    certain exceptions, would be subject to tax at the highest tax
    rate in effect for that year, and                                        
|
| | 4. | the interest charge generally applicable to
    underpayments of tax would be imposed in respect of the tax
    attributable to each such year.                                               

The special PFIC tax rules described above will
not apply to a U.S. Holder if the U.S. Holder elects
to have the Company treated as a qualified electing
fund or makes a mark-to-market election with
respect to the Company. U.S. Holders should consult their
tax advisors as to the availability and consequences of such
elections.




F. DIVIDENDS AND PAYING AGENTS

Not applicable.




G. STATEMENT BY EXPERTS

Not applicable.




H. DOCUMENTS ON DISPLAY

It is possible to read and copy documents
referred to in this Annual report on Form 20-F that have
been filed with the SEC at the SECs public reference room
located at:



| |                                                    
| | ---------------------------------------------------
| | 451 Fifth Street, NW 
     Washington DC 20549, USA

Please call the SEC at 1-800-SEC-0330 for further
information on the public reference room and their copy charges.

This document is also filed on the SEC document
service internet site http://www.edgar-online.com

In addition, documents referred to above are
available at SCORs headquarters, located:



| |                                                                           
| | --------------------------------------------------------------------------
| | 1, Avenue du Général de Gaulle 
     92074 Paris-La Défense Cedex, France.




I. SUBSIDIARY INFORMATION

Not applicable.

80



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Item 11. Quantitative and
Qualitative Disclosures About Market Risk

SCOR is exposed to market risk from changes in
foreign currency exchange rates, interest rates and equity
security prices that have an adverse effect on the fair value of
financial instruments and derivative financial instruments. SCOR
manages its market risks as well as risk exposure relating to
non-financial assets, liabilities and transactions by defining
centralized investment policy guidelines, using derivatives to
protect its investment portfolio or rebalancing its existing
asset and liability portfolio.

Market risk sensitive instruments are divided
into two categories: instruments entered into for trading
purposes and instruments entered into for non-trading purposes.
SCORs financial instruments and derivative financial
instruments are all classified as being held for purposes other
than trading.

Foreign Currency Exchange Rate Risk

Foreign currency exchange rate risk arises from
the possibility that changes in foreign currency exchange rates
will impact the value of revenues, expenses, assets and
liabilities denominated in foreign currencies. The Groups
financial position, results of operations and cash flows are
directly dependent on the periodic monitoring and adjustment of
the balance of assets and liabilities in each of its main
operating currencies.

At December 31, 2001, 73.29% of consolidated
net technical reserves were denominated in currencies other than
those participating in the European Economic and Monetary Union,
primarily the U.S. dollar (53.36% of net technical
reserves), the Pound sterling (6.95%)and the Canadian dollar
(3.27%).

The impact of fluctuations in exchange rates is
mitigated to a large extent by the fact that the Group generally
invests in assets denominated in the same currencies as its
corresponding technical reserves, in order to ensure that its
investments on the one hand and reinsurance liabilities on the
other are matched on a currency-by-currency basis. The Group
attempts to match its assets and liabilities on a
currency-by-currency basis in each currency for which an
organized financial or foreign exchange market is available,
including the currencies noted above, primarily by investing in
assets that are denominated in the currency of the Groups
corresponding reinsurance liabilities. Management adjusts open
positions in specific currencies, generally on a quarterly
basis, to manage any excess or deficit of assets compared to
liabilities in a particular currency. Total currency exposure
(other than with respect to the euro) is limited to the excess
(or deficiency) of assets over liabilities in each currency.

Interest Rate Risk

SCOR has exposure to economic losses due to
interest rate risk arising from changes in the level of interest
rates. Generally, a sustained period of lower interest rates
will reduce the investment income yield of the Groups
investment portfolio over time as higher yielding investments
are called, mature or are sold and proceeds are reinvested at
lower rates. However, on significant portions of the investment
portfolio, declining interest rates will generally increase
unrealized gains, as well as realized gains to the extent
securities are sold. Conversely, rising interest rates should,
over time, increase investment income but reduce the market
value of certain of the investments in the Groups
investment portfolio. The diversity of the Groups
investment portfolio, developed as a result of the geographic
spread of its reinsurance businesses and a corresponding
strategy of matching, to the extent possible, investments and
reinsurance liabilities by currency, tends to diminish the
effect of movements in interest rates in any one market.

Equity Security Price Risk

SCOR has exposure to equity security price risk
as a result of its investment in equity securities and equity
derivatives, due to volatility. SCOR mitigates this risk by
diversifying its equity portfolio and applying conservative
investment guidelines.

SCOR prefers investments for long periods of
time, and is not necessarily troubled by short term price
volatility when economics and management remain excellent. A
large part of SCORs investments in equity securities is
concentrated in few companies. The two most important of them
are COFACE, which is accounted for under the equity method and
Swiss Life which is classified as trading equity securities.

81



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Sensitivity Analysis

SCORs exchange rate sensitivity analysis
assumes an instantaneous 10% change in the exchange rates of
currencies other than the currencies irrevocably fixed against
the euro, from their levels at December 31, 2001, with all
other variables held constant. At December 31, 2001,
appreciation of the euro against other currencies would result
in a before-tax decrease in the market value of financial
instruments of EUR 593 million. A depreciation at
December 31, 2001 of the euro against other currencies
would result in a before-tax increase in the market value of
financial instruments of EUR 593 million.

The interest rate sensitivity analysis estimates
the change in the market value of the Companys
interest-sensitive financial instruments that were held on
December 31, 2001 due to instantaneous parallel changes in
the year-end yield curve. The interest rates on certain types of
assets and liabilities may fluctuate in advance of changes in
market interest rates, while interest rates on other types may
lag behind changes in market rates. Accordingly, the analysis
may not be indicative of, is not intended to provide and does
not provide a precise forecast of the effect of changes of
market interest rates on the Companys income or
stockholders equity. Furthermore, the computations do not
contemplate any actions SCOR would undertake in response to
changes in interest rates.

The interest rate sensitivity analysis assumes an
instantaneous shift in market interest rates, with scenarios of
interest rates increasing and decreasing 100 basis points
(bp) from their levels at December 31, 2001,
with all other variables held constant. A 100 bp increase
in market interest rates would have resulted in a before-tax
decrease in the value of SCORs financial instrument
position of EUR 186 million at December 31, 2001.
A 100 basis point decrease in market interest rates would have
resulted in a before-tax increase in the value of SCORs
financial instrument position of EUR 186 million at
December 31, 2001.

Equity price risk was measured assuming an
instantaneous 10% change in the most pertinent index for the
most significant equity instruments held by the Group (the
Indexes) from their levels at December 31, 2001, with
all other variables held constant. The Indexes are primarily the
Standard & Poors 500 Index for U.S. equity
instruments, the Toronto Stock Exchange 300 Index for Canadian
equity instruments, and the Bloomberg 500 Index for European
equity instruments. The Companys equity holdings were
assumed to be positively correlated with those indexes. At
December 31, 2001, a 10% decrease in the Indexes would have
resulted in a EUR 67 million decrease in the market
value of the Companys equity investments. A 10% increase
in the Indexes would have resulted in a before-tax increase of
EUR 67 million in the market value of the
Companys equity investments at December 31, 2001.

82



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The following table sets forth the estimated
effect on the market value of the Groups financial
instruments available for sale at December 31, 2000 and
2001, assuming changes of 10% in foreign currency exchange rates
and in the Indexes, and a change of 100 basis points in
interest rates.

|                          |       |                    |       |                  |  |                    |      |               |   |  |      |      |   |  |     |     |  
|------------------------- | ----- | ------------------ | ----- | ---------------- |  | ------------------ | ---- | ------------- | - |  | ---- | ---- | - |  | --- | --- | -
|                          |       |                   
|                          |       | December 31, 2000 
|                          |       |                   
|                          |       |                    |       | Currency Risk    |  |                   
|                          |       |                    |       |                  |  | Interest Rate Risk |      | Equity Risk  
|                          |       |                    |       | 10% change in    |  |                    |      |              
|                          |       |                    |       | foreign currency |  | 100 bp change in   |      | 10% change in
|                          |       | Market Value       |       | exchange rates   |  | interest rate      |      | Indexes      
|                          |       |                    |       |                  |  |                    |      |              
|                          |       |                   
|                          |       | (EUR, in millions)
|Increase                  |       |                    |       |                  |  |                    |      |               |   |  |      |      |   |  |     |    
|Fixed maturities          |       |                    | 5,563 |                  |  |                    | 448  |               |   |  | (229 | )    |   |  |    |    
|Equity securities         |       |                    | 757   |                  |  |                    | 16   |               |   |  |     |      |   |  | 85  |    
|Short-term investments    |       |                    | 301   |                  |  |                    | 29   |               |   |  |     |      |   |  |    |    
|Cash and cash equivalents |       |                    | 247   |                  |  |                    | 23   |               |   |  |     |      |   |  |    |    
|                          |       |                    |       |                  |  |                    |      |               |   |  |      |      |   |  |     |    
|                          | Total |                    |       | 6,868            |  |                    |      | 516           |   |  |      | (229 | ) |  |     | 85  |  
|                          |       |                    |       |                  |  |                    |      |               |   |  |      |      |   |  |     |    
|Decrease                  |       |                    |       |                  |  |                    |      |               |   |  |      |      |   |  |     |    
|Fixed maturities          |       |                    | 5,563 |                  |  |                    | (448 | )             |   |  | 229  |      |   |  |    |    
|Equity securities         |       |                    | 757   |                  |  |                    | (16  | )             |   |  |     |      |   |  | (85 | )  
|Short-term investments    |       |                    | 301   |                  |  |                    | (29  | )             |   |  |     |      |   |  |    |    
|Cash and cash equivalents |       |                    | 247   |                  |  |                    | (23  | )             |   |  |     |      |   |  |    |    
|                          |       |                    |       |                  |  |                    |      |               |   |  |      |      |   |  |     |    
|                          | Total |                    |       | 6,868            |  |                    |      | (516          | ) |  |      | 229  |   |  |     | (85 | )
|                          |       |                    |       |                  |  |                    |      |               |   |  |      |      |   |  |     |    

|                          |       |                    |       |                  |  |                    |      |               |      |  |      |      |   |  |     |     |  
|------------------------- | ----- | ------------------ | ----- | ---------------- |  | ------------------ | ---- | ------------- | ---- |  | ---- | ---- | - |  | --- | --- | -
|                          |       |                   
|                          |       | December 31, 2001 
|                          |       |                   
|                          |       |                    |       | Currency Risk    |  |                   
|                          |       |                    |       |                  |  | Interest Rate Risk |      | Equity Risk  
|                          |       |                    |       | 10% change in    |  |                    |      |              
|                          |       |                    |       | foreign currency |  | 100 bp change in   |      | 10% change in
|                          |       | Market Value       |       | exchange rates   |  | interest rate      |      | Indexes      
|                          |       |                    |       |                  |  |                    |      |              
|                          |       |                   
|                          |       | (EUR, in millions)
|Increase                  |       |                    |       |                  |  |                    |      |               |      |  |      |      |   |  |     |    
|Fixed maturities          |       |                    | 5,582 |                  |  |                    | 426  |               |      |  | (186 | )    |   |  |    |    
|Equity securities         |       |                    | 646   |                  |  |                    | 20   |               |      |  |     |      |   |  | 67  |    
|Short-term investments    |       |                    | 448   |                  |  |                    | 45   |               |      |  |     |      |   |  |    |    
|Cash and cash equivalents |       |                    | 1,927 |                  |  |                    | 103  |               |      |  |     |      |   |  |    |    
|                          |       |                    |       |                  |  |                    |      |               |      |  |      |      |   |  |     |    
|                          | Total |                    |       | 8,603            |  |                    |      | 593           |      |  |      | (186 | ) |  |     | 67  |  
|                          |       |                    |       |                  |  |                    |      |               |      |  |      |      |   |  |     |    
|Decrease                  |       |                    |       |                  |  |                    |      |               |      |  |      |      |   |  |     |    
|Fixed maturities          |       |                    | 5,582 |                  |  |                    | (426 | )             |      |  | 186  |      |   |  |    |    
|Equity securities         |       |                    | 646   |                  |  |                    | (20  | )             |      |  |     |      |   |  | (67 | )  
|Short-term investments    |       |                    | 448   |                  |  |                    | (45  | )             |      |  |     |      |   |  |    |    
|Cash and cash equivalents |       |                    | 1,927 |                  |  |                    | (103 | )             |      |  |     |      |   |  |    |    
|                          |       |                    |       |                  |  |                    |      |               |      |  |      |      |   |  |     |    
|                          | Total |                    |       | 8,603            |  |                    |      | (593          | )(1) |  |      | 186  |   |  |     | (67 | )
|                          |       |                    |       |                  |  |                    |      |               |      |  |      |      |   |  |     |    






|    |                                                                                                                                                         
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | The effect of changes of currency exchange rates
    on investments will be offseted by the effect on technical
    reserves and debts expressed in USD.

83



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##### Table of Contents



The following table sets forth the estimated
effect on the market value of the Groups financial
instruments entered into for trading purposes at
December 31, 2000 and 2001, assuming changes of 10% in
foreign currency exchange rates and in the Indexes, and a change
of 100 basis points in interest rates.

|                  |  |                    |     |                  |  |                    |     |               |  |  |   |  |  |  |     |  
|----------------- |  | ------------------ | --- | ---------------- |  | ------------------ | --- | ------------- |  |  | - |  |  |  | --- | -
|                  |  |                   
|                  |  | December 31, 2000 
|                  |  |                   
|                  |  |                    |     | Currency Risk    |  |                   
|                  |  |                    |     |                  |  | Interest Rate Risk |     | Equity Risk  
|                  |  |                    |     | 10% change in    |  |                    |     |              
|                  |  |                    |     | foreign currency |  | 100 bp change in   |     | 10% change in
|                  |  | Market Value       |     | exchange rates   |  | interest rate      |     | Indexes      
|                  |  |                    |     |                  |  |                    |     |              
|                  |  |                   
|                  |  | (EUR, in millions)
|Increase          |  |                    |     |                  |  |                    |     |               |  |  |   |  |  |  |     |  
|Equity securities |  |                    | 200 |                  |  |                    | 10  |               |  |  |  |  |  |  | 17  |  
|Decrease          |  |                    |     |                  |  |                    |     |               |  |  |   |  |  |  |     |  
|Equity securities |  |                    | 200 |                  |  |                    | (10 | )             |  |  |  |  |  |  | (17 | )

|                  |  |                    |    |                  |  |                    |    |               |  |  |   |  |  |  |    |  
|----------------- |  | ------------------ | -- | ---------------- |  | ------------------ | -- | ------------- |  |  | - |  |  |  | -- | -
|                  |  |                   
|                  |  | December 31, 2001 
|                  |  |                   
|                  |  |                    |    | Currency Risk    |  |                   
|                  |  |                    |    |                  |  | Interest Rate Risk |    | Equity Risk  
|                  |  |                    |    | 10% change in    |  |                    |    |              
|                  |  |                    |    | foreign currency |  | 100 bp change in   |    | 10% change in
|                  |  | Market Value       |    | exchange rates   |  | interest rate      |    | Indexes      
|                  |  |                    |    |                  |  |                    |    |              
|                  |  |                   
|                  |  | (EUR, in millions)
|Increase          |  |                    |    |                  |  |                    |    |               |  |  |   |  |  |  |    |  
|Equity securities |  |                    | 56 |                  |  |                    | 6  |               |  |  |  |  |  |  | 6  |  
|Decrease          |  |                    |    |                  |  |                    |    |               |  |  |   |  |  |  |    |  
|Equity securities |  |                    | 56 |                  |  |                    | (6 | )             |  |  |  |  |  |  | (6 | )




Item 12. Description of Securities
Other than Equity Securities

Not applicable.

84



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##### Table of Contents






PART II






Item 13. Default, Dividend
Arrearages and Delinquencies


None.




Item 14. Material Modifications to
the Rights of Security Holders and Use of Proceeds

None.




Item 15. [Reserved]






Item 16. [Reserved]


85



---



##### Table of Contents






PART III






Item 17. Financial
Statements


Not applicable.




Item 18. Financial
Statements

The following financial statements and financial
statements schedules, together with the report of Ernst &
Young thereon, are filed as part of this Annual Report:

|                                                                                                                         |  |       |            | 
|------------------------------------------------------------------------------------------------------------------------ |  | ----- | ---------- | 
|                                                                                                                         |  | Pages
|                                                                                                                         |  |      
|Financial Statements                                                                                                     |  |       |            | 
|Report of Independent Auditors                                                                                           |  |       | F-1        | 
|Consolidated Balance Sheets as of
    December 31, 2001 and 2000                                                         |  |       | F-2  F-3  | 
|Consolidated Statements of Income for the Years
    Ended December 31, 2001,
    2000 and 1999                           |  |       | F-4        | 
|Consolidated Statements of Comprehensive Income
    for the Years Ended December 31, 2001, 2000, and 1999                |  |       | F-5        | 
|Consolidated Statements of Changes in
    Shareholders Equity for the Years Ended December 31,
    2001, 2000, and 1999 |  |       | F-6        | 
|Consolidated Statements of Cash Flows for the
    Years Ended December 31, 2001, 2000, and 1999                          |  |       | F-7        | 
|Notes to Consolidated Financial Statements                                                                               |  |       | F-8  F-42 | 
|Schedules                                                                                                                |  |       |            | 
|Schedule I  Summary of
    Investments  Other than Investments in Related Parties                                      |  |       | S-1        | 
|Schedule III  Supplementary
    Insurance Information                                                                   |  |       | S-2        | 
|Schedule IV  Reinsurance                                                                                                |  |       | S-3        | 
|Schedule V  Valuation and
    Qualifying Accounts                                                                       |  |       | S-4        | 
|Schedule VI  Supplemental
    Information Concerning Property-Casualty Insurance Operations                             |  |       | S-5        | 

All other schedules have been omitted because
they are not required under the applicable instructions.




Item 19. Exhibits

|                                                                                                                                                        |  |       |            | 
|------------------------------------------------------------------------------------------------------------------------------------------------------- |  | ----- | ---------- | 
|                                                                                                                                                        |  | Pages
|                                                                                                                                                        |  |      
|Glossary of Selected Terms                                                                                                                              |  |       | E-1  E-6  | 
|Translation from French into English of
    SCORs Statutsor charter of the Company, as amended
    at the January 14, 2002 board of directors meeting |  |       | E-7  E-12 | 

86



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##### Table of Contents






REPORT OF INDEPENDENT AUDITORS

To the Board of Directors and Shareholders of

SCOR


We have audited the accompanying consolidated
balance sheets of SCOR and subsidiaries, as of December 31,
2001 and 2000, and the related consolidated statements of
income, comprehensive income, changes in stockholders
equity, and cash flows for each of the three years in the period
ended December 31, 2001. Our audits also included the
financial statement schedules listed in the Index at
Item 18 of this Form 20-F. These financial statements
and financial statement schedules are the responsibility of the
Companys management. Our responsibility is to express an
opinion on these financial statements and financial statement
schedules based on our audits. We did not audit the financial
statements of Commercial Risk Partners, Ltd. for the years ended
December 31, 2000 and 1999, a 96%-owned subsidiary, which
financial statements reflect total assets constituting 10% in
2000, and total revenues constituting 20% in 2000 and 15% in
1999, of the related consolidated totals. The consolidated
financial statements of Commercial Risk Partners, Ltd. for the
years ended December 31, 2000 and 1999 were audited by
other auditors whose report has been furnished to us, and our
opinion, insofar as it relates to amounts included for
Commercial Risk Partners, Ltd. in those years, is based solely
on the report of the other auditors.

We conducted our audits in accordance with
auditing standards generally accepted in the United States and
France. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits and
the reports of other auditors provide a reasonable basis for our
opinion.

In our opinion, based on our audits and the
reports of other auditors, the consolidated financial statements
referred to above present fairly, in all material respects, the
consolidated financial position of SCOR and subsidiaries as of
December 31, 2001 and 2000, and the results and
comprehensive income of their operations and their cash flows
for each of the three years in the period ended
December 31, 2001, in conformity with accounting principles
generally accepted in the United States. Also, in our opinion,
the related financial statement schedules, when considered in
relation to the basic financial statements taken as a whole,
present fairly in all material respects the information set
forth therein.

As addressed in Note 1.14, during 2001 the
Company adopted the practice of discounting certain
workers compensation reserves.



| |                             
| | ----------------------------
| | ERNST & YOUNG AUDIT         
| | Represented by Alain Vincent

Paris, France

March 6, 2002


F-1



---



##### Table of Contents



SCOR

CONSOLIDATED BALANCE SHEETS

ASSETS

|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |       |        | 
|----------------------------------------------- | --------------------------------------------------------------------------------------------------------------------- | --------------------------------------------------------- | -------- | ------------------ | --- | ----- | ------ |  | ----- | ----- | ------ | 
|                                                |                                                                                                                       |                                                           |          |                   
|                                                |                                                                                                                       |                                                           |          | As of December 31,
|                                                |                                                                                                                       |                                                           |          |                   
|                                                |                                                                                                                       | Notes                                                     |          | 2000               |     | 2001 
|                                                |                                                                                                                       |                                                           |          |                    |     |      
|                                                |                                                                                                                       |                                                           |          |                   
|                                                |                                                                                                                       |                                                           |          | (EUR, in millions)
|Investments                                     |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|                                                | Fixed maturities, available for sale, at fair
    value (amortized cost: EUR 5,499 in 2000 and EUR 5,456
    in 2001) |                                                           | 1, 2, 12 |                    |     | 5,563 |        |  |       | 5,582 |       
|                                                | Equity securities, available for sale, at fair
    value (cost EUR 839 in 2000 and EUR 978 in 2001)                   |                                                           | 1, 2, 12 |                    |     | 757   |        |  |       | 646   |       
|                                                | Trading equity securities, at fair value (cost:
    EUR 198 in 2000 and EUR 110 in 2001)                              |                                                           | 1, 2, 12 |                    |     | 200   |        |  |       | 56    |       
|                                                | Short-term investments, at cost                                                                                       |                                                           | 1, 12    |                    |     | 301   |        |  |       | 448   |       
|                                                | Other long-term investments                                                                                           |                                                           | 1        |                    |     | 334   |        |  |       | 358   |       
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|                                                |                                                                                                                       | Total investments                                         |          |                    |     |       | 7,155  |  |       |       | 7,090  | 
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|Cash and cash equivalents                       |                                                                                                                       | 1, 12                                                     |          |                    | 247 |       |        |  | 1,927 |      
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|Accrued interest income                         |                                                                                                                       |                                                           |          |                    | 132 |       |        |  | 111   |      
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|Reinsurance balances receivable                 |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|                                                | Property-Casualty                                                                                                     |                                                           | 1        |                    |     | 585   |        |  |       | 845   |       
|                                                | Life                                                                                                                  |                                                           | 1        |                    |     | 54    |        |  |       | 134   |       
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|                                                |                                                                                                                       | Total reinsurance balances receivable                     |          |                    |     |       | 639    |  |       |       | 979    | 
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|Accrued premiums receivable, net of commissions |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|                                                | Property-Casualty                                                                                                     |                                                           | 1, 3     |                    |     | 906   |        |  |       | 1,210 |       
|                                                | Life                                                                                                                  |                                                           | 1, 3     |                    |     | 200   |        |  |       | 197   |       
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|                                                |                                                                                                                       | Total accrued premiums receivable, net of
    commissions |          |                    |     |       | 1,106  |  |       |       | 1,407  | 
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|Property-Casualty                               |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|                                                | Reinsurance recoverable on unpaid losses and LAE                                                                      |                                                           | 1, 3     |                    |     | 507   |        |  |       | 1,448 |       
|                                                | Prepaid reinsurance premium                                                                                           |                                                           | 1, 3     |                    |     | 129   |        |  |       | 254   |       
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|                                                |                                                                                                                       | Total                                                     |          |                    |     |       | 636    |  |       |       | 1,702  | 
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|Life                                            |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|                                                | Reinsurance recoverable on reserves for future
    policy benefits                                                    |                                                           | 1, 3     |                    |     | 670   |        |  |       | 648   |       
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|Deferred policy acquisition costs, net          |                                                                                                                       |                                                           |          |                    | 304 |       |        |  | 352   |      
|Credits for deposits with ceding companies      |                                                                                                                       | 1                                                         |          |                    | 797 |       |        |  | 1,000 |      
|Deferred income tax benefits                    |                                                                                                                       | 1, 7                                                      |          |                    | 228 |       |        |  | 504   |      
|Derivative financial instruments                |                                                                                                                       | 1, 13                                                     |          |                    |    |       |        |  | 21    |      
|Fixed assets, net                               |                                                                                                                       | 1                                                         |          |                    | 19  |       |        |  | 24    |      
|Intangible assets                               |                                                                                                                       | 1                                                         |          |                    | 128 |       |        |  | 114   |      
|Advances to and investments in affiliates       |                                                                                                                       | 1, 5                                                      |          |                    | 260 |       |        |  | 233   |      
|Goodwill                                        |                                                                                                                       | 1                                                         |          |                    | 206 |       |        |  | 285   |      
|Other assets                                    |                                                                                                                       |                                                           |          |                    | 249 |       |        |  | 536   |      
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      
|                                                |                                                                                                                       | Total assets                                              |          |                    |     |       | 12,776 |  |       |       | 16,933 | 
|                                                |                                                                                                                       |                                                           |          |                    |     |       |        |  |       |      

See accompanying Notes to Consolidated Financial
Statements

F-2



---



##### Table of Contents



SCOR

CONSOLIDATED BALANCE SHEETS

LIABILITIES AND SHAREHOLDERS
EQUITY

|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |       |        | 
|------------------------------------------ | ---------------------------------------------------------------------------------------- | ---------------------------------- | ----- | ------------------ | ------ | ----- | ------ |  | ------ | ----- | ------ | 
|                                           |                                                                                          |                                    |       |                   
|                                           |                                                                                          |                                    |       | As of December 31,
|                                           |                                                                                          |                                    |       |                   
|                                           |                                                                                          | Notes                              |       | 2000               |        | 2001 
|                                           |                                                                                          |                                    |       |                    |        |      
|                                           |                                                                                          |                                    |       |                   
|                                           |                                                                                          |                                    |       | (EUR, in millions)
|Property-casualty                          |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|                                           | Losses and loss adjustment expenses reserves,
    gross                                  |                                    | 1, 16 |                    |        | 5,575 |        |  |        | 8,365 |       
|                                           | Unearned premium reserves, gross                                                         |                                    | 1     |                    |        | 1,226 |        |  |        | 1,665 |       
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|                                           |                                                                                          | Total                              |       |                    |        |       | 6,801  |  |        |       | 10,030 | 
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|Life                                       |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|                                           | Reserve for future policy benefits                                                       |                                    | 1, 15 |                    |        | 2,468 |        |  |        | 2,601 |       
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|Funds held under reinsurance treaties      |                                                                                          | 1, 3                               |       |                    | 810    |       |        |  | 894    |      
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|Reinsurance balances payable               |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|                                           | Property-Casualty                                                                        |                                    | 1     |                    |        | 120   |        |  |        | 436   |       
|                                           | Life                                                                                     |                                    | 1     |                    |        | 66    |        |  |        | 59    |       
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|                                           |                                                                                          | Total reinsurance balances payable |       |                    |        |       | 186    |  |        |       | 495    | 
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|Convertible subordinated debentures        |                                                                                          | 6, 12                              |       |                    | 241    |       |        |  | 247    |      
|Long term debt                             |                                                                                          | 6                                  |       |                    | 258    |       |        |  | 263    |      
|Notes payable                              |                                                                                          | 6, 12, 13                          |       |                    | 57     |       |        |  | 57     |      
|Debt due within one year                   |                                                                                          |                                    |       |                    | 11     |       |        |  | 8      |      
|Commercial paper                           |                                                                                          | 6, 12, 13                          |       |                    | 43     |       |        |  | 306    |      
|Derivative financial instruments           |                                                                                          | 13                                 |       |                    |       |       |        |  | 24     |      
|Accrued expenses                           |                                                                                          |                                    |       |                    | 310    |       |        |  | 341    |      
|Deferred taxes                             |                                                                                          | 1, 7                               |       |                    | 182    |       |        |  | 167    |      
|Minority interest                          |                                                                                          | 14                                 |       |                    | 14     |       |        |  | 190    |      
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|                                           |                                                                                          | Total liabilities                  |       |                    |        |       | 11,381 |  |        |       | 15,623 | 
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|Commitments                                |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|Shareholders Equity                       |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|                                           | Common stock, 41,244,216 in 2001 and 34,793,846
    shares in 2000 authorized and issued |                                    | 1, 9  |                    |        | 133   |        |  |        | 157   |       
|                                           | Additional paid-in capital                                                               |                                    |       |                    |        | 656   |        |  |        | 977   |       
|                                           | Catastrophe reserve, net of tax                                                          |                                    | 11    |                    |        | 12    |        |  |        | 11    |       
|                                           | Retained earnings                                                                        |                                    |       |                    |        | 626   |        |  |        | 215   |       
|                                           | Accumulated other comprehensive income                                                   |                                    | 1, 4  |                    |        | 132   |        |  |        | 122   |       
|                                           | Treasury stock, at cost (3,630,417 shares in 2001
    and 3,403,916 shares in 2000)      |                                    |       |                    |        | (164  | )      |  |        | (172  | )     
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|                                           |                                                                                          | Total shareholders equity         |       |                    |        |       | 1,395  |  |        |       | 1,310  | 
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      
|Total liabilities and shareholders equity |                                                                                          |                                    |       |                    | 12,776 |       |        |  | 16,933 |      
|                                           |                                                                                          |                                    |       |                    |        |       |        |  |        |      

See accompanying Notes to Consolidated Financial
Statements

F-3



---



##### Table of Contents



SCOR

CONSOLIDATED STATEMENTS OF INCOME

|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |       |       |  
|-------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------ | ----------------------------------------------------------------------------------------------------------------------------------------------------- | ---- | ----------------------- |  | ---- | --- | ----- | ----- |  | -- | ----- | ----- |  | --- | ----- | ----- | -
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                        
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      | Year ended December 31,
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                        
|                                                                           |                                                                                                                                                              | Notes                                                                                                                                                 |      | 1999                    |  | 2000 |     | 2001 
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |      
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                        
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      | (EUR, in millions)     
|Revenues                                                                   |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|                                                                           | Life premiums earned, net of premiums ceded
    totaling EUR 63 in 1999, EUR 109 in 2000 and
    EUR 102 in 2001                                             |                                                                                                                                                       |      | 1, 3, 15                |  |      |     | 343   |       |  |    | 396   |       |  |     | 546   |      
|                                                                           | Property-Casualty premiums earned, net of
    premiums ceded totaling EUR 235 in 1999, and EUR 360
    in 2000 and EUR 547 in 2001                           |                                                                                                                                                       |      | 1, 3, 15                |  |      |     | 2,019 |       |  |    | 2,281 |       |  |     | 3,107 |      
|                                                                           | Net investment income                                                                                                                                        |                                                                                                                                                       |      | 1, 2, 15                |  |      |     | 236   |       |  |    | 287   |       |  |     | 347   |      
|                                                                           | Net realized gains on investments                                                                                                                            |                                                                                                                                                       |      | 1, 2, 15                |  |      |     | 143   |       |  |    | 413   |       |  |     | 10    |      
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|                                                                           |                                                                                                                                                              | Total revenues                                                                                                                                        |      |                         |  |      |     |       | 2,741 |  |    |       | 3,377 |  |     |       | 4,010 |  
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|Expenses                                                                   |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|                                                                           | Life claims, net of reinsurance recoveries
    totaling, EUR 42 in 1999, EUR 63 in 2000 and
    EUR 90 in 2001                                               |                                                                                                                                                       |      | 1, 3, 15                |  |      |     | 239   |       |  |    | 283   |       |  |     | 451   |      
|                                                                           | Property-Casualty claims and loss adjustment
    expenses, net of reinsurance recoveries totaling EUR 191 in
    1999, EUR 381 in 2000 and EUR 1,051 in 2001 |                                                                                                                                                       |      | 1, 3, 15                |  |      |     | 1,686 |       |  |    | 2,204 |       |  |     | 3,177 |      
|                                                                           | Policy acquisition costs and commissions                                                                                                                     |                                                                                                                                                       |      | 1, 15                   |  |      |     | 552   |       |  |    | 661   |       |  |     | 848   |      
|                                                                           | Underwriting and administration expenses                                                                                                                     |                                                                                                                                                       |      | 1, 15                   |  |      |     | 142   |       |  |    | 162   |       |  |     | 209   |      
|                                                                           | Foreign exchange loss (gain), net                                                                                                                            |                                                                                                                                                       |      |                         |  |      |     | 21    |       |  |    | 18    |       |  |     | (8    | )    
|                                                                           | Amortization of goodwill                                                                                                                                     |                                                                                                                                                       |      | 1                       |  |      |     | 14    |       |  |    | 15    |       |  |     | 17    |      
|                                                                           | Other operating expenses (income), net                                                                                                                       |                                                                                                                                                       |      |                         |  |      |     | (4    | )     |  |    | 16    |       |  |     | (1    | )    
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|                                                                           |                                                                                                                                                              | Total expenses                                                                                                                                        |      |                         |  |      |     |       | 2,650 |  |    |       | 3,359 |  |     |       | 4,693 |  
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|                                                                           |                                                                                                                                                              | Income (loss) before taxes, minority interests,
    income from investments accounted for by the equity method and
    change in accounting principle |      |                         |  |      |     |       | 91    |  |    |       | 18    |  |     |       | (683  | )
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|Income tax                                                                 |                                                                                                                                                              |                                                                                                                                                       | 1, 7 |                         |  |      | (23 | )     |       |  | 57 |       |       |  | 273 |      
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|                                                                           | Income (loss) before minority interests, income
    from investments accounted for by the equity method and change
    in accounting principle               |                                                                                                                                                       |      |                         |  |      |     | 68    |       |  |    | 75    |       |  |     | (410  | )    
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|Minority interests                                                         |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      | (2  | )     |       |  | (1 | )     |       |  | (1  | )    
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|                                                                           | Income (loss) before income from investments
    accounted for by the equity method and change in accounting
    principle                                   |                                                                                                                                                       |      | 1, 5                    |  |      |     | 66    |       |  |    | 74    |       |  |     | (411  | )    
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|Income from investments accounted for by the
    equity method             |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      | 23  |       |       |  | 3  |       |       |  | 4   |      
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|                                                                           | Income (loss) before change in accounting
    principle                                                                                                      |                                                                                                                                                       |      |                         |  |      |     | 89    |       |  |    | 77    |       |  |     | (407  | )    
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|Cumulative effect of change in accounting
    principle, net of tax EUR 22 |                                                                                                                                                              |                                                                                                                                                       | 1    |                         |  |      |    |       |       |  |   |       |       |  | 42  |      
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      
|                                                                           | Net income (loss)                                                                                                                                            |                                                                                                                                                       |      |                         |  |      |     | 89    |       |  |    | 77    |       |  |     | (365  | )    
|                                                                           |                                                                                                                                                              |                                                                                                                                                       |      |                         |  |      |     |       |       |  |    |       |       |  |     |      

|                                                         |                                                                              |  |      |                        |  |  |        |      |  |  |        |      |  |  |        |        |  
|-------------------------------------------------------- | ---------------------------------------------------------------------------- |  | ---- | ---------------------- |  |  | ------ | ---- |  |  | ------ | ---- |  |  | ------ | ------ | -
|                                                         |                                                                              |  |      |                       
|                                                         |                                                                              |  |      | (EUR, except number of
|                                                         |                                                                              |  |      | shares in thousands)  
|Basic earnings per share                                 |                                                                              |  |      |                        |  |  |        |      |  |  |        |      |  |  |        |       
|                                                         | Income (loss) before cumulative effect of change
    in accounting principle |  |      |                        |  |  |        | 2.70 |  |  |        | 2.44 |  |  |        | (11.98 | )
|                                                         | Cumulative effect of change in accounting
    principle, net of tax          |  |      |                        |  |  |        |     |  |  |        |     |  |  |        | 1.24   |  
|                                                         |                                                                              |  |      |                        |  |  |        |      |  |  |        |      |  |  |        |       
|                                                         | Basic earnings per share available to common
    stockholders                |  |      | 1, 9                   |  |  |        | 2.70 |  |  |        | 2.44 |  |  |        | (10.74 | )
|                                                         |                                                                              |  |      |                        |  |  |        |      |  |  |        |      |  |  |        |       
|Diluted earnings per share                               |                                                                              |  |      |                        |  |  |        |      |  |  |        |      |  |  |        |       
|                                                         | Income (loss) before cumulative effect of change
    in accounting principle |  |      |                        |  |  |        | 2.58 |  |  |        | 2.27 |  |  |        | (10.50 | )
|                                                         | Cumulative effect of change in accounting
    principle, net of tax          |  |      |                        |  |  |        |     |  |  |        |     |  |  |        | 1.10   |  
|                                                         |                                                                              |  |      |                        |  |  |        |      |  |  |        |      |  |  |        |       
|                                                         | Diluted earnings per share available to common
    stockholders              |  |      | 1, 9                   |  |  |        | 2.58 |  |  |        | 2.27 |  |  |        | (9.40  | )
|                                                         |                                                                              |  |      |                        |  |  |        |      |  |  |        |      |  |  |        |       
|Weighted average number of shares
    outstanding, basic |                                                                              |  | 1, 9 |                        |  |  | 32,977 |      |  |  | 31,551 |      |  |  | 33,971 |       
|                                                         |                                                                              |  |      |                        |  |  |        |      |  |  |        |      |  |  |        |       
|diluted                                                  |                                                                              |  | 1,9  |                        |  |  | 35,611 |      |  |  | 36,040 |      |  |  | 38,288 |       
|                                                         |                                                                              |  |      |                        |  |  |        |      |  |  |        |      |  |  |        |       

See accompanying Notes to Consolidated Financial
Statements

F-4



---



##### Table of Contents



SCOR

CONSOLIDATED STATEMENTS OF COMPREHENSIVE
INCOME

|                                       |                                                                         |                                                                                             |                            |                    |      |      |    |      |      |     |    |    |     |     |      |    |     |      |  
|-------------------------------------- | ----------------------------------------------------------------------- | ------------------------------------------------------------------------------------------- | -------------------------- | ------------------ | ---- | ---- | -- | ---- | ---- | --- | -- | -- | --- | --- | ---- | -- | --- | ---- | -
|                                       |                                                                         |                                                                                             |                            |                   
|                                       |                                                                         |                                                                                             |                            | Year ended        
|                                       |                                                                         |                                                                                             |                            | December 31,      
|                                       |                                                                         |                                                                                             |                            |                   
|                                       |                                                                         | Notes                                                                                       |                            | 1999               |      | 2000 |    | 2001
|                                       |                                                                         |                                                                                             |                            |                    |      |      |    |     
|                                       |                                                                         |                                                                                             |                            |                   
|                                       |                                                                         |                                                                                             |                            | (EUR, in millions)
|Net income                             |                                                                         |                                                                                             |                            |                    |      |      | 89 |      |      |     | 77 |    |     |     | (365 | ) 
|                                       |                                                                         |                                                                                             |                            |                    |      |      |    |      |      |     |    |    |     |     |      |   
|Other comprehensive income, net of tax |                                                                         |                                                                                             |                            |                    |      |      |    |      |      |     |    |    |     |     |      |   
|                                       | Foreign currency translation adjustment                                 |                                                                                             |                            | 1, 4               |      |      |    | 96   |      |     |    | 72 |     |     |      | 18 |    
|                                       | Unrealized appreciation (depreciation) on
    investments during period |                                                                                             |                            |                    |      |      |    |      |      |     |    |    |     |     |      |    |    
|                                       |                                                                         | Fixed maturities                                                                            |                            |                    | 1, 4 |      |    |      | (138 | )   |    |    | 89  |     |      |    | 15  |     
|                                       |                                                                         | Equity securities                                                                           |                            |                    | 1, 4 |      |    |      | 33   |     |    |    | (55 | )   |      |    |    |     
|                                       |                                                                         | Investments accounted for by the equity method                                              |                            |                    | 1, 4 |      |    |      | 5    |     |    |    | (5  | )   |      |    | (18 | )   
|                                       |                                                                         | Less: reclassification adjustment for prior
    periods appreciation included in net income |                            |                    | 1, 4 |      |    |      | (65  | )   |    |    | (48 | )   |      |    | (25 | )   
|                                       |                                                                         |                                                                                             |                            |                    |      |      |    |      |      |     |    |    |     |     |      |   
|                                       |                                                                         |                                                                                             | Other comprehensive income |                    |      |      |    |      |      | (69 | )  |    |     | 53  |      |    |     | (10  | )
|                                       |                                                                         |                                                                                             |                            |                    |      |      |    |      |      |     |    |    |     |     |      |   
|                                       |                                                                         |                                                                                             | Comprehensive income       |                    |      |      |    |      |      | 20  |    |    |     | 130 |      |    |     | (375 | )
|                                       |                                                                         |                                                                                             |                            |                    |      |      |    |      |      |     |    |    |     |     |      |   

See accompanying Notes to Consolidated Financial
Statements

F-5



---



##### Table of Contents



SCOR

CONSOLIDATED STATEMENTS OF CHANGES IN
SHAREHOLDERS EQUITY

|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |            |            |  
|-------------------------------------- | --------------------------------------------------------------------------------------------- | -------------------------- |  | ---------- | ---------- | ---- |  | ---------- | ---------- | - |  | ---------- | ---------- | -
|                                       |                                                                                               |                           
|                                       |                                                                                               | As of December 31,        
|                                       |                                                                                               |                           
|                                       |                                                                                               | 1999                       |  | 2000       |            | 2001
|                                       |                                                                                               |                            |  |            |            |     
|                                       |                                                                                               |                           
|                                       |                                                                                               | (EUR, in millions)        
|Ordinary Shares                        |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       | Balance at beginning of year                                                                  |                            |  | 131        |            |      |  | 132        |            |   |  | 133        |           
|                                       | Issuance of Ordinary Shares  Sorema
    acquisition                                          |                            |  |           |            |      |  |           |            |   |  | 24         |           
|                                       | Issuance of Ordinary Shares  exercise
    of stock options                                   |                            |  | 1          |            |      |  | 1          |            |   |  |           |           
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       |                                                                                               | Balance at end of year     |  |            | 132        |      |  |            | 133        |   |  |            | 157        |  
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|Additional paid-in capital             |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       | Balance at beginning of year                                                                  |                            |  | 650        |            |      |  | 654        |            |   |  | 656        |           
|                                       | Issuance of Ordinary Shares  Sorema
    acquisition                                          |                            |  |           |            |      |  |           |            |   |  | 319        |           
|                                       | Issuance of Ordinary Shares  exercise
    of stock options                                   |                            |  | 4          |            |      |  | 2          |            |   |  | 1          |           
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       |                                                                                               | Balance at end of year     |  |            | 654        |      |  |            | 656        |   |  |            | 976        |  
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|Accumulated other comprehensive income |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       | Balance at beginning of period                                                                |                            |  | 148        |            |      |  | 79         |            |   |  | 132        |           
|                                       | Unrealized appreciation (depreciation) on
    investments, net of reclassification adjustment |                            |  | (165       | )          |      |  | (19        | )          |   |  | (28        | )         
|                                       | Currency translation adjustments                                                              |                            |  | 96         |            |      |  | 72         |            |   |  | 18         |           
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       |                                                                                               | Balance at end of period   |  |            | 79         |      |  |            | 132        |   |  |            | 122        |  
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|Catastrophe reserve                    |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       | Balance at beginning of year                                                                  |                            |  | 66         |            |      |  | 68         |            |   |  | 12         |           
|                                       | Allocation during year                                                                        |                            |  | 2          |            |      |  | (56        | )          |   |  | (1         | )         
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       |                                                                                               | Balance at end of year     |  |            | 68         |      |  |            | 12         |   |  |            | 11         |  
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|Retained earnings                      |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       | Balance at beginning of year                                                                  |                            |  | 518        |            |      |  | 550        |            |   |  | 626        |           
|                                       | Net income                                                                                    |                            |  | 89         |            |      |  | 77         |            |   |  | (365       | )         
|                                       | Allocation to catastrophe reserve                                                             |                            |  | (2         | )          |      |  | 56         |            |   |  | 1          |           
|                                       | Dividends                                                                                     |                            |  | (55        | )          |      |  | (53        | )          |   |  | (53        | )         
|                                       | Others                                                                                        |                            |  |           |            |      |  | (4         | )          |   |  | 6          |           
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       |                                                                                               | Balance at end of year     |  |            | 550        |      |  |            | 626        |   |  |            | 215        |  
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|Treasury stock                         |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       | Balance at beginning of year                                                                  |                            |  | (6         | )          |      |  | (142       | )          |   |  | (164       | )         
|                                       | Purchase of treasury shares                                                                   |                            |  | (136       | )          |      |  | (22        | )          |   |  | (7         | )         
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       |                                                                                               | Balance at end of year     |  |            | (142       | )    |  |            | (164       | ) |  |            | (171       | )
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       |                                                                                               | Total Shareholders equity |  |            | 1,341      |      |  |            | 1,395      |   |  |            | 1,310      |  
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|Ordinary Shares                        |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       | Balance at beginning of year                                                                  |                            |  | 34,356,734 |            |      |  | 34,628,906 |            |   |  | 37,793,846 |           
|                                       | Exercise of stock options                                                                     |                            |  | 272,172    |            |      |  | 164,940    |            |   |  | 80,000     |           
|                                       | Issuance of Ordinary Shares  Sorema
    acquisition                                          |                            |  |           |            |      |  |           |            |   |  | 6,370,370  |           
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           
|                                       |                                                                                               | Balance at end of year     |  |            | 34,628,906 |      |  |            | 34,793,846 |   |  |            | 41,244,216 |  
|                                       |                                                                                               |                            |  |            |            |      |  |            |            |   |  |           

See accompanying Notes to Consolidated Financial
Statements

F-6



---



##### Table of Contents



SCOR

CONSOLIDATED STATEMENTS OF CASH
FLOWS

|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |        |       |       | 
|------------------------------------------------------------------------------------ | --------------------------------------------------------------------------- | ----------------------------------------------------------------------------- | --------------------------------------------------------- | ------ | ---- | ---- | -- | ------ | ---- | ---- | -- | ------ | ----- | ----- | 
|                                                                                     |                                                                             |                                                                              
|                                                                                     |                                                                             | Year ended December 31,                                                      
|                                                                                     |                                                                             |                                                                              
|                                                                                     |                                                                             | 1999                                                                          |                                                           | 2000   |      | 2001
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |     
|                                                                                     |                                                                             |                                                                              
|                                                                                     |                                                                             | (EUR, in millions)                                                           
|Cash flows from operating activities                                                 |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|                                                                                     | Net income before minority interests                                        |                                                                               |                                                           | 91     |      |      |    | 78     |      |      |    | (364   | )    
|Adjustments to reconcile net income to net cash
    provided by operating activities |                                                                             |                                                                               |                                                           |        |      |      |    |       
|                                                                                     |                                                                             | Change in reinsurance recoverable on unpaid losses                            |                                                           |        | (45  | )    |    |        | (64  | )    |    |        | (745  | )    
|                                                                                     |                                                                             | Change in prepaid insurance premiums                                          |                                                           |        | (5   | )    |    |        | (7   | )    |    |        | (60   | )    
|                                                                                     |                                                                             | Change in losses and LAE reserves, gross                                      |                                                           |        | 428  |      |    |        | 558  |      |    |        | 1,517 |      
|                                                                                     |                                                                             | Change in Life reserves for future policy benefits                            |                                                           |        | 81   |      |    |        | (138 | )    |    |        | 33    |      
|                                                                                     |                                                                             | Change in unearned premium reserves, gross                                    |                                                           |        | 100  |      |    |        | 209  |      |    |        | 128   |      
|                                                                                     |                                                                             | Deferred policy acquisition costs                                             |                                                           |        | (25  | )    |    |        | (34  | )    |    |        | 12    |      
|                                                                                     |                                                                             | Realized investment gains and losses                                          |                                                           |        | (143 | )    |    |        | (413 | )    |    |        | 48    |      
|                                                                                     |                                                                             | Other amortization and change in other provisions                             |                                                           |        | 24   |      |    |        | 37   |      |    |        | 12    |      
|                                                                                     |                                                                             | Change in deferred tax                                                        |                                                           |        | (1   | )    |    |        | (86  | )    |    |        | (260  | )    
|                                                                                     |                                                                             | Unrealized foreign exchange gains or losses                                   |                                                           |        | 9    |      |    |        | (1   | )    |    |        | (1    | )    
|                                                                                     |                                                                             | Affiliated income accounted for under equity
    method                       |                                                           |        | (23  | )    |    |        | (3   | )    |    |        | (4    | )    
|                                                                                     |                                                                             | Cash dividends received from affiliates accounted
    for under equity method |                                                           |        | 7    |      |    |        | 8    |      |    |        | 8     |      
|                                                                                     | Changes in assets and liabilities                                           |                                                                               |                                                           |        |      |      |    |        |      |      |    |        |      
|                                                                                     |                                                                             | Premium and loss balances, net                                                |                                                           |        | (107 | )    |    |        | (101 | )    |    |        | 328   |      
|                                                                                     |                                                                             | Change in accrued reinsurance balance payable                                 |                                                           |        | (300 | )    |    |        | (113 | )    |    |        | (306  | )    
|                                                                                     |                                                                             | Change in deposits with ceding companies                                      |                                                           |        | (83  | )    |    |        | 16   |      |    |        | (108  | )    
|                                                                                     |                                                                             | Change in funds held under reinsurance treaties                               |                                                           |        | 158  |      |    |        | (154 | )    |    |        | (28   | )    
|                                                                                     |                                                                             | Change in sundry debtors and creditors                                        |                                                           |        | (59  | )    |    |        | (9   | )    |    |        | (200  | )    
|                                                                                     |                                                                             | Other                                                                         |                                                           |        | (1   | )    |    |        | 1    |      |    |        | (1    | )    
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|                                                                                     |                                                                             |                                                                               | Net cash provided by (used in) operating
    activities   |        |      | 106  |    |        |      | (216 | )  |        |       | 9     | 
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|Cash flows from investing activities                                                 |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|                                                                                     | Sales, maturities or redemptions of fixed
    maturities available for sale |                                                                               |                                                           | 1,519  |      |      |    | 1,784  |      |      |    | 4,395  |      
|                                                                                     | Sales of equity securities                                                  |                                                                               |                                                           | 1,593  |      |      |    | 2,999  |      |      |    | 2,367  |      
|                                                                                     | Net sales (purchases) of short-term investments                             |                                                                               |                                                           | 117    |      |      |    | 51     |      |      |    | (259   | )    
|                                                                                     | Investments in fixed maturities available for sale                          |                                                                               |                                                           | (1,506 | )    |      |    | (1,591 | )    |      |    | (3,134 | )    
|                                                                                     | Investments in equity securities                                            |                                                                               |                                                           | (2,134 | )    |      |    | (3,048 | )    |      |    | (2,172 | )    
|                                                                                     | Acquisitions of fixed assets                                                |                                                                               |                                                           | (54    | )    |      |    | (109   | )    |      |    | (59    | )    
|                                                                                     | Disposals of fixed assets                                                   |                                                                               |                                                           | 7      |      |      |    | 17     |      |      |    | 55     |      
|                                                                                     | Investment in consolidated affiliates                                       |                                                                               |                                                           | (86    | )    |      |    | 109    |      |      |    | 2      |      
|                                                                                     | Investment in reinsurance companies                                         |                                                                               |                                                           |       |      |      |    | (99    | )    |      |    | (342   | )    
|                                                                                     | Long term loans                                                             |                                                                               |                                                           | 47     |      |      |    | 50     |      |      |    | (7     | )    
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|                                                                                     |                                                                             |                                                                               | Net cash provided by (used in) investing
    activities   |        |      | (497 | )  |        |      | 163  |    |        |       | 846   | 
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|Cash flows from financing activities                                                 |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|                                                                                     | Dividends paid                                                              |                                                                               |                                                           | (56    | )    |      |    | (54    | )    |      |    | (53    | )    
|                                                                                     | Repayment of borrowings                                                     |                                                                               |                                                           | (446   | )    |      |    | (369   | )    |      |    | (491   | )    
|                                                                                     | Proceeds from borrowings                                                    |                                                                               |                                                           | 900    |      |      |    | 526    |      |      |    | 774    |      
|                                                                                     | Issuance of shares                                                          |                                                                               |                                                           | 5      |      |      |    | 3      |      |      |    | 345    |      
|                                                                                     | Increase (decrease) on minority interests                                   |                                                                               |                                                           |       |      |      |    |       |      |      |    | 174    |      
|                                                                                     | Purchase of treasury stock                                                  |                                                                               |                                                           | (136   | )    |      |    | (22    | )    |      |    | (7     | )    
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|                                                                                     |                                                                             |                                                                               | Net cash provided by (used in) financing
    activities   |        |      | 267  |    |        |      | 84   |    |        |       | 742   | 
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|Effect of exchange rate changes on cash                                              |                                                                             |                                                                               | 98                                                        |        |      |      | 25 |        |      |      | (7 | )     
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|                                                                                     |                                                                             |                                                                               | Net increase (decrease) in cash and cash
    equivalents  |        |      | (26  | )  |        |      | 56   |    |        |       | 1,590 | 
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|                                                                                     |                                                                             |                                                                               | Cash and cash equivalents at beginning of year            |        |      | 195  |    |        |      | 183  |    |        |       | 247   | 
|                                                                                     |                                                                             |                                                                               | Effect of changes in exchange rates on cash
    beginning |        |      | 13   |    |        |      | 8    |    |        |       | 6     | 
|                                                                                     |                                                                             |                                                                               | Changes in consolidation scope                            |        |      | 1    |    |        |      |     |    |        |       | 84    | 
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       
|                                                                                     |                                                                             |                                                                               | Cash and cash equivalents at end of year                  |        |      | 183  |    |        |      | 247  |    |        |       | 1,927 | 
|                                                                                     |                                                                             |                                                                               |                                                           |        |      |      |    |        |      |      |    |       

See accompanying Notes to Consolidated Financial
Statements

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##### Table of Contents



SCOR

NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS

Note 1.     The
Company and Significant Accounting Policies

SCOR (the Company) is organized as a
société anonyme, or stock company, under the
laws of the Republic of France. SCOR and its subsidiaries
(together, the Group) provide Property-Casualty and
Life reinsurance. Property-Casualty operations include
reinsuring to primary insurers of property, casualty, marine,
space and transportation, construction and credit and surety
risks. Life operations include providing a full range of Life
and Health reinsurance products and related services to primary
Life insurers throughout the world.

1.1.     Significant
events

The year 2001 was unprecedented for the insurance
and reinsurance industry in general, and for SCOR Group in
particular. It notably witnessed a number of major industrial
disasters, as well as a series of small and medium-sized losses
toward year-end and some unexpected business failures and, of
course, the September 11 tragedy. This high level of losses
was compounded by both the morosity of financial markets and the
weakness of the euro against the US dollar. The accumulation of
all these adverse factors at year-end added up to a loss for the
Group of
 365
million.

Therefore, together with the
 344
million capital increase carried out on July 31, 2001, a
dividend of
 53 million
and other changes, the Groups shareholders equity
has decreased by
 85 million
to  1,310
million compared to the end-2000.

Group premium income at end-2001 totaled
 4,429
million, up by 32% compared to 2000. Loss experience in 2001 was
exceptionally high due to both the exceptional width of certain
losses and the high frequency of small and medium-sized losses.
An impressive series of high-profile losses, including the World
Trade Center (WTC) tragedy, the explosion of the AZF chemical
plant, and the collapse of Enron and Swissair, together with the
development of less well-publicized losses dating back to 1998
and 1999, drove up the combined ratio to an exceptionally high
128.6%, compared with 123.6% for 2000. Without the impact of the
WTC disaster (including claims and reinstatement premiums), the
combined ratio would have been 122.4%.

Another key feature of 2001 was the heavy fall in
the equity market and in the euro versus the US dollar exchange
rate. Recurring investment income increased significantly thanks
to the cash flow generated by the activity and to full-year
consolidation of SCOR Life Re. The downturn in the equity market
resulted in a sharp reduction in realized capital gains and the
write down of certain equity holdings. Investment revenues were
 371
million in 2001, out of which
 10 million
represented net realized gains on investments, as opposed to
 700
million and
 413
million in 2000 respectively.

In order to expand the Groups underwriting
capacity in 2002, SCOR and a pool of European and American
investors formed Irish Reinsurance Partners (IRP) in the final
days of 2001, with a capital of
 300
million. This vehicle, in which SCOR holds a 41.7% interest, is
fully consolidated in the accounts of SCOR Group. After a
three-year period, and no later than May 31, 2006, SCOR
will buy the IRP shares owned by the minority interest.

In April 2002, with several international
insurance and reinsurance groups, SCOR was involved in the
establishment of a new company, in which SCOR holds 9.1%. This
company, named Special Risk Insurance and Reinsurance Luxembourg
S.A. (SRIR), will provide limited coverage for physical loss or
damage to insured properties and has a total committed capital
of EUR 500 million (of which only 25% was paid) consisting
of subscribed and committed authorized capital. The company will
operate independently of its founders with separate management
and underwriting teams based in Luxembourg.

In the same time, SCOR had sold its entire stake
in COFACE to NATEXIS-BANQUES POPULAIRES for a price of
EUR 62 per share, subject to the relevant French and
European regulatory approvals.

F-8



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SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

1.2.     Basis of
presentation

The accompanying financial statements have been
prepared in accordance with accounting principles generally
accepted in the United States (U.S. GAAP). The
Company and its domestic subsidiaries maintain their books in
conformity with French generally accepted accounting principles,
and its foreign subsidiaries in conformity with those of the
countries of their domicile. The financial statements of those
consolidated entities have been restated to conform to
U.S. GAAP.

The accompanying financial statements include the
accounts of SCOR and its majority-owned and controlled domestic
and foreign subsidiaries. Investment in 20% to 50% owned
affiliates are accounted for by the equity method except Irish
Reinsurance Partners (IRP) a 41.7%-owned subsidiary that is
fully consolidated due to the control that SCOR exercises. All
significant intercompany transactions and balances have been
eliminated.

Prior to January 1, 1999, SCOR prepared its
consolidated financial statements in French francs. All
financial information relating to periods prior to that date and
contained in this Annual Report of Form 20-F, including
Financial Statements and Exhibits are presented in euro,
translated from French francs based on the fixed conversion rate
of 6.55957 French franc for 1 euro, as established by the
European Council on December 31, 1998. Rounding rules are
in accordance with European regulations.

Effective January 1, 1999, the consolidated
financial statements are prepared and presented in euro.

1.3.     Use of
estimates

The preparation of financial statements in
conformity with generally accepted accounting principles
requires management to make estimates and assumptions that
affect the reported amounts in the financial statements and
related footnotes. Actual results could differ from these
estimates.

1.4.     Foreign
currency translation

The functional currency of each entity of the
Group is the currency in which that entity primarily conducts
its business. For most of the Groups foreign subsidiaries
the local currency is the functional currency. In accordance
with Statement of Financial Accounting Standard No. 52
(SFAS 52), Foreign Currency
Translation, financial statements of non-French
subsidiaries are translated into euro equivalents (or French
francs equivalents for periods prior to January 1, 1999)
using the current rate of exchange existing at period-end for
assets and liabilities, and the average yearly exchange rate for
revenues and expenses. Related translation adjustments are
reported as a separate component of shareholders equity.

Transactions denominated in currencies other than
the entitys functional currency are recorded into the
functional currency using exchange rates in effect at the
transaction date. Resulting gains or losses are included in the
income statement.

1.5.     Marketable
securities

The Group accounts for marketable securities in
accordance with the requirements of Statement of Financial
Accounting Standards No. 115 (SFAS 115),
Accounting for Certain Investments in Debt and Equity
Securities. SFAS 115 requires that debt and
marketable equity securities be classified in one of three
categories: trading, available-for-sale, or held to maturity.

Under the provisions of SFAS 115,
substantially all of the Groups investments in fixed
maturities qualify as securities available for sale
and are recorded at fair value. Fixed maturities purchased with
the intent and ability to hold to maturity are categorized as
securities held to maturity and are carried at
amortized cost.

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SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Equity securities are carried at fair value.
Short-term investments are carried at cost, which approximates
fair value.

During the year ended December 31, 2000, the
Group reclassified two of its equity security holdings from
available for sale to trading as active
buying and selling occurred during the year and the objective of
these holdings is to generate profits on short-term difference
in price. This transfer between categories was accounted for at
fair value with the unrealized holding gain or loss at the date
of transfer immediately recognized in earnings. For the year
ended December 31, 2000, such transfer amounted to EUR
239 million, of which EUR 101 million was recognized
as holding gain at the date of transfer. In 2001, one of these
two investments was sold. All of the Groups remaining
investments in equity securities qualify as securities
available for sale.

Realized gains and losses from sale of
investments, determined on the specific identification method,
and declines in value determined to be other than temporary, are
included in net income. Unrealized gains and losses on equity
securities and fixed maturities categorized as
available-for-sale, are not reflected in earnings but are
reported, net of the related tax effect, in other comprehensive
income. Unrealized gains and losses on trading equity securities
are recognized under net investment income to the statement of
income.

1.6.     Cash and
cash equivalents

The Group considers all highly liquid investments
with an original maturity of three months or less, consisting
essentially of short-term marketable securities and time
deposits, as cash equivalents. Short-term marketable securities
are valued at the lower of cost or market on an individual basis.

1.7.     Premiums
earned

Premiums from short duration contracts are
recognized as revenue evenly as insurance protection is
provided. That part of premiums estimated to be billable at
year-end but which has not been notified by ceding companies
upon the closing date is estimated and booked as accrued
premiums receivable. Unearned premium reserves represent the
portion of premiums written that relates to the unexpired terms
of contracts and policies in force. Such reserves are computed
by pro rata methods based on statistical data or reports
received from ceding companies. Premiums for long-duration
contracts are recognized as revenue when due from policyholders.
To the extent that the Companys contracts permit a
retrospective charge to the ceding company for additional
premiums, such premiums are accrued as premiums receivable based
on experience under the contract.

The Company calculates earned not yet issued and
unearned premiums, in a manner whereby premiums are computed for
their estimated ultimate amount.

The Company accounts for retrospective contracts
in accordance with Financial Accounting Standards Boards
Emerging Issues Task Force No. 93-6 (EITF
93-6). EITF 93-6 requires that multi-year
retrospectively-rated reinsurance contracts, in which past
events create rights or obligations for the parties, be
accounted as an asset or liability immediately, instead of at
contract termination. Rights or obligations include, but are not
limited to, return of an experience balance, additional or
return premiums and/or reduction in coverage of future events.

1.8.     Deferred
acquisition costs

Costs that vary with and are directly related to
the acquisition of new business, principally commissions and
brokerage expenses incurred at the time a contract is issued,
are deferred when paid, to the extent recoverable.

We amortize our deferred policy acquisition costs
(DAC) based on a percentage of our expected gross profits (EGPs)
over the life of the policies. Our estimated EGPs are computed
based on assumptions related to the

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SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

underlying policies written, including the lives
of the underlying policies, and, if applicable, growth rate of
the assets supporting the liabilities. We amortize deferred
policy acquisition costs by estimating the present value of the
EGPs over the lives of the insurance policies and the calculate
a percentage of the policy acquisition cost deferred as compared
to the present value of the EGPs. That percentage is used to
amortize the deferred policy acquisition cost such that amount
amortized over the life of the policies results in a constant
percentage of amortization when related to the actual and future
gross profits.

Because of the EGPs are only an estimate of the
profits we expect to recognize from these policies, the EGPs are
adjusted at each balance sheet date to take into consideration
the actual gross profits to date and any changes in the
remaining expected future gross profits. When EGPs are adjusted,
we also adjust the amortization of the DAC amount, if
applicable, either to maintain a constant amortization
percentage over the entire life of the policies (FAS 97
products), or to take into account the absence of future profits
(FAS 60). For 2001 we have not materially changed the
weighted average expected life of the policies.

The present value of the future profits booked in
respect of SCOR Life Re business acquired July 1, 2000,
reduced from EUR 176 million to EUR 165 million at the
end of December 2000, due to an interest of
EUR 1 million and an amortization of deferred policy
acquisition costs of EUR 12 million. In 2001, the present
value of future profits decreased from EUR 165 million to
EUR 150 million end of December 2001, resulting from an
interest of EUR 7 million, a favorable exchange rate
fluctuation for an amount of EUR 8 million, the creation of
new business of EUR 2 million, and an additional EUR
32 million amortization of deferred policy acquisition
costs.

In our Property-Casualty business, deferred
acquisition costs represent the portion of commissions
pertaining to contracts in force at year-end over the period for
which premiums are not yet earned, and are written down over the
residual duration of the contracts in question.

1.9.     Other
long-term investments

Land, buildings and interest in unlisted real
estate companies are carried at cost. Buildings are depreciated
using the straight-line method over 30 to 50 years. Cost
incurred in the acquisition of buildings is amortized over
5 years. Provision is made for losses when the market value
of buildings held for sale in the short-term is lower than the
purchase cost.

1.10.     Fixed
assets

Property, equipment and leasehold improvements
are stated at cost, less accumulated depreciation and
amortization. Depreciation is provided using the straight-line
method over the estimated useful lives of the related assets
that generally range from 3 to 30 years. Computer software
purchased or internally developed is depreciated over 12 to
60 months. Amortization of leasehold improvements is
provided using the straight-line method over the lesser of the
term of the leases or the estimated useful lives of the
improvements.

1.11.     Impairment
or Disposal of Long-Lived Assets

The Group accounts for long-lived assets in
accordance with the requirements of Statement of Financial
Accounting Standards No.121 (SFAS 121),
Accounting for the Impairment of Long-Lived Assets and for
Long-Lived Assets to Be Disposed Of. SFAS 121 requires
that long-lived assets and certain identifiable intangibles held
and used be reviewed for impairment whenever events or changes
in circumstances indicate that the carrying amount of the assets
or intangibles may not be recoverable.

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SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

1.12.     Goodwill

The excess of purchase price over net assets
acquired in a consolidated company restated to fair value at the
date of purchase, is recorded as goodwill and is amortized over
a maximum period of 20 years. If facts and circumstances
indicate that unamortized goodwill may be impaired, a review is
made to determine what amount, if any, is not recoverable.
During 2001, goodwill arisen from new acquisition has not been
amortized (see Recent Accounting Developments).

1.13.     Uncollectible
reinsurance balances

The Company establishes provisions for
uncollectible reinsurance balances based on managements
assessment of the collectibility of the outstanding balances.
Such provisions were EUR 12 million and
EUR 5 million as of December 31, 2001 and
December 31, 2000.

1.14.     Losses
and loss expenses and Life future policy benefits

Reserves for losses and loss adjustment expenses
include reserves for unpaid losses and loss expenses and for
losses incurred but not reported (IBNR). This
liability for unpaid claims is established by management based
on information received from ceding companies corrected for
estimated errors and omissions, as necessary, using
managements industry experience and judgment. The methods
used to estimate the reserves are periodically reviewed to
insure that the assumptions made continue to be appropriate and
that any adjustments resulting there from are reflected in
results of operations in the period in which they become known
and are accounted for as changes in estimates.

The Group discounts certain reserves for losses
and loss adjustment expenses relating for the most part to
workers compensation claims, over the estimated payment
period of the liabilities. The discount rate is based on
risk-free rates of return for investments of similar duration,
and the discount rate is a locked in rate. Loss and loss
adjustment reserves discounted at December 31, 2001 and
2000 were discounted at rates ranging from 3.7% to 8.1% and the
amount of those discounted reserves were EUR 1,069 million
and EUR 712 million, at December 31, 2001, and 2000,
respectively. During 2001, SCOR US adopted the practice of
discounting tabular workers compensation claims for
statutory and U.S. GAAP using an interest rate of 5%. The
Company believes that discounting such claims is preferable
since it more closely matches revenues and expenses, better
reflects the economic reality of paying the fixed amounts over a
long period of time and represents a method commonly used in the
industry. The effect of the change in 2001 was to increase net
income by EUR 62 million and EUR 41 million, before
and after tax, respectively.

Management believes that the reserve for losses
is adequate to cover the ultimate net cost incurred. However,
the reserve is necessarily an estimate and the amount ultimately
paid may be more or less than the estimate.

Estimated Life future policy benefits to be paid
to or on behalf of ceding companies, less estimated future net
premiums to be collected from ceding companies, are accrued when
premium revenue is recognized. Future policy benefits under long
term Life reinsurance contracts have been computed based upon
expected investment yields, mortality, morbidity and withdrawal
rates and other assumptions. These assumptions include for Life
business a margin for adverse deviation and vary with the
characteristics of the plan of reinsurance, year of issue, age
of the insured and other appropriate factors. Mortality,
morbidity and withdrawal assumptions are based on the
Groups experience as well as industry experience and
standards.

1.15.     Stock-based
compensation

SCOR accounts for its employee stock option plans
in accordance with Accounting Principles Board Opinion
No. 25 (APB 25), Accounting for Stock
Issued to Employees and discloses in Note 10 pro
forma net income and earnings per share as if the fair-value
based method of accounting defined in Statement of

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SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Financial Accounting Standards No. 123
(SFAS 123), Accounting for Stock Based
Compensation were applied. SFAS 123 establishes
financial accounting and reporting standards for stock-based
employee compensation plans. The Statement defines a fair-value
based method of accounting for stock-option plans whereby
compensation cost is measured at the grant date based on the
value of the award and is recognized over the service period. It
encourages all entities to adopt that method of accounting for
all of their employee stock compensations plans, but also allows
an entity to continue to measure compensations costs for those
plans using the intrinsic value based method of accounting
prescribed by APB 25.

1.16.     Accounting
for income taxes

The Group accounts for income taxes in accordance
with the requirements of Statement of Financial Accounting
Standard No. 109 (SFAS 109)
Accounting for Income Taxes. SFAS 109 provides
for a liability approach under which deferred income taxes are
calculated based upon enacted tax laws and rates, applicable in
the various jurisdictions in which the Group operates, to the
periods in which the tax becomes payable. Deferred tax assets
and liabilities as of December 31, 2001 reflect in respect
of French jurisdiction, a surcharge of 3% for 2002 and
thereafter, and the other additional surcharge of 3.3% on income
tax payable income applicable to years 2001 and after. Deferred
tax assets and liabilities as of December 31, 2001 and 2000
reflected the 3% and 6% exceptional surcharge, respectively
applicable to tax years 2002 and 2001.

Valuation allowances are recorded against
deferred tax assets that are more likely than not to
be not realizable in the future.

1.17.     Post
retirement benefits

In accordance with the laws and practices in the
countries where SCOR operates, subsidiaries contribute to
various pension and retirement benefit plans covering
substantially all employees.

In some countries, including France,
contributions based on salaries, are paid to the government
organizations, which are liable for the payments of benefits.
The Group has no actuarial liability under such plans.

Where specific retirement plans or other
commitments exist, which are the Groups responsibility,
the corresponding actuarial obligations are charged to income on
the basis of rights acquired by employees, either by way of
provisions or by contributions to independent organizations that
pay the benefits.

The Group discloses pensions and other
postretirement benefits in accordance with the requirements of
Statement of Financial Accounting Standards No.132
(SFAS 132),  Employers disclosures
about Pensions and Other Postretirement Benefits.
SFAS 132 suggests combined formats for presentation of
pension and other postretirement benefit disclosures, and does
not change the measurement or the recognition of those plans.

1.18.     Earnings
per share

The Group accounts for earnings per share in
accordance with the requirements of Statement of Financial
Accounting Standards No. 128 (SFAS 128),
Earnings Per Share. SFAS 128 establishes
standards for computing and presenting earnings per share. Basic
earnings per share excludes dilution and is computed by dividing
income available to common stockholders by the weighted-average
number of common shares outstanding for the period. Diluted
earnings per share include the effect of all potentially
dilutive securities. SFAS 128 also requires a
reconciliation of the numerator and denominator of the basic
earnings per share computation to the numerator and denominator
of the diluted earnings per share computation.

The reconciliation of the numerator and
denominator of the basic earnings per share computation to the
numerator and denominator of the diluted earnings per share
computation is disclosed in Note 9.

F-13



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Basic earnings per share are calculated using the
weighted average number of Ordinary Shares outstanding during
the period. Diluted earnings per share is based on the
additional assumed dilution of all dilutive potential Ordinary
Shares outstanding which are issuable under stock option plans
(using the treasury stock method), and on the additional
assumption that the convertible bonds are converted into
Ordinary Shares (using the if-converted method).

1.19.     Comprehensive
income

The Group reports comprehensive income in
accordance with the requirements of Statement of Financial
Accounting Standards No. 130, (SFAS 130),
Reporting Comprehensive Income. SFAS 130
establishes standards for reporting and display of comprehensive
income and its components in a full set of general-purpose
financial statements. It requires that all items that are
required to be recognized under accounting standards as
components of comprehensive income be reported in a financial
statement that is displayed with the same prominence as other
financial statements.

1.20.     Disclosures
about segments of an enterprise

The Group discloses about segments and other
related information in accordance with the requirements of
Statement of Financial Accounting Standards No. 131,
(SFAS 131), Disclosures about Segments of
an Enterprise and Related Information.

The Group has organized its business into three
major segments based on the type of reinsurance markets it
targets. Responsibilities and reporting within the Group are
established based on this structure: Property-Casualty treaty
reinsurance, Life/Accident & Health reinsurance and
Specialty Property-Casualty reinsurance. Other activities
include investment revenue allocated to shareholders
equity, amortization of goodwill and investments accounted for
by the equity method. As disclosed in Note 15, for each
activity SCOR reports earnings before income tax and minority
interests, as used for management purposes.

1.21.     SOREMA

On July 1, 2001 SCOR Group took full control
of two reinsurance subsidiaries of GROUPAMA, SOREMA S.A., a
French company and SOREMA N.A., a U.S. company. This
acquisition is in line with SCORs strategy and marks a new
stage in its policy of growth and international expansion.

The SOREMA companies specialize in Property &
Casualty reinsurance, mainly in Europe, North America and Asia.
We intend to maintain unchanged these companies portfolio
of reinsurance products and services. Management believes they
are to strengthen our competitive stance without significantly
altering the balance between our three core activities: Property
& Casualty, Life, Accident & Health and Specialty
reinsurance.

This acquisition also led to an increase of
EUR 344 million in SCORs equity, divided into
EUR 24 million in ordinary shares and EUR 320 million
in additional paid-in capital. GROUPAMA received 6,370,370 SCOR
shares issued for the purpose of this transaction. This increase
in SCORs capital will help support the strong growth of
its businesses. As part of this transaction, GROUPAMA agreed to
cover its liabilities in respect of run-off of technical
reserves for the 2000 and previous reinsurance years. The
aforementioned agreement was settled in the form of a
retrocession contract coupled with a general guarantee. At the
end of December 2001, the sum of EUR 184 million was booked
in the accounts of SCOR. This amount may be revised at the
expiration of the guarantee period i.e. June 30, 2007.

Goodwill has been calculated on the basis of the
financial statements drawn up at June 30, 2001. SOREMA
operating results have been consolidated since July 1,
2001. Several adjustments have been made to evaluate at fair
value assets and liabilities: technical reserves have been
increased, deferred tax assets and deferred acquisition expenses
have been written down, and restructuring charges have been
booked. The goodwill after

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SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

these restatements amounts to EUR 88
million, of which 17 millions allocated to licenses of
SOREMA N.A. SOREMA S.A. was merged into SCOR following the
Extraordinary Shareholders meeting of December 21,
2001.

Simplified balance sheets of SOREMA S.A. and
SOREMA N.A. as of June 30, 2001 are presented below:

|                                                                       |                                            |                    |     |             |  |       |     |       |  |  |       |       | 
|---------------------------------------------------------------------- | ------------------------------------------ | ------------------ | --- | ----------- |  | ----- | --- | ----- |  |  | ----- | ----- | 
|                                                                       |                                            | Sorema S.A.        |     | Sorema N.A. |  | TOTAL
|                                                                       |                                            |                    |     |             |  |      
|                                                                       |                                            |                   
|                                                                       |                                            | (EUR, in millions)
|ASSETS                                                                 |                                            |                    |     |             |  |       |     |       |  |  |       |      
|Investments and cash and cash equivalent                               |                                            |                    | 510 |             |  |       | 517 |       |  |  | 1,027 |      
|Property-casualty reinsurance balances receivable                      |                                            |                    | 48  |             |  |       | 151 |       |  |  | 199   |      
|Property-casualty accrued premiums receivable,
    net of commissions  |                                            |                    | 218 |             |  |       | 19  |       |  |  | 237   |      
|Property-casualty reinsurance recoverable on
    unpaid losses and LAE |                                            |                    | 140 |             |  |       | 245 |       |  |  | 385   |      
|Fixed and other assets                                                 |                                            |                    | 119 |             |  |       | 127 |       |  |  | 246   |      
|                                                                       |                                            |                    |     |             |  |       |     |       |  |  |       |      
|                                                                       | Total assets                               |                    |     | 1,035       |  |       |     | 1,059 |  |  |       | 2,094 | 
|                                                                       |                                            |                    |     |             |  |       |     |       |  |  |       |      
|LIABILITIES AND SHAREHOLDERS
    EQUITY                               |                                            |                    |     |             |  |       |     |       |  |  |       |      
|Property-casualty underwriting reserves, gross                         |                                            |                    | 888 |             |  |       | 743 |       |  |  | 1,631 |      
|Funds held under reinsurance treaties                                  |                                            |                    | 3   |             |  |       | 74  |       |  |  | 77    |      
|Property-casualty reinsurance balances payable                         |                                            |                    |    |             |  |       | 37  |       |  |  | 37    |      
|Financial debt                                                         |                                            |                    |    |             |  |       | 5   |       |  |  | 5     |      
|Accrued expenses                                                       |                                            |                    | 23  |             |  |       | 43  |       |  |  | 66    |      
|Total shareholders equity                                             |                                            |                    | 121 |             |  |       | 157 |       |  |  | 278   |      
|                                                                       |                                            |                    |     |             |  |       |     |       |  |  |       |      
|                                                                       | Total liabilities and shareholders equity |                    |     | 1,035       |  |       |     | 1,059 |  |  |       | 2,094 | 
|                                                                       |                                            |                    |     |             |  |       |     |       |  |  |       |      

1.22.     Reclassifications
and Presentation

Certain reclassifications of the consolidated
financial statements and related footnote amounts in the years
ended December 31, 2000 and 1999 have been made to conform
to the presentation in the year ended December 31, 2001.

1.23.     Recent
Accounting Developments

Effective January 1, 2001, the Company
adopted FASB Statement No. 133 (SFAS 133),
Accounting for Derivative Instruments and Hedging
Activities. SFAS 133 establishes accounting and
reporting standards for derivative instruments, including
certain derivative instruments embedded in other contracts, and
for hedging activities. It requires that an entity recognize all
derivatives as either assets or liabilities in the statement of
financial position and measure those instruments at fair value.
The adoption of SFAS 133 and the related transition
adjustment resulted in a gain of EUR 2 million reported in
Cumulative effect of change in accounting principle (EUR 1
million net of taxes).

In September 2000, the FASB issued Statement
No. 140 (SFAS 140), Accounting for
Transfers and Servicing of Financial Assets and Extinguishments
of Liabilities. SFAS 140 replaces Statement
No. 125. It revises the standards for accounting for
securitizations and other transfers of financial assets and
collateral and requires certain disclosures, but it carries over
most of Statement No. 125s provisions without
reconsideration. SFAS 140 is effective for transfers and
servicing of financial assets and extinguishment of liabilities
occurring after March 31, 2001 and for recognition and
reclassification of collateral and for disclosures relating to
securitization transactions and collateral for fiscal years
ending after December 15, 2001. The Group is currently
evaluating the effect of this statement and does not believe
that its adoption will significantly affect the presentation of,
or disclosures made in the financial statements.

In June 2001, the Financial Accounting Standards
Board issued two Statement of Financial Accounting Standard
(SFAS). SFAS No. 141 Business
Combinations requires usage of the purchase method for all
business combinations initiated after June 30, 2001, and
prohibits the usage of the pooling of interests method

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SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

of accounting for business combinations. SFAS
No. 141 also specifies criteria that intangible assets
acquired must meet to be recognized and reported separately from
goodwill. SFAS No. 142 Goodwill and Other Intangible
Assets changes the current accounting model that requires
amortization of goodwill, supplemented by impairment tests, to
an accounting model that is base solely upon impairment tests.
The provisions of SFAS No. 142 related to accounting for
goodwill and intangible assets will be generally effective at
the beginning of 2002, except among other things, that goodwill
and identifiable intangible assets with indefinite lives arising
from combinations completed after June 30, 2001 are not
amortized. The Group is currently evaluating the effect of this
statement and does not believe that its adoption will
significantly affect the presentation of, or disclosures made in
the financial statements.

In October 2001, the FASB issued the statement of
Accounting Standard No. 144 (SFAS 144),
Accounting for the Impairment or Disposal of Long-Lived
Assets. This Statement recognizes an impairment loss only
if the carrying amount of a long-lived asset to be held and used
is not recoverable from its undiscounted cash flows and measures
an impairment loss as the difference between the carrying amount
and fair value of the asset. It also requires that a long-lived
asset to be abandoned, exchanged for a similar productive asset,
or distributed to owners in a spin-off be considered held and
used until it is disposed of. The accounting model for
long-lived assets to be disposed of by sale is used for all
long-lived assets, whether previously held and used or newly
acquired. That accounting model retains the requirement of
Statement 121 to measure a long-lived asset classified as held
for sale at the lower of its carrying amount or fair value less
cost to sell and to cease depreciation.

The Group is currently evaluating the effect of
this statement and does not believe that its adoption will
significantly affect the presentation of, or disclosures made in
the financial statements.

Note 2.     Investments

The amortized cost and estimated fair value of
fixed maturities as of December 31, 2001, by contractual
maturity is shown below. Expected maturities will differ from
contractual maturities because borrowers may have the right to
call or prepay obligations with or without call or prepayment
penalties.

|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |    |     |     |     |      |      |     |       |       |       | 
|------------------------------------ | -------------------------------------------------------------------------------------------------------- | ----------------------------------------- | --------------------------------------- | ---------- | ----- | ---------- | -- | ---------- | -- | --- | --- | --- | ---- | ---- | --- | ----- | ----- | ----- | 
|                                     |                                                                                                          |                                          
|                                     |                                                                                                          | As of December 31, 1999                  
|                                     |                                                                                                          |                                          
|                                     |                                                                                                          | Amortized                                 |                                         | Unrealized |       | Unrealized |    | Estimated 
|                                     |                                                                                                          | cost                                      |                                         | gains      |       | losses     |    | fair value
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |           
|                                     |                                                                                                          |                                          
|                                     |                                                                                                          | (EUR, in millions)                       
|Fixed maturities available for sale  |                                                                                                          |                                           |                                         |            |       |            |    |            |    |     |     |     |      |      |     |      
|                                     | Debt securities issued or guaranteed by the
    French government or its agencies                        |                                           |                                         | 441        |       |            |    | 9          |    |     |     | (3  | )    |      |     | 447   |      
|                                     | Debt securities issued or guaranteed by the
    U.S. government or its agencies                          |                                           |                                         | 1,243      |       |            |    |           |    |     |     | (66 | )    |      |     | 1,177 |      
|                                     | Obligations of U.S. states and political
    subdivisions                                                |                                           |                                         | 70         |       |            |    |           |    |     |     | (4  | )    |      |     | 66    |      
|                                     | Debt securities issued or guaranteed by the
    European Union                                           |                                           |                                         | 691        |       |            |    | 7          |    |     |     | (11 | )    |      |     | 687   |      
|                                     | Debt securities issued or guaranteed by other
    national, state or local governments or their agencies |                                           |                                         | 267        |       |            |    | 7          |    |     |     | (5  | )    |      |     | 269   |      
|                                     | Corporate debt securities                                                                                |                                           |                                         | 917        |       |            |    | 4          |    |     |     | (29 | )    |      |     | 892   |      
|                                     | Mortgage-backed securities                                                                               |                                           |                                         | 153        |       |            |    |           |    |     |     | (4  | )    |      |     | 149   |      
|                                     | Other debt securities                                                                                    |                                           |                                         | 85         |       |            |    |           |    |     |     |    |      |      |     | 85    |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |    |     |     |     |      |      |     |      
|                                     |                                                                                                          | Total fixed maturities available for sale |                                         |            | 3,867 |            |    |            | 27 |     |     |     | (122 | )    |     |       | 3,772 |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |    |     |     |     |      |      |     |      
|Equity securities available for sale |                                                                                                          |                                           | 556                                     |            |       |            | 99 |            |    |     | (25 | )   |      |      | 630 |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |    |     |     |     |      |      |     |      
|                                     |                                                                                                          |                                           | Total investments carried at fair value |            |       | 4,423      |    |            |    | 126 |     |     |      | (147 | )   |       |       | 4,402 | 
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |    |     |     |     |      |      |     |      

F-16



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SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |       |       |       | 
|------------------------------------ | -------------------------------------------------------------------------------------------------------- | ----------------------------------------- | --------------------------------------- | ---------- | ----- | ---------- | -- | ---------- | --- | --- | ---- | --- | ---- | ---- | --- | ----- | ----- | ----- | 
|                                     |                                                                                                          |                                          
|                                     |                                                                                                          | As of December 31, 2000                  
|                                     |                                                                                                          |                                          
|                                     |                                                                                                          | Amortized                                 |                                         | Unrealized |       | Unrealized |    | Estimated 
|                                     |                                                                                                          | cost                                      |                                         | gains      |       | losses     |    | fair value
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |           
|                                     |                                                                                                          |                                          
|                                     |                                                                                                          | (EUR, in millions)                       
|Fixed maturities available for sale  |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      
|                                     | Debt securities issued or guaranteed by the
    French government or its agencies                        |                                           |                                         | 256        |       |            |    | 2          |     |     |      | (2  | )    |      |     | 256   |      
|                                     | Debt securities issued or guaranteed by the
    U.S. government or its agencies                          |                                           |                                         | 1,183      |       |            |    | 9          |     |     |      | (16 | )    |      |     | 1,176 |      
|                                     | Obligations of U.S. states and political
    subdivisions                                                |                                           |                                         | 385        |       |            |    | 6          |     |     |      | (1  | )    |      |     | 390   |      
|                                     | Debt securities issued or guaranteed by the
    European Union                                           |                                           |                                         | 660        |       |            |    | 9          |     |     |      | (3  | )    |      |     | 666   |      
|                                     | Debt securities issued or guaranteed by other
    national, state or local governments or their agencies |                                           |                                         | 283        |       |            |    | 11         |     |     |      | (1  | )    |      |     | 293   |      
|                                     | Corporate debt securities                                                                                |                                           |                                         | 1,406      |       |            |    | 27         |     |     |      | (20 | )    |      |     | 1,413 |      
|                                     | Mortgage-backed securities                                                                               |                                           |                                         | 1,294      |       |            |    | 43         |     |     |      |    |      |      |     | 1,337 |      
|                                     | Other debt securities                                                                                    |                                           |                                         | 32         |       |            |    |           |     |     |      |    |      |      |     | 32    |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      
|                                     |                                                                                                          | Total fixed maturities available for sale |                                         |            | 5,499 |            |    |            | 107 |     |      |     | (43  | )    |     |       | 5,563 |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      
|Equity securities available for sale |                                                                                                          |                                           | 839                                     |            |       |            | 25 |            |     |     | (107 | )   |      |      | 757 |      
|Trading equity securities            |                                                                                                          |                                           | 198                                     |            |       |            | 5  |            |     |     | (3   | )   |      |      | 200 |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      
|                                     |                                                                                                          | Total equity securities                   |                                         |            | 1,037 |            |    |            | 30  |     |      |     | (110 | )    |     |       | 957   |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      
|                                     |                                                                                                          |                                           | Total investments carried at fair value |            |       | 6,536      |    |            |     | 137 |      |     |      | (153 | )   |       |       | 6,520 | 
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      

|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |       |       |       | 
|------------------------------------ | -------------------------------------------------------------------------------------------------------- | ----------------------------------------- | --------------------------------------- | ---------- | ----- | ---------- | -- | ---------- | --- | --- | ---- | --- | ---- | ---- | --- | ----- | ----- | ----- | 
|                                     |                                                                                                          |                                          
|                                     |                                                                                                          | As of December 31, 2001                  
|                                     |                                                                                                          |                                          
|                                     |                                                                                                          | Amortized                                 |                                         | Unrealized |       | Unrealized |    | Estimated 
|                                     |                                                                                                          | cost                                      |                                         | gains      |       | losses     |    | fair value
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |           
|                                     |                                                                                                          |                                          
|                                     |                                                                                                          | (EUR, in millions)                       
|Fixed maturities available for sale  |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      
|                                     | Debt securities issued or guaranteed by the
    French government or its agencies                        |                                           |                                         | 251        |       |            |    | 2          |     |     |      | (1  | )    |      |     | 252   |      
|                                     | Debt securities issued or guaranteed by the
    U.S. government or its agencies                          |                                           |                                         | 934        |       |            |    | 10         |     |     |      | (2  | )    |      |     | 942   |      
|                                     | Obligations of U.S. states and political
    subdivisions                                                |                                           |                                         | 275        |       |            |    | 5          |     |     |      | (1  | )    |      |     | 279   |      
|                                     | Debt securities issued or guaranteed by the
    European Union                                           |                                           |                                         | 558        |       |            |    | 9          |     |     |      | (1  | )    |      |     | 566   |      
|                                     | Debt securities issued or guaranteed by other
    national, state or local governments or their agencies |                                           |                                         | 324        |       |            |    | 16         |     |     |      | (1  | )    |      |     | 339   |      
|                                     | Corporate debt securities                                                                                |                                           |                                         | 1,694      |       |            |    | 45         |     |     |      | (16 | )    |      |     | 1,723 |      
|                                     | Mortgage-backed securities                                                                               |                                           |                                         | 1,373      |       |            |    | 71         |     |     |      | (6  | )    |      |     | 1,438 |      
|                                     | Other debt securities                                                                                    |                                           |                                         | 44         |       |            |    |           |     |     |      | (1  | )    |      |     | 43    |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      
|                                     |                                                                                                          | Total fixed maturities available for sale |                                         |            | 5,453 |            |    |            | 158 |     |      |     | (29  | )    |     |       | 5,582 |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      
|Equity securities available for sale |                                                                                                          |                                           | 799                                     |            |       |            | 18 |            |     |     | (171 | )   |      |      | 646 |      
|Trading equity securities            |                                                                                                          |                                           | 110                                     |            |       |            |   |            |     |     | (54  | )   |      |      | 56  |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      
|                                     |                                                                                                          | Total equity securities                   |                                         |            | 909   |            |    |            | 18  |     |      |     | (225 | )    |     |       | 702   |      
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      
|                                     |                                                                                                          |                                           | Total investments carried at fair value |            |       | 6,362      |    |            |     | 176 |      |     |      | (254 | )   |       |       | 6,284 | 
|                                     |                                                                                                          |                                           |                                         |            |       |            |    |            |     |     |      |     |      |      |     |      

F-17



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SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

|                   |                                        |                         |  |            |       |  |  |       |       | 
|------------------ | -------------------------------------- | ----------------------- |  | ---------- | ----- |  |  | ----- | ----- | 
|                   |                                        |                        
|                   |                                        | As of December 31, 2001
|                   |                                        |                        
|                   |                                        | Amortized               |  | Estimated 
|                   |                                        | cost                    |  | fair value
|                   |                                        |                         |  |           
|                   |                                        |                        
|                   |                                        | (EUR, in millions)     
|Available for sale |                                        |                         |  |            |       |  |  |      
|                   | Due within one year or less            |                         |  | 843        |       |  |  | 851   |      
|                   | Due after one year through five years  |                         |  | 2,651      |       |  |  | 2,727 |      
|                   | Due after five years through ten years |                         |  | 1,645      |       |  |  | 1,687 |      
|                   | Due after ten years                    |                         |  | 314        |       |  |  | 318   |      
|                   |                                        |                         |  |            |       |  |  |      
|                   |                                        | Total                   |  |            | 5,453 |  |  |       | 5,582 | 
|                   |                                        |                         |  |            |       |  |  |      

For debt securities, for which is planned an
early or a multiple terms reimbursement, the longest maturity is
the one to be considered.

The Groups net investment income, comprised
primarily of interest and dividends, was derived from the
following sources:

|                   |                                                                    |                          |  |      |     |      |  |     |     |  |  |     |     | 
|------------------ | ------------------------------------------------------------------ | ------------------------ |  | ---- | --- | ---- |  | --- | --- |  |  | --- | --- | 
|                   |                                                                    |                         
|                   |                                                                    | Year ended December 31, 
|                   |                                                                    |                         
|                   |                                                                    | 1999                     |  | 2000 |     | 2001
|                   |                                                                    |                          |  |      |     |     
|                   |                                                                    |                         
|                   |                                                                    | (EUR, in millions)      
|Investment income  |                                                                    |                          |  |      |     |      |  |     |     |  |  |    
|                   | Fixed maturities                                                   |                          |  | 221  |     |      |  | 300 |     |  |  | 379 |    
|                   | Equity securities, dividends                                       |                          |  | 7    |     |      |  | 17  |     |  |  | 26  |    
|                   | Trading equity securities, net unrealized gains
    (losses)       |                          |  |     |     |      |  | 2   |     |  |  | (56 | )  
|                   | Short term investments and other(1)                                |                          |  | 63   |     |      |  | 51  |     |  |  | 92  |    
|                   |                                                                    |                          |  |      |     |      |  |     |     |  |  |    
|                   |                                                                    | Total investment income  |  |      | 291 |      |  |     | 370 |  |  |     | 441 | 
|                   |                                                                    |                          |  |      |     |      |  |     |     |  |  |    
|Investment expense |                                                                    |                          |  |      |     |      |  |     |     |  |  |    
|                   | Swap interest                                                      |                          |  | 7    |     |      |  | 12  |     |  |  | 13  |    
|                   | Commercial paper                                                   |                          |  | 4    |     |      |  | 4   |     |  |  | 3   |    
|                   | Administration expenses                                            |                          |  | 16   |     |      |  | 28  |     |  |  | 13  |    
|                   | Other (including convertible debentures interest
    and discount) |                          |  | 28   |     |      |  | 39  |     |  |  | 65  |    
|                   |                                                                    |                          |  |      |     |      |  |     |     |  |  |    
|                   |                                                                    | Total investment expense |  |      | 55  |      |  |     | 83  |  |  |     | 94  | 
|                   |                                                                    |                          |  |      |     |      |  |     |     |  |  |    
|                   |                                                                    | Net investment income    |  |      | 236 |      |  |     | 287 |  |  |     | 347 | 
|                   |                                                                    |                          |  |      |     |      |  |     |     |  |  |    






|    |                                                                                                          
|--- | ---------------------------------------------------------------------------------------------------------
|(1) | Includes swap income of EUR 8 million in
    1999, EUR 13 million in 2000 and EUR 10 million
    in 2001.

Net realized investments gains and losses of the
Group were derived from the following sources:

|                                           |                                  |                              |  |      |     |      |  |     |     |  |  |     |    | 
|------------------------------------------ | -------------------------------- | ---------------------------- |  | ---- | --- | ---- |  | --- | --- |  |  | --- | -- | 
|                                           |                                  |                             
|                                           |                                  | Year ended December 31,     
|                                           |                                  |                             
|                                           |                                  | 1999                         |  | 2000 |     | 2001
|                                           |                                  |                              |  |      |     |     
|                                           |                                  |                             
|                                           |                                  | (EUR, in millions)          
|Net realized investment gains
    (losses) |                                  |                              |  |      |     |      |  |     |     |  |  |    
|                                           | Fixed maturities                 |                              |  | 72   |     |      |  | 42  |     |  |  | 69  |   
|                                           | Equity securities(1)(2)          |                              |  | 71   |     |      |  | 238 |     |  |  | (66 | ) 
|                                           | Short term investments and other |                              |  |     |     |      |  | 133 |     |  |  | 7   |   
|                                           |                                  |                              |  |      |     |      |  |     |     |  |  |    
|                                           |                                  | Net realized investment gain |  |      | 143 |      |  |     | 413 |  |  |     | 10 | 
|                                           |                                  |                              |  |      |     |      |  |     |     |  |  |    






|    |                                                                                                                                                                                             
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | net realized gains on equity securities for 2000
    include the gain on sale of shares of COFACE.                                                                                          
|   
|(2) | In 2000, the Group reclassified two of its equity
    security holdings from available for sale to
    trading and recognized a gain of
    EUR 101 million at the date of the transfer.

F-18



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SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

The changes in net unrealized gains and losses on
investments of the Company (including unrealized gains and
losses on trading equity securities that are recognized to the
income statement) are derived from the following sources:

|                                                                                                                    |  |                         |      |      |  |      |      |   |  |  |     |  
|------------------------------------------------------------------------------------------------------------------- |  | ----------------------- | ---- | ---- |  | ---- | ---- | - |  |  | --- | -
|                                                                                                                    |  |                        
|                                                                                                                    |  | Year ended December 31,
|                                                                                                                    |  |                        
|                                                                                                                    |  | 1999                    |      | 2000 |  | 2001
|                                                                                                                    |  |                         |      |      |  |     
|                                                                                                                    |  |                        
|                                                                                                                    |  | (EUR, in millions)     
|Increase (decrease) during period in difference
    between fair value and cost of investments in equity securities |  |                         | 29   |      |  |      | (153 | ) |  |  | (59 | )
|Deferred income tax benefit (expense)                                                                               |  |                         | (12  | )    |  |      | 55   |   |  |  | 21  |  
|                                                                                                                    |  |                         |      |      |  |      |      |   |  |  |     |  
|Increase (decrease) in net unrealized gains
    (losses) on equity securities                                       |  |                         | 17   |      |  |      | (98  | ) |  |  | (38 | )
|                                                                                                                    |  |                         |      |      |  |      |      |   |  |  |     |  
|Increase (decrease) during period in difference
    between fair value and cost of investments in fixed maturities  |  |                         | (289 | )    |  |      | 115  |   |  |  | 39  |  
|Deferred income tax benefit (expense)                                                                               |  |                         | 101  |      |  |      | (31  | ) |  |  | (11 | )
|                                                                                                                    |  |                         |      |      |  |      |      |   |  |  |     |  
|Increase (decrease) in net unrealized gains
    (losses) on fixed maturities                                        |  |                         | (188 | )    |  |      | 84   |   |  |  | 28  |  
|Minority interest                                                                                                   |  |                         | 1    |      |  |      |     |   |  |  | 1   |  
|                                                                                                                    |  |                         |      |      |  |      |      |   |  |  |     |  
|Total increase (decrease) in net unrealized gains
    (losses) on equity securities and fixed maturities            |  |                         | (170 | )    |  |      | (14  | ) |  |  | (9  | )
|                                                                                                                    |  |                         |      |      |  |      |      |   |  |  |     |  

The followings present gross unrealized gains and
losses and the related deferred taxes on equity securities and
fixed maturities available for sale carried at fair value:

|                                |                                 |                                                              |  |      |     |      |  |      |     |   |  |      |      |  
|------------------------------- | ------------------------------- | ------------------------------------------------------------ |  | ---- | --- | ---- |  | ---- | --- | - |  | ---- | ---- | -
|                                |                                 |                                                             
|                                |                                 | Year ended December 31,                                     
|                                |                                 |                                                             
|                                |                                 | 1999                                                         |  | 2000 |     | 2001
|                                |                                 |                                                              |  |      |     |     
|                                |                                 |                                                             
|                                |                                 | (EUR, in millions)                                          
|Equity securities               |                                 |                                                              |  |      |     |      |  |      |     |   |  |     
|                                | Gross unrealized gains          |                                                              |  | 99   |     |      |  | 30   |     |   |  | 17   |     
|                                | Gross unrealized losses         |                                                              |  | (25  | )   |      |  | (110 | )   |   |  | (156 | )   
|                                |                                 |                                                              |  |      |     |      |  |      |     |   |  |     
|                                |                                 | Net unrealized gains (losses)                                |  |      | 74  |      |  |      | (80 | ) |  |      | (153 | )
|                                |                                 |                                                              |  |      |     |      |  |      |     |   |  |     
|Fixed maturities, at fair value |                                 |                                                              |  |      |     |      |  |      |     |   |  |     
|                                | Gross unrealized gains          |                                                              |  | 27   |     |      |  | 107  |     |   |  | 153  |     
|                                | Gross unrealized losses         |                                                              |  | (122 | )   |      |  | (43  | )   |   |  | (34  | )   
|                                |                                 |                                                              |  |      |     |      |  |      |     |   |  |     
|                                |                                 | Net unrealized gains (losses)                                |  |      | (95 | )    |  |      | 64  |   |  |      | 119  |  
|                                |                                 |                                                              |  |      |     |      |  |      |     |   |  |     
|                                |                                 | Total net unrealized gains (losses)                          |  |      | (21 | )    |  |      | (16 | ) |  |      | (20  | )
|                                |                                 |                                                              |  |      |     |      |  |      |     |   |  |     
|                                | Policyholder-related amounts(1) |                                                              |  |     |     |      |  | (41  | )   |   |  | (57  | )   
|                                | Deferred tax (liability) asset  |                                                              |  | (2   | )   |      |  | 21   |     |   |  | 32   |     
|                                | Minority interest               |                                                              |  |     |     |      |  | (1   | )   |   |  | (1   | )   
|                                |                                 |                                                              |  |      |     |      |  |      |     |   |  |     
|                                |                                 | Shareholders net unrealized appreciation
    (depreciation) |  |      | (23 | )    |  |      | (37 | ) |  |      | (46  | )
|                                |                                 |                                                              |  |      |     |      |  |      |     |   |  |     






|    |                                                                                                                                                                        
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | amortization of value of business acquired due to
    the revaluation to the fair value of available for sale
    securities in application of SFAS 115 (shadow DAC).

Note 3.     Reinsurance

The Group utilizes a variety of retrocession
agreements with non-affiliated retrocessionaires to control its
exposure to large losses. Although ceded reinsurance permits
recovery of all or a portion of losses from the retrocessional
reinsurer, it does not discharge the Group as the primary
reinsurer.

F-19



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Premiums written, premiums earned and loss and
LAE incurred for the years ended December 31, 1999, 2000
and 2001 are as follows:

|                  |         |                              |  |          |       |              |  |       |       |  |  |        |        |  
|----------------- | ------- | ---------------------------- |  | -------- | ----- | ------------ |  | ----- | ----- |  |  | ------ | ------ | -
|                  |         |                             
|                  |         | Year ended December 31, 1999
|                  |         |                             
|                  |         | Premiums                     |  | Premiums |       | Loss and    
|                  |         | written                      |  | earned   |       | LAE incurred
|                  |         |                              |  |          |       |             
|                  |         |                             
|                  |         | (EUR, in millions)          
|Property-Casualty |         |                              |  |          |       |              |  |       |       |  |  |       
|                  | Assumed |                              |  | 2,353    |       |              |  | 2,254 |       |  |  | (1,877 | )     
|                  | Ceded   |                              |  | (239     | )     |              |  | (235  | )     |  |  | 191    |       
|Life              |         |                              |  |          |       |              |  |       |       |  |  |       
|                  | Assumed |                              |  | 406      |       |              |  | 406   |       |  |  | (281   | )     
|                  | Ceded   |                              |  | (63      | )     |              |  | (63   | )     |  |  | 42     |       
|                  |         |                              |  |          |       |              |  |       |       |  |  |       
|                  |         | Net                          |  |          | 2,457 |              |  |       | 2,362 |  |  |        | (1,925 | )
|                  |         |                              |  |          |       |              |  |       |       |  |  |       

|                  |         |                              |  |          |       |              |  |       |       |  |  |        |        |  
|----------------- | ------- | ---------------------------- |  | -------- | ----- | ------------ |  | ----- | ----- |  |  | ------ | ------ | -
|                  |         |                             
|                  |         | Year ended December 31, 2000
|                  |         |                             
|                  |         | Premiums                     |  | Premiums |       | Loss and    
|                  |         | written                      |  | earned   |       | LAE incurred
|                  |         |                              |  |          |       |             
|                  |         |                             
|                  |         | (EUR, in millions)          
|Property-Casualty |         |                              |  |          |       |              |  |       |       |  |  |       
|                  | Assumed |                              |  | 2,850    |       |              |  | 2,641 |       |  |  | (2,585 | )     
|                  | Ceded   |                              |  | (368     | )     |              |  | (360  | )     |  |  | 381    |       
|Life              |         |                              |  |          |       |              |  |       |       |  |  |       
|                  | Assumed |                              |  | 505      |       |              |  | 505   |       |  |  | (346   | )     
|                  | Ceded   |                              |  | (109     | )     |              |  | (109  | )     |  |  | 63     |       
|                  |         |                              |  |          |       |              |  |       |       |  |  |       
|                  |         | Net                          |  |          | 2,878 |              |  |       | 2,677 |  |  |        | (2,487 | )
|                  |         |                              |  |          |       |              |  |       |       |  |  |       

|                  |         |                              |  |          |       |              |  |       |       |  |  |        |        |  
|----------------- | ------- | ---------------------------- |  | -------- | ----- | ------------ |  | ----- | ----- |  |  | ------ | ------ | -
|                  |         |                             
|                  |         | Year ended December 31, 2001
|                  |         |                             
|                  |         | Premiums                     |  | Premiums |       | Loss and    
|                  |         | written                      |  | earned   |       | LAE incurred
|                  |         |                              |  |          |       |             
|                  |         |                             
|                  |         | (EUR, in millions)          
|Property-Casualty |         |                              |  |          |       |              |  |       |       |  |  |       
|                  | Assumed |                              |  | 3,782    |       |              |  | 3,654 |       |  |  | (4,228 | )     
|                  | Ceded   |                              |  | (608     | )     |              |  | (547  | )     |  |  | 1,051  |       
|Life              |         |                              |  |          |       |              |  |       |       |  |  |       
|                  | Assumed |                              |  | 647      |       |              |  | 647   |       |  |  | (541   | )     
|                  | Ceded   |                              |  | (101     | )     |              |  | (101  | )     |  |  | 90     |       
|                  |         |                              |  |          |       |              |  |       |       |  |  |       
|                  |         | Net                          |  |          | 3,720 |              |  |       | 3,653 |  |  |        | (3,628 | )
|                  |         |                              |  |          |       |              |  |       |       |  |  |       

For the years ended December 31, 2001, 2000
and 1999, the percentage of net premiums written to gross
premiums written was 84.0%, 85.8% and 89.0% respectively.

Retrocessionaires of the Group are subject to
initial review of financial condition before final acceptability
is confirmed and to subsequent reviews on an annual basis. The
Group, like most reinsurance companies, enters into retrocession
arrangements for many of the same reasons primary insurers seek
reinsurance, including increasing their premium writing and risk
capacity without requiring additional capital and reducing the
effect of individual or aggregate losses. Historically, the
Group has retroceded risks to retrocessionaires on both a
proportional and excess of loss basis. Under its 2001
retrocessional program, the capacity for Property treaties was
for any one risk either EUR 10 million per cedent or
EUR 60 million per territory all cedents combined as

F-20



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

defined by the Groups accumulated liability
for a risk. For the classes of motor liability, credit and bond,
decennial, specific retrocession programs have been established.
In 2001, the Group retention was EUR 20 million per
risk for facultative Property and EUR 20 million per
risk for facultative Casualty.

Paid losses, outstanding losses and IBNR
recoverable from retrocessionaires, which are determined to be
uncollectible, are charged to operations. No material amount was
charged to operations for the years ended December 2001, 2000
and 1999.

The Group withholds funds from retrocessionaires
in accordance with retrocessional agreements. Under the terms of
the agreements, the Group pays interest on the principal amounts
of deposits withheld. Related interest expense was
EUR 61 million, EUR 25 million and
EUR 11 million in 2001, 2000 and 1999.

Certain reinsurance contracts do not, despite
their form, provide for the indemnification of the ceding
company by the reinsurer against loss or liability. Such
contracts primarily consist of non-proportional excess-of-loss
treaties covering catastrophic events, which include profit and
loss sharing clauses upon termination or cancellation. In these
cases, the premium paid or received has been accounted for as a
deposit rather than as premium expense or revenue in accordance
with SFAS 113. Amounts recorded as deposits, and classified as
other assets, under such contracts totaled
EUR 18 million and EUR 32 million as of
December 31, 2001 and 2000, respectively. Amounts received
and recorded as funds held under reinsurance treaties under such
contracts at such dates were EUR 174 million and
EUR 221 million as of December 31, 2001 and 2000,
respectively.

Note 4.     Comprehensive
Income

Related tax effects allocated to each component
of other comprehensive income for the years ended
December 31, 1999, 2000 and 2001 are as follows:

|                                                                        |                                                                                             |                              |    |            |      |         |   |     |    |  |    |      |     |  
|----------------------------------------------------------------------- | ------------------------------------------------------------------------------------------- | ---------------------------- | -- | ---------- | ---- | ------- | - | --- | -- |  | -- | ---- | --- | -
|                                                                        |                                                                                             |                             
|                                                                        |                                                                                             | Year ended December 31, 1999
|                                                                        |                                                                                             |                             
|                                                                        |                                                                                             | Before-                      |    | Tax        |      | Net-of-
|                                                                        |                                                                                             | Tax                          |    | (Expense)  |      | Tax    
|                                                                        |                                                                                             | Amount                       |    | or Benefit |      | Amount 
|                                                                        |                                                                                             |                              |    |            |      |        
|                                                                        |                                                                                             |                             
|                                                                        |                                                                                             | (EUR, in millions)          
|Foreign currency translation adjustment                                 |                                                                                             |                              | 96 |            |      |         |  |     |    |  | 96 |     
|Unrealized appreciation (depreciation) on
    investments during period |                                                                                             |                              |    |            |      |         |   |     |    |  |    |     
|                                                                        | Fixed maturities                                                                            |                              |    | (202       | )    |         |   | 64  |    |  |    | (138 | )  
|                                                                        | Equity securities                                                                           |                              |    | 55         |      |         |   | (22 | )  |  |    | 33   |    
|                                                                        | Investments accounted for by the equity method                                              |                              |    | 9          |      |         |   | (4  | )  |  |    | 5    |    
|                                                                        | Less: reclassification adjustment for prior
    periods appreciation included in net income |                              |    | (109       | )    |         |   | 44  |    |  |    | (65  | )  
|                                                                        |                                                                                             |                              |    |            |      |         |   |     |    |  |    |     
|                                                                        |                                                                                             | Other comprehensive income   |    |            | (151 | )       |   |     | 82 |  |    |      | (69 | )
|                                                                        |                                                                                             |                              |    |            |      |         |   |     |    |  |    |     

F-21



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

|                                                                        |                                                                                             |                              |    |            |    |         |   |     |    |  |    |     |    | 
|----------------------------------------------------------------------- | ------------------------------------------------------------------------------------------- | ---------------------------- | -- | ---------- | -- | ------- | - | --- | -- |  | -- | --- | -- | 
|                                                                        |                                                                                             |                             
|                                                                        |                                                                                             | Year ended December 31, 2000
|                                                                        |                                                                                             |                             
|                                                                        |                                                                                             | Before-                      |    | Tax        |    | Net-of-
|                                                                        |                                                                                             | Tax                          |    | (Expense)  |    | Tax    
|                                                                        |                                                                                             | Amount                       |    | or Benefit |    | Amount 
|                                                                        |                                                                                             |                              |    |            |    |        
|                                                                        |                                                                                             |                             
|                                                                        |                                                                                             | (EUR, in millions)          
|Foreign currency translation adjustment                                 |                                                                                             |                              | 72 |            |    |         |  |     |    |  | 72 |    
|Unrealized appreciation (depreciation) on
    investments during period |                                                                                             |                              |    |            |    |         |   |     |    |  |    |    
|                                                                        | Fixed maturities                                                                            |                              |    | 124        |    |         |   | (35 | )  |  |    | 89  |   
|                                                                        | Equity securities                                                                           |                              |    | (84        | )  |         |   | 29  |    |  |    | (55 | ) 
|                                                                        | Investments accounted for by the equity method                                              |                              |    | (10        | )  |         |   | 5   |    |  |    | (5  | ) 
|                                                                        | Less: reclassification adjustment for prior
    periods appreciation included in net income |                              |    | (78        | )  |         |   | 30  |    |  |    | (48 | ) 
|                                                                        |                                                                                             |                              |    |            |    |         |   |     |    |  |    |    
|                                                                        |                                                                                             | Other comprehensive income   |    |            | 24 |         |   |     | 29 |  |    |     | 53 | 
|                                                                        |                                                                                             |                              |    |            |    |         |   |     |    |  |    |    

|                                                                        |                                                                                             |                              |    |            |     |         |   |    |    |  |    |     |     |  
|----------------------------------------------------------------------- | ------------------------------------------------------------------------------------------- | ---------------------------- | -- | ---------- | --- | ------- | - | -- | -- |  | -- | --- | --- | -
|                                                                        |                                                                                             |                             
|                                                                        |                                                                                             | Year ended December 31, 2001
|                                                                        |                                                                                             |                             
|                                                                        |                                                                                             | Before-                      |    | Tax        |     | Net-of-
|                                                                        |                                                                                             | Tax                          |    | (Expense)  |     | Tax    
|                                                                        |                                                                                             | Amount                       |    | or Benefit |     | Amount 
|                                                                        |                                                                                             |                              |    |            |     |        
|                                                                        |                                                                                             |                             
|                                                                        |                                                                                             | (EUR, in millions)          
|Foreign currency translation adjustment                                 |                                                                                             |                              | 18 |            |     |         |  |    |    |  | 18 |    
|Unrealized appreciation (depreciation) on
    investments during period |                                                                                             |                              |    |            |     |         |   |    |    |  |    |    
|                                                                        | Fixed maturities                                                                            |                              |    | 19         |     |         |   | (4 | )  |  |    | 15  |    
|                                                                        | Equity securities                                                                           |                              |    |           |     |         |   |   |    |  |    |    |    
|                                                                        | Investments accounted for by the equity method                                              |                              |    | (28        | )   |         |   | 10 |    |  |    | (18 | )  
|                                                                        | Less: reclassification adjustment for prior
    periods appreciation included in net income |                              |    | (39        | )   |         |   | 14 |    |  |    | (25 | )  
|                                                                        |                                                                                             |                              |    |            |     |         |   |    |    |  |    |    
|                                                                        |                                                                                             | Other comprehensive income   |    |            | (30 | )       |   |    | 20 |  |    |     | (10 | )
|                                                                        |                                                                                             |                              |    |            |     |         |   |    |    |  |    |    

Net of tax balances of each classification within
accumulated other comprehensive income as of December 31,
1999, 2000 and 2001 are as follows:

|                             |                                |                          |  |                   |     |                   |  |               |     |   |  |     |    |   |  |     |     | 
|---------------------------- | ------------------------------ | ------------------------ |  | ----------------- | --- | ----------------- |  | ------------- | --- | - |  | --- | -- | - |  | --- | --- | 
|                             |                                |                          |  |                   |     | Unrealized        |  |              
|                             |                                |                          |  | Unrealized        |     | Appreciation      |  | Accumulated  
|                             |                                | Foreign Currency         |  | Appreciation      |     | (Depreciation) of |  | Other        
|                             |                                | Translation              |  | (Depreciation) of |     | Equity Method     |  | Comprehensive
|                             |                                | Adjustment               |  | Investments       |     | Investments       |  | Income       
|                             |                                |                          |  |                   |     |                   |  |              
|                             |                                |                         
|                             |                                | (EUR, in millions)      
|Year ended December 31, 1999 |                                |                          |  |                   |     |                   |  |               |     |   |  |     |    |   |  |    
|                             | Balance at beginning of Period |                          |  | (10               | )   |                   |  | 146           |     |   |  | 12  |    |   |  | 148 |    
|                             | Current-period change          |                          |  | 96                |     |                   |  | (170          | )   |   |  | 5   |    |   |  | (69 | )  
|                             |                                | Balance at end of period |  |                   | 86  |                   |  |               | (24 | ) |  |     | 17 |   |  |     | 79  | 
|Year ended December 31, 2000 |                                |                          |  |                   |     |                   |  |               |     |   |  |     |    |   |  |    
|                             | Current-period change          |                          |  | 72                |     |                   |  | (14           | )   |   |  | (5  | )  |   |  | 53  |    
|                             |                                | Balance at end of period |  |                   | 158 |                   |  |               | (38 | ) |  |     | 12 |   |  |     | 132 | 
|Year ended December 31, 2001 |                                |                          |  |                   |     |                   |  |               |     |   |  |     |    |   |  |    
|                             | Current-period change          |                          |  | 18                |     |                   |  | (10           | )   |   |  | (18 | )  |   |  | (10 | )  
|                             |                                | Balance at end of period |  |                   | 176 |                   |  |               | (47 | ) |  |     | (7 | ) |  |     | 122 | 

F-22



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Note 5.     Investments
accounted for by the equity method

The Companys other investments as of
December 31, 2001 include its 35% interest in COFACE, a
French company engaged in guaranteeing international export
risks. The initial acquisition of 20%, which occurred in 1993,
generated no significant excess of purchase price over the fair
value of the net assets acquired and therefore no goodwill was
recognized. The additional acquisition that occurred in 1998
generated goodwill of EUR 32 million. Investment in COFACE,
accounted for by the equity method, was EUR 179 million and
EUR 205 million as of December 31, 2001 and 2000,
respectively.

Simplified consolidated balance sheets and income
statements of COFACE are presented below:

|                                                                      |                                            |                    |       |       |  |  |       |       | 
|--------------------------------------------------------------------- | ------------------------------------------ | ------------------ | ----- | ----- |  |  | ----- | ----- | 
|                                                                      |                                            |                   
|                                                                      |                                            | As of December 31,
|                                                                      |                                            |                   
|                                                                      |                                            | 2000               |       | 2001 
|                                                                      |                                            |                    |       |      
|                                                                      |                                            |                   
|                                                                      |                                            | (EUR, in millions)
|ASSETS                                                                |                                            |                    |       |       |  |  |       |      
|Total investments                                                     |                                            |                    | 1,026 |       |  |  | 1,076 |      
|Property-Casualty insurance balances receivable                       |                                            |                    | 161   |       |  |  | 220   |      
|Property-Casualty accrued premiums receivable,
    net of commissions |                                            |                    | 18    |       |  |  | 35    |      
|Property-Casualty insurance recoverable on unpaid
    losses and LAE  |                                            |                    | 288   |       |  |  | 316   |      
|Fixed and other assets                                                |                                            |                    | 546   |       |  |  | 571   |      
|                                                                      |                                            |                    |       |       |  |  |       |      
|                                                                      | Total assets                               |                    |       | 2,039 |  |  |       | 2,218 | 
|                                                                      |                                            |                    |       |       |  |  |       |      
|LIABILITIES AND SHAREHOLDERS
    EQUITY                              |                                            |                    |       |       |  |  |       |      
|Property-Casualty losses and LAE reserves, gross                      |                                            |                    | 695   |       |  |  | 829   |      
|Funds held under reinsurance treaties                                 |                                            |                    | 17    |       |  |  | 25    |      
|Property-Casualty Insurance balances payable                          |                                            |                    | 84    |       |  |  | 108   |      
|Financial debt                                                        |                                            |                    | 90    |       |  |  | 208   |      
|Accrued expenses                                                      |                                            |                    | 438   |       |  |  | 394   |      
|Minority interest                                                     |                                            |                    | 45    |       |  |  | 49    |      
|Total shareholders equity                                            |                                            |                    | 670   |       |  |  | 606   |      
|                                                                      |                                            |                    |       |       |  |  |       |      
|                                                                      | Total liabilities and shareholders equity |                    |       | 2,039 |  |  |       | 2,218 | 
|                                                                      |                                            |                    |       |       |  |  |       |      

F-23



---



##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

|                                 |                                                                |                                                                                                            |  |      |     |  |  |     |     | 
|-------------------------------- | -------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------------- |  | ---- | --- |  |  | --- | --- | 
|                                 |                                                                |                                                                                                           
|                                 |                                                                | Year ended                                                                                                
|                                 |                                                                | December 31,                                                                                              
|                                 |                                                                |                                                                                                           
|                                 |                                                                | 2000                                                                                                       |  | 2001
|CONSOLIDATED STATEMENT OF INCOME |                                                                |                                                                                                            |  |     
|                                 |                                                                |                                                                                                           
|                                 |                                                                | (EUR, in millions)                                                                                        
|Revenues                         |                                                                |                                                                                                            |  |      |     |  |  |    
|                                 | Premiums earned                                                |                                                                                                            |  | 671  |     |  |  | 750 |    
|                                 | Profit (loss) from reinsurance operations                      |                                                                                                            |  | (28  | )   |  |  | 7   |    
|                                 | Other technical revenues                                       |                                                                                                            |  | 74   |     |  |  | 69  |    
|                                 | Net investment income                                          |                                                                                                            |  | 56   |     |  |  | 57  |    
|                                 |                                                                |                                                                                                            |  |      |     |  |  |    
|                                 |                                                                | Total revenues                                                                                             |  |      | 773 |  |  |     | 883 | 
|                                 |                                                                |                                                                                                            |  |      |     |  |  |    
|Expenses                         |                                                                |                                                                                                            |  |      |     |  |  |    
|                                 | Claims and loss adjustment expenses, net                       |                                                                                                            |  | 377  |     |  |  | 564 |    
|                                 | Underwriting and administration expenses                       |                                                                                                            |  | 262  |     |  |  | 292 |    
|                                 | Other operating income and expenses                            |                                                                                                            |  | 11   |     |  |  | 4   |    
|                                 |                                                                |                                                                                                            |  |      |     |  |  |    
|                                 |                                                                | Total expenses                                                                                             |  |      | 650 |  |  |     | 860 | 
|                                 |                                                                |                                                                                                            |  |      |     |  |  |    
|                                 |                                                                | Income before taxes, minority interests and
    income from investments accounted for by the equity method |  |      | 123 |  |  |     | 23  | 
|                                 |                                                                |                                                                                                            |  |      |     |  |  |    
|                                 | Income tax                                                     |                                                                                                            |  | (47  | )   |  |  | (5  | )  
|                                 | Minority interests                                             |                                                                                                            |  | (5   | )   |  |  | (7  | )  
|                                 | Income from investments accounted for by the
    equity method |                                                                                                            |  | 3    |     |  |  | 3   |    
|                                 |                                                                |                                                                                                            |  |      |     |  |  |    
|                                 |                                                                | Net Income                                                                                                 |  |      | 74  |  |  |     | 14  | 
|                                 |                                                                |                                                                                                            |  |      |     |  |  |    

Certain adjustments to COFACEs financial
statements, prepared in accordance with French GAAP, have been
made to present them in conformity with U.S. GAAP.

Dividends received from COFACE were EUR
8 million, EUR 8 million and EUR 7 million in
2001, 2000 and 1999, respectively. The Groups share in
COFACEs shareholders equity represented EUR
42 million or 3.2% and EUR 68 million or 4.9% of
SCORs consolidated shareholders equity as of
December 31, 2001 and 2000, respectively.

F-24



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Note 6.     Debt

Short-term and long-term debt, as well as
designated interest rate swap agreements, consists of the
following:

|                                                                 |                       |                    |     |       |  |       |     |       |  |  |     |     |  |  |     |     | 
|---------------------------------------------------------------- | --------------------- | ------------------ | --- | ----- |  | ----- | --- | ----- |  |  | --- | --- |  |  | --- | --- | 
|                                                                 |                       |                   
|                                                                 |                       | As of December 31,
|                                                                 |                       |                   
|                                                                 |                       |                    |     |      
|                                                                 |                       | 2000               |     | 2001 
|                                                                 |                       |                    |     |      
|                                                                 |                       | Book               |     | Fair  |  | Book  |     | Fair 
|                                                                 |                       | Value              |     | Value |  | Value |     | Value
|                                                                 |                       |                    |     |       |  |       |     |      
|                                                                 |                       |                   
|                                                                 |                       | (EUR, in millions)
|Commercial paper  fixed rate                                    |                       |                    | 43  |       |  |       | 43  |       |  |  | 306 |     |  |  | 306 |    
|Bank and other short-term loans                                  |                       |                    | 11  |       |  |       | 11  |       |  |  | 8   |     |  |  | 8   |    
|Short-term portion of notes payable                              |                       |                    |    |       |  |       |    |       |  |  |    |     |  |  |    |    
|                                                                 |                       |                    |     |       |  |       |     |       |  |  |     |     |  |  |     |    
|                                                                 | Total short-term debt |                    |     | 54    |  |       |     | 54    |  |  |     | 314 |  |  |     | 314 | 
|Long term portion of notes payable 
    fixed rate              |                       |                    | 57  |       |  |       | 57  |       |  |  | 57  |     |  |  | 57  |    
|Convertible subordinated debentures  1%                         |                       |                    | 241 |       |  |       | 258 |       |  |  | 247 |     |  |  | 238 |    
|EUR 50 million perpetual subordinated
    debt  EURIBOR + 0.75% |                       |                    | 50  |       |  |       | 50  |       |  |  | 50  |     |  |  | 50  |    
|USD 100 million 30-year subordinated
    debt  LIBOR + 0.80%    |                       |                    | 108 |       |  |       | 108 |       |  |  | 113 |     |  |  | 113 |    
|EUR 100 million 20-year subordinated
    debt  EURIBOR + 1.15%  |                       |                    | 100 |       |  |       | 100 |       |  |  | 100 |     |  |  | 100 |    
|                                                                 |                       |                    |     |       |  |       |     |       |  |  |     |     |  |  |     |    
|                                                                 | Total long-term debt  |                    |     | 556   |  |       |     | 573   |  |  |     | 567 |  |  |     | 558 | 
|                                                                 |                       |                    |     |       |  |       |     |       |  |  |     |     |  |  |     |    
|                                                                 | Total obligations     |                    |     | 610   |  |       |     | 627   |  |  |     | 881 |  |  |     | 872 | 
|                                                                 |                       |                    |     |       |  |       |     |       |  |  |     |     |  |  |     |    
|Fair value of interest rate swap agreements                      |                       |                    |     |       |  |       |     |       |  |  | (1  | )   |  |  | (1  | )  
|                                                                 |                       |                    |     |       |  |       |     |       |  |  |     |     |  |  |     |    
|                                                                 | Total debt            |                    |     |       |  |       |     |       |  |  |     | 880 |  |  |     | 871 | 
|                                                                 |                       |                    |     |       |  |       |     |       |  |  |     |     |  |  |     |    

The notional amount of swap agreements designated
as fair value interest risk hedges outstanding as of
December 31, 2001 was EUR 62 million. Fair value is
based on the discounted amount of future cash flows using the
Groups current estimated borrowing rates for a similar
liability. Considering that borrowings carry a variable rate of
interest, face value approximates fair value. Fair value of
convertible subordinated debt is based on quoted market price as
of December 31, 2000 and 2001.

At December 31, 2001, the Group was party to
a number of interest rate swap agreements to hedge several of
its debt securities outstanding. The aggregate fair value of
these swaps totaled 1 million euros. Prior to the adoption
of SFAS 133 Accounting for derivative instruments and
hedging activities, as amended on January 1, 2001,
the fair value of these swap agreements was not recorded on the
balance sheet. Upon adoption the fair value of these swap
agreements is reported as an increase in Derivatives financial
instruments assets by EUR 1 million and a corresponding
decrease to debt on the balance sheet. The ineffective part of
the hedges is recognized in the net income (see note 13).

Debt outstanding was denominated in the following
currencies, stated at year-end exchange rates:

|            |            |              |     |      |  |  |     |     | 
|----------- | ---------- | ------------ | --- | ---- |  |  | --- | --- | 
|            |            |             
|            |            | As of       
|            |            | December 31,
|            |            |             
|            |            | 2000         |     | 2001
|            |            |              |     |     
|            |            |             
|            |            | (EUR, in    
|            |            | millions)   
|Euro        |            |              | 502 |      |  |  | 767 |    
|U.S. Dollar |            |              | 108 |      |  |  | 113 |    
|            |            |              |     |      |  |  |     |    
|            | Total debt |              |     | 610  |  |  |     | 880 | 
|            |            |              |     |      |  |  |     |    

F-25



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Debt, presented by interest rate and reflecting
any effect of interest rate swap agreements is as follows:

|                                         |            |                    |     |      |  |  |     |     | 
|---------------------------------------- | ---------- | ------------------ | --- | ---- |  |  | --- | --- | 
|                                         |            |                   
|                                         |            | As of December 31,
|                                         |            |                   
|                                         |            | 2000               |     | 2001
|                                         |            |                    |     |     
|                                         |            |                   
|                                         |            | (EUR, in millions)
|Below 4%                                 |            |                    | 291 |      |  |  | 568 |    
|4 to 5.5%                                |            |                    | 55  |      |  |  | 11  |    
|5.5 to 6.5%                              |            |                    | 3   |      |  |  |    |    
|Variable rates based on LIBOR or Euribor |            |                    | 261 |      |  |  | 301 |    
|                                         |            |                    |     |      |  |  |     |    
|                                         | Total debt |                    |     | 610  |  |  |     | 880 | 
|                                         |            |                    |     |      |  |  |     |    

Related interest expense for the year, was
EUR 70 million, EUR 48 million and EUR 30
million, in 2001, 2000 and 1999, respectively.

On March 23, 1999, June 25, 1999 and
July 6, 2000, SCOR issued subordinated debts programs for
EUR 50 million, USD 100 million and EUR 100
million respectively. All consist of step-up notes under the
following conditions:

|                 |  |           |  |                                                                |  |                                                                |  |             |  |                                                                                                                                                             
|---------------- |  | --------- |  | -------------------------------------------------------------- |  | -------------------------------------------------------------- |  | ----------- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------
|                 |  |           |  |                                                                |  |                                                                |  |            
|Principal Amount |  | Term      |  | Interest Rate                                                  |  | Interest Payment                                               |  | Redeemable 
|                 |  |           |  |                                                                |  |                                                                |  |            
|                 |  |           |  |                                                                |  |                                                                |  |             |  |                                                                                                                                                             
|EUR 50 million   |  | Perpetual |  | From March, 1999 to                                            |  | March 2014 and                                                 |  | Semi-annual |  | In whole and not in                                                                                                                                         
|                 |  |           |  | March, 2014: EURIBOR for six-month
    deposits + 0.75%        |  | Thereafter: EURIBOR for six-month deposits +
    1.75%         |  |             |  | part, at the option of the Company on or about
    March 24, 2009, or on any interest payment date falling on
    or about each fifth anniversary thereafter
|                
|USD 100 million  |  | 2029      |  | From June, 1999 to                                             |  | From June, 2009 to                                             |  | Quarterly   |  | In whole or in part, at                                                                                                                                     
|                 |  |           |  | June, 2009: LIBOR for three months deposits in
    USD + 0.80% |  | June, 2029: LIBOR for three months deposits in
    USD + 1.80% |  |             |  | the option of the Company on or about
    June 25, 2009, or on any interest payment date falling
    thereafter                                             
|                
|EUR 100 million  |  | 2020      |  | From July, 2000 to July,                                       |  | From July, 2010 to July,                                       |  | Quarterly   |  | In whole but not in                                                                                                                                         
|                 |  |           |  | 2010: EURIBOR for three months deposits +
    1.15%            |  | 2020: EURIBOR for three months deposits in
    USD + 2.15%     |  |             |  | part, at the option of the Company on or about
    July 6, 2010, or on any interest payment date falling
    thereafter                                     

On June 15, 1999, SCOR launched a
EUR 233 million issue of convertible bonds redeemable
in new or existing shares (OCEANE),
represented by 4,025,000 bonds with a nominal value of
EUR 58 each. The OCEANE bear interest at a rate of 1% per
annum, payable annually on January 1, of each year, and are
redeemable in full at maturity on January 1, 2005 at
EUR 65.28 per bond. Early redemption in whole or in part is
possible, at the option of the Company by:



| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | (1) | purchases on the market or public offers,                                                                                                                                                                                                                                                                                                                                                                                                                                 
|
| | (2) | at any time from January 1, 2003 until
    December 31, 2004, at an early redemption price equivalent
    to the yield to maturity if the product of the conversion ratio
    and the arithmetic means of the closing prices of the SCOR
    Ordinary Share over 20 consecutive trading days of the
    40 consecutive trading days preceding the publication of a
    notice concerning such redemption, exceeds 120% of the early
    redemption price of each bond, and
|
| | (3) | when less than 10% of the bond issue remains
    outstanding.                                                                                                                                                                                                                                                                                                                                                                                                             

F-26



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Bondholders may request conversion at any time
from June 28, 1999. The Company may, at its option, deliver
new shares and/or existing shares.

Repayments of long-term debt as of
December 31, 2000 were scheduled as follows:

|           |                      |                    |     |     | 
|---------- | -------------------- | ------------------ | --- | --- | 
|Year       |                      | Payment           
|           |                      |                   
|           |                      | (EUR, in millions)
|2002       |                      |                    | 312 |    
|2003       |                      |                    | 47  |    
|2004       |                      |                    |    |    
|2005       |                      |                    | 247 |    
|2006       |                      |                    |    |    
|Thereafter |                      |                    | 274 |    
|           |                      |                    |     |    
|           | Total long-term debt |                    |     | 880 | 
|           |                      |                    |     |    

At December 31, 2001, the Group had
approximately EUR 640 million available in unused short and
long-term credit lines.

Note 7.     Income
Tax

The provision for income tax consisted of the
following components:

|                               |         |                                     |    |      |    |      |     |     |     |   |      |      |      |  
|------------------------------ | ------- | ----------------------------------- | -- | ---- | -- | ---- | --- | --- | --- | - | ---- | ---- | ---- | -
|                               |         |                                    
|                               |         | Year ended December 31,            
|                               |         |                                    
|                               |         | 1999                                |    | 2000 |    | 2001
|                               |         |                                     |    |      |    |     
|                               |         |                                    
|                               |         | (EUR, in millions)                 
|Current tax expense (benefit)  |         |                                     |    |      |    |      |     |     |     |   |      |     
|                               | French  |                                     |    | 2    |    |      |     | 39  |     |   |      | 1    |     
|                               | Foreign |                                     |    | 22   |    |      |     | (10 | )   |   |      | 8    |     
|                               |         |                                     |    |      |    |      |     |     |     |   |      |     
|                               |         |                                     | 24 |      |    |      | 29  |     |     |   | 9    |     
|                               |         |                                     |    |      |    |      |     |     |     |   |      |     
|Deferred tax expense (benefit) |         |                                     |    |      |    |      |     |     |     |   |      |     
|                               | French  |                                     |    | 6    |    |      |     | (45 | )   |   |      | (150 | )   
|                               | Foreign |                                     |    | (7   | )  |      |     | (41 | )   |   |      | (110 | )   
|                               |         |                                     |    |      |    |      |     |     |     |   |      |     
|                               |         |                                     | (1 | )    |    |      | (86 | )   |     |   | (260 | )   
|                               |         |                                     |    |      |    |      |     |     |     |   |      |     
|                               |         | Total provision for income taxes(1) |    |      | 23 |      |     |     | (57 | ) |      |      | (251 | )
|                               |         |                                     |    |      |    |      |     |     |     |   |      |     






|    |                                                                                                             
|--- | ------------------------------------------------------------------------------------------------------------
|(1) | In 2001, included EUR 22 million
    reported in the cumulative effect of change in accounting
    principle

At December 31, 2001 tax profit resulting
from loss carry forward of EUR 180 million represent
the most significant portion of the net income tax benefit.

F-27



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

The deferred tax assets and liabilities on the
consolidated balance sheets reflect timing differences between
the carrying amount of assets and liabilities for financial
reporting and income tax purposes. Significant components of the
Groups deferred tax assets and liabilities are as follows:

|                       |                                                                   |                    |  |      |  |  |  |     |    
|---------------------- | ----------------------------------------------------------------- | ------------------ |  | ---- |  |  |  | --- | ---
|                       |                                                                   |                   
|                       |                                                                   | As of December 31,
|                       |                                                                   |                   
|                       |                                                                   | 2000               |  | 2001
|                       |                                                                   |                    |  |     
|                       |                                                                   |                   
|                       |                                                                   | (EUR, in millions)
|Deferred tax liability |                                                                   |                    |  |      |  |  |  |    
|                       | Deferred policy acquisition costs                                 |                    |  | 61   |  |  |  | 80  |    
|                       | Value of business acquired                                        |                    |  | 56   |  |  |  |    |    
|                       | Unrealized appreciation and timing differences on
    investments |                    |  |     |  |  |  | 5   |    
|                       | Equalization reserves                                             |                    |  | 31   |  |  |  | 24  |    
|                       | Catastrophe reserves                                              |                    |  | 7    |  |  |  | 6   |    
|                       | Amortization of goodwill                                          |                    |  | 10   |  |  |  | 11  |    
|                       | Ceding commission acquisition Allstate                            |                    |  | 15   |  |  |  | 15  |    
|                       | Other                                                             |                    |  | 2    |  |  |  | 26  |    
|                       |                                                                   |                    |  |      |  |  |  |    
|                       | Total deferred tax liability                                      |                    |  | 182  |  |  |  | 167 |    
|                       |                                                                   |                    |  |      |  |  |  |    
|Deferred tax asset     |                                                                   |                    |  |      |  |  |  |    
|                       | Unrealized depreciation and timing differences of
    investments |                    |  | 29   |  |  |  | 31  |    
|                       | Retirement plan                                                   |                    |  | 2    |  |  |  | 1   |    
|                       | Loss carryforward                                                 |                    |  | 45   |  |  |  | 291 | (1)
|                       | Handling claims reserves                                          |                    |  | 3    |  |  |  | 3   |    
|                       | Loss reserves                                                     |                    |  | 78   |  |  |  | 88  |    
|                       | Unearned premium                                                  |                    |  | 18   |  |  |  | 37  |    
|                       | Cancellation of internal realized gains on sale
    of assets     |                    |  | 7    |  |  |  | 7   |    
|                       | Portfolio transfer adjustment                                     |                    |  | 46   |  |  |  | 43  |    
|                       | Other (including temporary differences)                           |                    |  |     |  |  |  | 2   |    
|                       |                                                                   |                    |  |      |  |  |  |    
|                       | Total deferred tax asset                                          |                    |  | 228  |  |  |  | 503 |    
|                       |                                                                   |                    |  |      |  |  |  |    
|                       | Net deferred tax asset (liability)                                |                    |  | 46   |  |  |  | 336 |    
|                       |                                                                   |                    |  |      |  |  |  |    






|    |                                                                                                                                     
|--- | ------------------------------------------------------------------------------------------------------------------------------------
|(1) | These tax losses carried forward will expire:
    8 in 2004, 8 in 2005, 176 in 2006, 88 in 2020 and
    11 unlimitedly respectively.

SFAS 109 requires the establishment of a
valuation allowance for deferred income tax benefits if, based
on the weight of available evidence, it is more likely than not
that some portion of all the deferred or all of the deferred tax
assets will not be realized. Management believes, based on the
Groups historical record of generating taxable income and
its expectations of future earnings, that the Groups
taxable income in future years will be sufficient to realize the
deferred tax benefits, which are reflected on its consolidated
balance sheet as of December 31, 2001.

As December 31, 2001, we have EUR
336 million of deferred tax assets related principally to
domestic and US domiciled loss carry forwards, for which no
valuation allowance has been recorded. The realization of these
assets is based upon estimates of future taxable income. In
preparing estimates of future taxable income, we have used the
same assumptions and projections utilized in our internal
forecasts. Based on these projections, we estimate that the loss
carry forwards will be fully utilized prior the expiration of
the loss carry forwards. Estimates of future earnings are based
on an increase in reinsurance rates, and the absence of major
catastrophes like those hitting us in 2001. Should the pretax
book income and taxable income instead remain at 2001 levels due
to an occurrence of other catastrophes, a valuation allowance
would be required. In addition, management believes certain tax
planning strategies exist, including its ability to alter the
mix of its

F-28



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

investment portfolio to taxable investments from
tax-exempt investments, which could be implemented if necessary
to ensure sufficient taxable income to realize fully its
deferred income tax benefits.

A reconciliation of income tax expense computed
by applying the French income tax rate of 36.43% in 2001, 37.73%
in 2000 and 40% in 1999 to income from operations before income
taxes is as follows:

|                                             |                                  |                         |     |      |  |      |     |     |   |  |      |      |  
|-------------------------------------------- | -------------------------------- | ----------------------- | --- | ---- |  | ---- | --- | --- | - |  | ---- | ---- | -
|                                             |                                  |                        
|                                             |                                  | Year ended December 31,
|                                             |                                  |                        
|                                             |                                  | 1999                    |     | 2000 |  | 2001
|                                             |                                  |                         |     |      |  |     
|                                             |                                  |                        
|                                             |                                  | (EUR, in millions)     
|Computed tax expense at statutory rate       |                                  |                         | 36  |      |  |      | 7   |     |   |  | (226 | )   
|Losses carried forward                       |                                  |                         | (7  | )    |  |      | 4   |     |   |  | 31   |     
|Tax exempt revenues and expenses             |                                  |                         | (13 | )    |  |      | (13 | )   |   |  | (22  | )   
|Changes from statutory tax rate              |                                  |                         | 6   |      |  |      | (44 | )   |   |  | (11  | )   
|Goodwill and other consolidation adjustments |                                  |                         | 4   |      |  |      | (14 | )   |   |  | (23  | )   
|Others, net                                  |                                  |                         | (3  | )    |  |      | 3   |     |   |  |     |     
|                                             |                                  |                         |     |      |  |      |     |     |   |  |      |     
|                                             | Total provision for income taxes |                         |     | 23   |  |      |     | (57 | ) |  |      | (251 | )
|                                             |                                  |                         |     |      |  |      |     |     |   |  |      |     

As of December 31, 2001, the Company had an
agreement with the French tax authorities regarding adjustments
notified to the Groups French reinsurance companies for
tax years 1995 and 1994. Its consolidated financial statements
include a provision corresponding to the estimated total
ultimately due.

Note 8. Employee Benefits

Pension plans

The Group contributes to retirement plans for its
personnel in accordance with the laws and customs of each
country. Certain countries, including France, pay earnings-based
insurance contributions to cover pension liabilities and have no
obligation beyond such contributions. The amount charged to
expense related to these plans was immaterial in 2001, 2000 and
1999.

In countries where company-sponsored employee
retirement plans exist, primarily the United States, provision
is made in the consolidated financial statements in respect of
Group employees based on actuarial calculations. Some of the
Groups subsidiaries have qualified defined benefit pension
plans. Benefits under such plans are based on an employees
years of service and compensation.

Defined benefits retirement
plan

In 1997, the Company established a defined
benefit retirement plan for certain of its key employees. The
plan is noncontributory and provides pension benefits for
eligible employees computed on the basis of the average earnings
during the five last years of service. The Company elected to
accrue for the total amount of the unrecognized portion of net
obligation in the year the plan was established.

F-29



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

The following table sets forth the key components
of the pension plan as of December 31, 2001:

|                                       |  |                    |      |      |  |      |      |  |  |  |      | 
|-------------------------------------- |  | ------------------ | ---- | ---- |  | ---- | ---- |  |  |  | ---- | 
|                                       |  |                   
|                                       |  | As of December 31,
|                                       |  |                   
|                                       |  | 1999               |      | 2000 |  | 2001
|                                       |  |                    |      |      |  |     
|                                       |  |                   
|                                       |  | (EUR, in millions)
|Funded Status                          |  |                    |      |      |  |      |      |  |  |  |      | 
|Projected benefit obligation           |  |                    | 8.1  |      |  |      | 8.9  |  |  |  | 8.9  | 
|Accumulated benefit obligation         |  |                    | 4.5  |      |  |      | 5.6  |  |  |  | 5.6  | 
|Plan assets at fair value              |  |                    | 1.6  |      |  |      | 5.6  |  |  |  | 5.6  | 
|Service cost                           |  |                    | 0.0  |      |  |      | 1.1  |  |  |  | 0.0  | 
|Assumptions                            |  |                    |      |      |  |      |      |  |  |  |      | 
|Discount rate                          |  |                    | 3.0% |      |  |      | 3.0% |  |  |  | 3.0% | 
|Rate of increase in compensation       |  |                    | 3.5% |      |  |      | 3.5% |  |  |  | 3.5% | 
|Expected rate of return on plan assets |  |                    | 3.0% |      |  |      | 3.0% |  |  |  | 3.0% | 

Savings plans

Substantially all employees of the French
companies of the Group are eligible to participate in the
corporate and statutory profit-sharing plans. Under these plans,
the benefits to the employees, calculated based on the net
profits for the period and not distributable to the employee for
five years, may be contributed to a company savings plan. The
Company matches partially the contribution to the savings plan,
for a total of EUR 2 million in 2001 and EUR 1 million
in 2000 and 1999.

Funds placed in the Company savings plan are
invested in highly liquid short-term investments, debt or equity
securities or in shares of SCOR, at the option of the employee.
The Company savings plan is managed by a financial institution.

Assets held by the Company savings plan are as
follows:

|                                                               |  |                    |    |      |  |      |    |  |  |  |    | 
|-------------------------------------------------------------- |  | ------------------ | -- | ---- |  | ---- | -- |  |  |  | -- | 
|                                                               |  |                   
|                                                               |  | As of December 31,
|                                                               |  |                   
|                                                               |  | 1999               |    | 2000 |  | 2001
|                                                               |  |                    |    |      |  |     
|                                                               |  |                   
|                                                               |  | (EUR, in millions)
|Assets held in short-term investments and fixed
    maturities |  |                    | 7  |      |  |      | 7  |  |  |  | 7  | 
|Assets held in French stocks                                   |  |                    | 2  |      |  |      | 2  |  |  |  | 3  | 
|Assets held in Ordinary Shares of SCOR                         |  |                    | 11 |      |  |      | 13 |  |  |  | 11 | 

Note 9.     Share
Capital and Earnings per Share

At December 31, 2001 and 2000, the number of
outstanding shares equaled 41,244,216 and 34,793,846
respectively. At December 31, 2001 and 2000, SCOR held
3,630,417 and 3,403,916 of its own Ordinary Shares, as treasury
stock.

During 2001, 2000 and 1999, and for the year
ended December 31, 2000, 1999 and 1998, respectively,
dividends totaling EUR 52 million, EUR 53 million and
EUR 55 million, respectively were payable.

In accordance with French laws, dividends must be
declared in euro and may only be declared on the parent
companys net income for the year and on the parent
companys retained earnings available for distribution
calculated in accordance with French accounting principles. As
of December 31, 2001, there was no amount available for
distribution. A distribution of a dividend of
 0.30 per
share drawn from the special long-term unrealized capital gains
reserve will be submitted to the April 10, 2002
shareholders meeting. This purely accounting procedure
will entail no additional advance income tax charge

F-30



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

The following is the reconciliation of the
numerator and denominator of the basic earnings per share
computation to the numerator and denominator of the diluted
earnings per share computation for the years ended
December 31, 1999, 2000 and 2001, respectively:

|                              |                                                                     |                              |    |               |  |           |  |        |  |  |  |      | 
|----------------------------- | ------------------------------------------------------------------- | ---------------------------- | -- | ------------- |  | --------- |  | ------ |  |  |  | ---- | 
|                              |                                                                     |                             
|                              |                                                                     | Year ended December 31, 1999
|                              |                                                                     |                             
|                              |                                                                     | Income                       |    | Shares        |  | Per-Share
|                              |                                                                     | (Numerator)                  |    | (Denominator) |  | Amount   
|                              |                                                                     |                              |    |               |  |          
|                              |                                                                     | (EUR, in millions)           |    | (Thousands)   |  | (EUR)    
|Net Income                    |                                                                     |                              | 89 |               |  |           |  |        |  |  |  |     
|                              |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|Basic Earnings Per Share      |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|                              | Income available to Ordinary Shareholders                           |                              |    | 89            |  |           |  | 32,977 |  |  |  | 2.70 | 
|                              |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|Effect of dilutive securities |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|                              | Stock options                                                       |                              |    |              |  |           |  | 594    |  |  |  |      | 
|                              | Convertible bonds                                                   |                              |    | 3             |  |           |  | 2,040  |  |  |  |      | 
|                              |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|Diluted Earnings Per Share    |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|                              | Income available to Ordinary Shareholders +
    assumed conversions |                              |    | 92            |  |           |  | 35,611 |  |  |  | 2.58 | 
|                              |                                                                     |                              |    |               |  |           |  |        |  |  |  |     

|                              |                                                                     |                              |    |               |  |           |  |        |  |  |  |      | 
|----------------------------- | ------------------------------------------------------------------- | ---------------------------- | -- | ------------- |  | --------- |  | ------ |  |  |  | ---- | 
|                              |                                                                     |                             
|                              |                                                                     | Year ended December 31, 2000
|                              |                                                                     |                             
|                              |                                                                     | Income                       |    | Shares        |  | Per-Share
|                              |                                                                     | (Numerator)                  |    | (Denominator) |  | Amount   
|                              |                                                                     |                              |    |               |  |          
|                              |                                                                     | (EUR, in millions)           |    | (Thousands)   |  | (EUR)    
|Net Income                    |                                                                     |                              | 77 |               |  |           |  |        |  |  |  |     
|                              |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|Basic Earnings Per Share      |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|                              | Income available to Ordinary Shareholders                           |                              |    | 77            |  |           |  | 31,551 |  |  |  | 2.43 | 
|                              |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|Effect of dilutive securities |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|                              | Stock options                                                       |                              |    |              |  |           |  | 464    |  |  |  |      | 
|                              | Convertible bonds                                                   |                              |    | 5             |  |           |  | 4,025  |  |  |  |      | 
|                              |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|Diluted Earnings Per Share    |                                                                     |                              |    |               |  |           |  |        |  |  |  |     
|                              | Income available to Ordinary Shareholders +
    assumed conversions |                              |    | 82            |  |           |  | 36,040 |  |  |  | 2.27 | 
|                              |                                                                     |                              |    |               |  |           |  |        |  |  |  |     

Options to purchase Ordinary Shares at
EUR 56.25 per share were granted in 1999. 450,000 such
options at December 31, 2000, and 493,000 at
December 31, 1999 were outstanding but were not included in
the computation of diluted earnings per share because the
options exercise price was greater than the average market
price of the Ordinary Shares.

F-31



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

|                              |                                                                            |                              |      |               |   |           |  |        |  |  |  |        |  
|----------------------------- | -------------------------------------------------------------------------- | ---------------------------- | ---- | ------------- | - | --------- |  | ------ |  |  |  | ------ | -
|                              |                                                                            |                             
|                              |                                                                            | Year ended December 31, 2001
|                              |                                                                            |                             
|                              |                                                                            | Income                       |      | Shares        |   | Per-Share
|                              |                                                                            | (Numerator)                  |      | (Denominator) |   | Amount   
|                              |                                                                            |                              |      |               |   |          
|                              |                                                                            | (EUR, in millions)           |      | (Thousands)   |   | (EUR)    
|Net Income (loss)             |                                                                            |                              | (365 | )             |   |           |  |        |  |  |  |       
|                              |                                                                            |                              |      |               |   |           |  |        |  |  |  |       
|Basic Earnings Per Share      |                                                                            |                              |      |               |   |           |  |        |  |  |  |       
|                              | Income (loss) available to Ordinary Shareholders                           |                              |      | (365          | ) |           |  | 33,971 |  |  |  | (10.74 | )
|                              |                                                                            |                              |      |               |   |           |  |        |  |  |  |       
|Effect of dilutive securities |                                                                            |                              |      |               |   |           |  |        |  |  |  |       
|                              | Stock options                                                              |                              |      |              |   |           |  | 292    |  |  |  |        |  
|                              | Convertible bonds                                                          |                              |      | 5             |   |           |  | 4,025  |  |  |  |        |  
|                              |                                                                            |                              |      |               |   |           |  |        |  |  |  |       
|Diluted Earnings Per Share    |                                                                            |                              |      |               |   |           |  |        |  |  |  |       
|                              | Income (loss) available to Ordinary
    Shareholders + assumed conversions |                              |      | (360          | ) |           |  | 38,288 |  |  |  | (9.40  | )
|                              |                                                                            |                              |      |               |   |           |  |        |  |  |  |       

Options to purchase Ordinary Shares at EUR 37.2,
EUR 56.25, EUR 46.00, EUR 48.00, and EUR 45.00 per share
were granted in 1997, in 1998, in 1999 in 2000 and in 2001.
2.074.950 such options at December 31, 2001 were
outstanding but were not included in the computation of diluted
earnings per share because the options exercise price was
greater than the average market price of the Ordinary Shares.

Note 10.     Stock
Option Plans

SCOR issues to its employees options to purchase
Ordinary Shares of the Company under a number of plans. In all
cases, the exercise price of options granted reflects the market
value of SCORs share at the grant date, resulting in no
compensation expense being recorded.

Under the terms of the plans adopted until 1996,
options vest at the rate of 30% at the end of each the first and
the second year and 40% at the end of the third year of
continued employment. Effective 1997, plans provide for cliff
vesting on the fifth or the fourth anniversary of the grant
date. 80,000 options in 2001, 164,940 options in 2000 and
272,172 options in 1999 were exercised at an aggregate price of
EUR 2 million, EUR 3 million and EUR 5 million,
respectively. At December 31, 2001, 498,128 options were
exercisable.

The following table summarizes the changes in
options on Ordinary Shares:

|                                 |                   |      |           |          |   |      |           |          |   |  |           |          |  
|-------------------------------- | ----------------- | ---- | --------- | -------- | - | ---- | --------- | -------- | - |  | --------- | -------- | -
|                                 |                   | 1999 |           | 2000     |   | 2001
|                                 |                   |      |           |          |   |     
|Outstanding at beginning of year |                   |      | 1,988,340 |          |   |      | 2,196,068 |          |   |  | 2,425,128 |         
|                                 | Options granted   |      |           | 498,500  |   |      |           | 518,100  |   |  |           | 826,000  |  
|                                 | Options exercised |      |           | (272,172 | ) |      |           | (164,940 | ) |  |           | (80,000  | )
|                                 | Options forfeited |      |           | (18,600  | ) |      |           | (124,100 | ) |  |           | (105,900 | )
|                                 |                   |      |           |          |   |      |           |          |   |  |           |         
|Outstanding at end of year       |                   |      | 2,196,068 |          |   |      | 2,425,128 |          |   |  | 3,065,228 |         
|                                 |                   |      |           |          |   |      |           |          |   |  |           |         

F-32



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Stocks options issued to employees under the
various stock options plans and still outstanding at
December 31, 2001 are as follows:

|                         |                  |                     |  |                     |           |                |  |             |           |                |  |  |       |     |  |  |         |  |  |  |       |    
|------------------------ | ---------------- | ------------------- |  | ------------------- | --------- | -------------- |  | ----------- | --------- | -------------- |  |  | ----- | --- |  |  | ------- |  |  |  | ----- | ---
|                         |                  |                     |  |                    
|                         |                  | Options Outstanding |  | Options Exercisable
|                         |                  |                     |  |                    
|                         |                  |                     |  | Weighted-           |           |                |  |            
|                         |                  |                     |  | Average             |           | Weighted-      |  |             |           | Weighted-     
|                         |                  | Number              |  | Remaining           |           | Average        |  | Number      |           | Average       
|Range of Exercise Prices |                  | Outstanding         |  | Contractual Life    |           | Exercise Price |  | Exercisable |           | Exercise Price
|                         |                  |                     |  |                     |           |                |  |             |           |               
|(EUR)                    |                  |                     |  |                     |           | (EUR)          |  |             |           | (EUR)         
|                         | 11.81(1)to 17.38 |                     |  |                     | 176,758   | (1)            |  |             | 2.9 years |                |  |  | 16.55 | (1) |  |  | 176,758 |  |  |  | 16.55 | (1)
|                         | 28.97  to 37.20  |                     |  |                     | 984,070   |                |  |             | 6.4       |                |  |  | 33.65 |     |  |  | 321,370 |  |  |  | 28.97 |    
|                         | 45.00  to 46.00  |                     |  |                     | 813,000   |                |  |             | 8.1       |                |  |  | 45.53 |     |  |  |        |  |  |  |      |    
|                         | 48.00  to 56.25  |                     |  |                     | 1,091,400 |                |  |             | 8.4       |                |  |  | 51.27 |     |  |  |        |  |  |  |      |    
|                         |                  |                     |  |                     |           |                |  |             |           |                |  |  |       |     |  |  |         |  |  |  |       |    
|                         | 11.81(1)to 56.25 |                     |  |                     | 3,065,228 | (1)            |  |             | 7.4 years |                |  |  | 32.48 | (1) |  |  | 498,128 |  |  |  | 27.78 | (1)
|                         |                  |                     |  |                     |           |                |  |             |           |                |  |  |       |     |  |  |         |  |  |  |       |    






|    |                                                          
|--- | ---------------------------------------------------------
|(1) | Restated to reflect the 1994 four-for-one stock
    split

As discussed in Note 1, the Company has
elected to follow APB 25 and related Interpretations in
accounting for its employees stock options because, as discussed
below, the alternative fair value accounting provided for under
SFAS 123 requires the use of option valuation models that
were not developed for use in valuing employee stock options.
Under APB 25, when the exercise price of the Companys
employee stock options is lower than the market price of the
underlying stock on the date of grant, a compensation expense is
recognized.

Pro forma information regarding net income and
earnings per share is required by SFAS 123, and has been
determined as if the Company had accounted for its employee
stock options under the fair value method of that Statement. The
fair value method was estimated at the date of grant using a
Black-Scholes option pricing model with the following weighted
average assumptions for October 2001, September 2001, August
2000, May 2000, and 1999, respectively: risk-free interest rates
of 4.01%, 4.45%, 5.32%, 5.29% and 4.47%; expected dividend
yields of 5.00%, 3.54%, 3.78%, 3.54% and 3.54%; volatility
factors of the expected market price of the Companys
Ordinary Shares of 0.412, 0.277, 0.422, 0.403 and 0.454; and a
weighted-average expected life of the option of 5 years.

The Black-Scholes option valuation model was
developed for use in estimating the fair value of traded
options, which have no vesting restrictions and are fully
transferable. In addition, option valuation models require the
input of highly subjective assumptions including the expected
stock price volatility. Because the Companys employee
stock options have characteristics significantly different from
those of traded options, and because changes in the subjective
input assumptions can materially affect the fair value estimate,
in managements opinion, the existing models do not
necessarily provide a reliable measure of the fair value of its
employee stock options.

For purposes of pro forma disclosures, the
estimated fair value of the options is recognized to expense
according to the options graded vesting schedule of 30% at
the end of each the first and the second year and 40% at the end
of the third year of continued employment, for plans prior to
December 31, 1996. For plans established after that date,
the estimated fair value of the options is recognized to expense
over the vesting period of five or four years. An adjustment to
eliminate compensation cost previously recognized for options
that were subsequently forfeited is recognized when the
forfeiture occurs. Had compensation expense for SCORs
stock option plans been recognized in accordance with
SFAS 123, SCORs net income, basic earnings per share
and diluted earnings per share would have been EUR 
372 million or EUR  10.94 and EUR 
9.58 per share, respectively, for the year ended
December 31, 2001, EUR 71 million or EUR 2.26 and EUR
2.14 per share, respectively, for the year ended
December 31,2000 and EUR 84 million or EUR 2.54 and
EUR 2.45 per share, respectively, for the year ended
December 31, 1999.

F-33



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Note 11.     Catastrophe
Reserve

Management has allocated a portion of SCOR
Groups consolidated retained earnings to a catastrophe
reserve that is not available for dividend distribution. This
reserve is intended to represent an allocation of funds for
settlement of claims related to future catastrophic disasters.

Note 12.     Financial
Instruments

Concentration of credit risk

Credit risk arises from the possible inability of
counter parties to meet the terms of their contracts and from
changes in security values, interest rates, and currency rates.
In the event counter parties are unable to fulfill their
contractual obligations, future losses due to defaults may
exceed amounts currently being recognized in the balance sheet
up to a maximum of the notional principal amounts of the
instruments. Counter parties to the financial instruments are,
in decreasing order of magnitude, foreign and domestic
commercial banks, U.S. Government-chartered organizations,
sovereigns and corporations. In selecting its counter parties,
the Group carefully assesses their creditworthiness by
evaluating credit exposure and referring to the ratings of
widely accepted credit rating services. With certain counter
parties, the Group receives cash and/or investment grade
securities as collateral to mitigate its credit exposure.

At December 31, 2001, the Group did not have
a material concentration of financial instruments in any single
investee, industry or geographic location. Almost all of the
Groups investment in fixed maturities are investment grade
securities.

The Groups client base and the geographic
diversity thereof limit the concentration of credit risk on
amounts due from clients. At December 31, 2001, the Group
had no significant concentrations of credit risk by geographic
area.

Fair value of financial
instruments

The following methods and assumptions were used
by the Group to estimate the fair value disclosures for its
assets and liabilities as of December 31, 2001 and 2000:

Fixed maturities and equity
securities

Fair values are based on quoted market prices or
dealer quotes. If quoted market prices are not available, fair
value is estimated using quoted market prices for similar
securities.

Cash and short-term investments

The purchase cost is a reasonable estimate of
fair value.

Long-term debt

Fair value is based on the discounted amount of
future cash flows using the Groups current estimated
borrowing rate for a similar liability. To the extent that
borrowings carry a variable rate of interest, book value
approximates fair value.

Commercial paper and note payable

The carrying value is a reasonable estimate of
fair value due to the short-term variable rate nature of this
liability. Furthermore, fair value of hedged commercial paper
and note payable is based on the discounted amount of future
cash flows.

F-34



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Interest rate swaps

Fair value is based on the discounted amount of
future cash flows using the appropriate market rate.

Forward rate agreement

Fair value is based on the difference between the
exchange rate of the forward contract and the spot rate for a
similar contract on the market.

The estimated fair values of the Groups
financial instruments are as follows:

|            |                                       |                    |  |                   |  |          |  |            |  |  |  |       |  |  |  |       | 
|----------- | ------------------------------------- | ------------------ |  | ----------------- |  | -------- |  | ---------- |  |  |  | ----- |  |  |  | ----- | 
|            |                                       |                    |  |                  
|            |                                       | As of              |  | As of            
|            |                                       | December 31, 2000  |  | December 31, 2001
|            |                                       |                    |  |                  
|            |                                       | Carrying           |  |                   |  | Carrying |  |           
|            |                                       | amount             |  | Fair value        |  | amount   |  | Fair value
|            |                                       |                    |  |                   |  |          |  |           
|            |                                       |                   
|            |                                       | (EUR, in millions)
|Assets      |                                       |                    |  |                   |  |          |  |            |  |  |  |       |  |  |  |      
|            | Fixed maturities at fair value        |                    |  | 5,563             |  |          |  | 5,563      |  |  |  | 5,582 |  |  |  | 5,582 | 
|            | Held to maturity at amortized cost    |                    |  |                  |  |          |  |           |  |  |  |      |  |  |  |      | 
|            | Equity securities, available for sale |                    |  | 757               |  |          |  | 757        |  |  |  | 646   |  |  |  | 646   | 
|            | Trading equity securities             |                    |  | 200               |  |          |  | 200        |  |  |  | 56    |  |  |  | 56    | 
|            | Short-term investments                |                    |  | 301               |  |          |  | 301        |  |  |  | 448   |  |  |  | 448   | 
|            | Cash                                  |                    |  | 247               |  |          |  | 247        |  |  |  | 1,927 |  |  |  | 1,927 | 
|            | Derivative instruments                |                    |  |                  |  |          |  |           |  |  |  | 21    |  |  |  | 21    | 
|Liabilities |                                       |                    |  |                   |  |          |  |            |  |  |  |       |  |  |  |      
|            | Convertible subordinated debentures   |                    |  | 241               |  |          |  | 258        |  |  |  | 247   |  |  |  | 238   | 
|            | Notes payable                         |                    |  | 57                |  |          |  | 57         |  |  |  | 57    |  |  |  | 57    | 
|            | Commercial paper                      |                    |  | 43                |  |          |  | 43         |  |  |  | 306   |  |  |  | 306   | 
|            | Derivative instruments                |                    |  |                  |  |          |  |           |  |  |  | 24    |  |  |  | 24    | 

Note 13.     Derivative
instruments

SCOR is exposed to market risk from changes in
foreign currency exchange rates, interest rates and equity
security prices that have an adverse effect on the fair value of
financial instruments and derivative financial instruments. SCOR
manages its market risks, as well as risk exposure relating to
non-financial assets, liabilities and transactions by defining
centralized investment policy guidelines, using derivatives to
protect its investment portfolio or rebalancing its existing
asset and liability portfolio.

The Group takes advantage of a variety of
derivative instruments to reduce this exposure to market risk
and in conjunction with its foreign currency asset/ liability
management. Derivatives used by the Group include interest rate
swaps, interest rate floors, indexed options, warrants, equity
options, currency swaps, currency forward purchases and sales.
Weather derivatives and credit derivatives, used or issued by
the Group are not considered derivative instruments under the
definition of SFAS 133.

Subsequent to the adoption of SFAS 133
Accounting for derivative instruments and hedging
activities, the Groups derivative instruments are
accounted for on a fair value basis, and reported as
investments, derivative assets or derivative liabilities. When
certain conditions are met, a derivative may be specifically
designated as a hedge and accounted for as fair value, cash flow
or foreign currency hedge, for all or a specific portion of the
identified hedged risk. The Group did not designate any cash
flow hedge. The related transition adjustment resulted in a gain
of EUR 2 million reported in Cumulative effect of
change in accounting principle (EUR 1 million net of
taxes).

F-35



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Fair Value Hedges:

SCOR actively draws on its fixed rates available
lines of commercial paper and medium-term negotiable notes in
order to maintain the adequate level of cash needed in its
regular reinsurance and investing transactions. Most of the time
amounts drawn significantly exceed those requirements and the
bulk of available funds is then invested in short-term
investments. Groups fixed-rate commercial paper and notes
payable are generally swapped to floating rates under terms that
match those of the debt instruments. Existing spread in the debt
pay fixed and the swap receive fixed results in a pay floating
rate that is generally lower than EONIA (Euro Overnight Index
Average) rates earned on the pool of available funds.

Several pay variable  receive fixed
interest rate swaps were designated as fair value hedges to
interest rate risk of fixed-rate notes payable and commercial
paper debt. Conditions that allowed these designations are met
therefore those hedged items are accounted for at fair value.
The change of fair value in those derivatives together with the
change in fair value of the hedged items are reported in the
statement of income.

The loss of the hedges ineffectiveness of
EUR 486,809 was recognized in net investment income in 2001.

Foreign Currency Hedges:

The Group attempts to match its assets and
liabilities on a currency-by-currency basis in each currency for
which an organized financial or foreign exchange market is
available, primarily by investing in assets that are denominated
in the currency of the Groups corresponding reinsurance
liabilities. Management adjusts open positions in specific
currencies, generally on a quarterly basis, to manage any excess
or deficit of assets compared to liabilities in a particular
currency. Total currency exposure (other than with respect to
the euro) is limited to the excess (or deficiency) of assets
over liabilities in each currency.

The U.S. dollar represents the most
significant portion of those reserves not denominated in
currencies of the European Economic and Monetary Union. In
addition, acquisitions the Group entered into in 2000 and 2001
were denominated in U.S. dollar. SCOR arranged two foreign
exchange hedges in the first half of 2001. The first concerned
the forward purchase of USD 315 million to cover
excess book liabilities in this currency. The second involved a
matching forward sale of US dollars for the same amount, in
order to hedge the value of equity investments in that currency.
The two hedging transactions were repeated on January 3,
2002 for a total of USD 450 million.

Those derivatives are carried at fair value and
classified as derivative assets and derivative liabilities. The
net gain included in the cumulative translation adjustment of
the equity was EUR 18 million in 2001.

SCOR has also designated a non-derivative
instrument as hedging the foreign currency exchange risk of
certain of its subsidiaries. The net gain included in the
cumulative translation adjustment of the equity was
EUR 17 million in 2001.

Non-hedge instruments:



|  |                                                                          
|- | -------------------------------------------------------------------------
| | Derivatives used in conjunction with the
    Groups investment strategy:

To a lesser extend, the Group uses indexed
options as well as pay variable  receive variable
structured on different maturities interest rate swaps to manage
volatility on the bond portfolio.

The Group also uses a limited volume of warrants,
equity options, equity index instruments in accordance with its
selective equity investment policy to provide higher returns on
selected equity lines. Sales of call options are used by the
Group to mitigate the effect of possible decline in value of
identified equities.

Those derivatives are carried at fair value and
classified as investments or derivative on the balance sheets.

F-36



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



|  |                                     
|- | ------------------------------------
| | Other derivatives used by the Group:

The Group entered into specific interest rate
floor agreements in conjunction with Property-Casualty or Life
reinsurance transactions, in order to mitigate the effect of
change in interest rates on the return of specific contracts.
Those derivatives are carried at fair value and classified as
derivative on the balance sheets. Some particular alternative
reinsurance transactions were also based on indexed options.

Certain Life reinsurance annuity-based contracts
underwritten by SCOR Life Re include specified market index
return. Matching investments are structured on similar index put
and call options that replicate the fluctuation of those indexes.

Other interest rate swaps use by the Group are
carried at fair value and classified as derivative on the
balance sheets for EUR 1 million in assets and EUR 6
million in liabilities.

Note 14.     Commitments

We enter into off-balance-sheet arrangements in
the ordinary course of business both on our own behalf and on
behalf of our customers. Off-balance-sheet arrangements we enter
into for our own behalf generally consist of OTC and other
derivative instruments, and are described in Note 13.

Off-balance-sheet arrangements we enter into for
our clients consist of letter of credit (LOC) transactions where
we provide LOC coverage for all or part of our reinsurance
obligations to ceding companies, or where similar coverage is
provided to us by our retrocessionaires. These transactions are
entered into in the ordinary course to comply with ceding
companies credit or regulatory requirements. We also
pledge enter some securities as collateral in order to guarantee
the payment of cedents reserves. The following table sets
forth our off-balance-sheet engagements at December 31,
1999, 2000 and 2001:

|                     |                           |                         |  |      |       |      |  |       |       |  |  |       |       | 
|-------------------- | ------------------------- | ----------------------- |  | ---- | ----- | ---- |  | ----- | ----- |  |  | ----- | ----- | 
|                     |                           |                        
|                     |                           | Year ended December 31,
|                     |                           |                        
|                     |                           | 1999                    |  | 2000 |       | 2001
|                     |                           |                         |  |      |       |     
|                     |                           |                        
|                     |                           | (EUR, in millions)     
|Commitments received |                           |                         |  |      |       |      |  |       |       |  |  |      
|                     | Unused credit lines       |                         |  | 671  |       |      |  | 671   |       |  |  | 640   |      
|                     | Endorsements and sureties |                         |  |     |       |      |  |      |       |  |  | 2     |      
|                     | Letters of Credit         |                         |  | 57   |       |      |  | 250   |       |  |  | 78    |      
|                     |                           |                         |  |      |       |      |  |       |       |  |  |      
|                     |                           | Total                   |  |      | 728   |      |  |       | 921   |  |  |       | 720   | 
|                     |                           |                         |  |      |       |      |  |       |       |  |  |      
|Commitments given    |                           |                         |  |      |       |      |  |       |       |  |  |      
|                     | Endorsements and sureties |                         |  |     |       |      |  | 5     |       |  |  | 2     |      
|                     | Finance leases            |                         |  | 34   |       |      |  | 33    |       |  |  | 5     |      
|                     | Letters of Credit         |                         |  | 634  |       |      |  | 1,012 |       |  |  | 1,459 |      
|                     | Repos and equivalents     |                         |  | 5    |       |      |  |      |       |  |  |      |      
|                     | Collateralized securities |                         |  | 529  |       |      |  | 629   |       |  |  | 795   |      
|                     | Other commitments         |                         |  | 11   |       |      |  | 20    |       |  |  | 27    |      
|                     |                           |                         |  |      |       |      |  |       |       |  |  |      
|                     |                           | Total                   |  |      | 1,213 |      |  |       | 1,699 |  |  |       | 2,288 | 
|                     |                           |                         |  |      |       |      |  |       |       |  |  |      

We are not aware of factors relating to the
foregoing off-balance-sheet arrangements that are reasonably
likely to adversely affect liquidity trends or the availability
of or requirements for capital resources. As of
December 31, 2001, there were no material additional
financial commitments required from Group companies in respect
of such arrangements.

F-37



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Note 15.     Lines
of Business and Geographic Information

SCOR, acting through the Companys three
treaty Property-Casualty, Life/ Accident & Health, and
Specialty Property-Casualty operating divisions, its ten
subsidiary companies and their twenty-two branches and
representative offices, provides treaty and facultative
reinsurance on a worldwide basis to Property-Casualty and Life
insurers.

The Group organizes its operations around three
segments that correspond to the market of reinsurance.
Responsibilities and reporting within the Group is established
based on this structure, and operating results of those segments
are reviewed by the Groups Executive Committee to make
decisions about resources to be allocated to those segments and
assess their performances.

In addition to the three operating segments, the
Group includes under Others investment revenue
allocated to shareholders equity, amortization of goodwill
and investments accounted for by the equity method.

Property-Casualty treaty
reinsurance

The Property-Casualty treaty segment includes the
proportional (pro rata) and non-proportional (excess of loss and
stop loss) treaty classes of property, casualty, marine, space
and transportation, and construction. Property-Casualty also
includes direct or allocated operating expenses and net income
from Property-Casualty-related investing activities.

Life/Accident &
Health

Life/Accident & Health reinsurance
includes Life reinsurance products as well as the personal
segments of casualty reinsurance that are accident, disability,
health, unemployment and long-term care.
Life/Accident & Health reinsurance is conducted mainly
through Division SCOR Vie, which also provides support in this
segment of reinsurance to Group subsidiaries, SCOR Life U.S. Re,
SCOR Deutschland and SCOR Italy. Life/Accident & Health
also includes direct or allocated operating expenses and net
income from Life/Accident & Health-related investing
activities.

Specialty Property-Casualty
reinsurance

Specialty Property-Casualty
reinsurance includes alternative reinsurance, credit surety and
political risks, and large Property-Casualty facultative
business. Specialty Property-Casualty reinsurance
also includes direct or allocated operating expenses and net
income from Specialty Property-Casualty
reinsurance-related investing activities.

F-38



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

The following is a summary of the activity split:

|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |     |  |    |    |    |  |       |     |       | 
|----------------------------------------- | ------------------------------------------ | ---------------------------- | ----- | -------- | ----- | --------- | ----- | ------ | --- | ------------ | ----- | -- | --- |  | -- | -- | -- |  | ----- | --- | ----- | 
|                                          |                                            |                             
|                                          |                                            | Year ended December 31, 1999
|                                          |                                            |                             
|                                          |                                            | Treaty                       |       | Life/    |       | Specialty |       |       
|                                          |                                            | Property-                    |       | Accident |       | Property- |       |       
|                                          |                                            | Casualty                     |       | & Health |       | Casualty  |       | Others |     | Consolidated
|                                          |                                            |                              |       |          |       |           |       |        |     |             
|                                          |                                            |                             
|                                          |                                            | (EUR, in millions)          
|Net premiums written                      |                                            |                              | 1,185 |          |       |           | 582   |        |     |              | 690   |    |     |  |   |    |    |  | 2,457 |    
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |     |  |    |    |    |  |       |    
|Net premiums earned                       |                                            |                              | 1,197 |          |       |           | 540   |        |     |              | 625   |    |     |  |   |    |    |  | 2,362 |    
|Net investment income                     |                                            |                              | 91    |          |       |           | 42    |        |     |              | 45    |    |     |  | 58 |    |    |  | 236   |    
|Net realized gains on investments         |                                            |                              | 57    |          |       |           | 20    |        |     |              | 28    |    |     |  | 38 |    |    |  | 143   |    
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |     |  |    |    |    |  |       |    
|                                          |                                            | Total revenues               |       |          | 1,345 |           |       |        | 602 |              |       |    | 698 |  |    |    | 96 |  |       |     | 2,741 | 
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |     |  |    |    |    |  |       |    
|Claim and claim expenses                  |                                            |                              | 1,074 |          |       |           | 389   |        |     |              | 462   |    |     |  |   |    |    |  | 1,925 |    
|Acquisition costs                         |                                            |                              | 309   |          |       |           | 129   |        |     |              | 114   |    |     |  |   |    |    |  | 552   |    
|Underwriting and administration expenses  |                                            |                              | 71    |          |       |           | 35    |        |     |              | 36    |    |     |  |   |    |    |  | 142   |    
|Other income and expenses                 |                                            |                              |      |          |       |           |      |        |     |              |      |    |     |  | 31 |    |    |  | 31    |    
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |     |  |    |    |    |  |       |    
|                                          |                                            | Total expenses               |       |          | 1,454 |           |       |        | 553 |              |       |    | 612 |  |    |    | 31 |  |       |     | 2,650 | 
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |     |  |    |    |    |  |       |    
|Income accounted for by the equity method |                                            |                              |      |          |       |           |      |        |     |              |      |    |     |  | 23 |    |    |  | 23    |    
|                                          | Income before taxes and minority interests |                              |       | (109     | )     |           |       | 49     |     |              |       | 86 |     |  |    | 88 |    |  |       | 114 |      
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |     |  |    |    |    |  |       |    
|Total assets as of December 31            |                                            |                              | 6,669 |          |       |           | 1,137 |        |     |              | 1,579 |    |     |  |    |    |    |  | 9,385 |    
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |     |  |    |    |    |  |       |    

|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |       |  |     |     |     |  |        |    |       | 
|----------------------------------------- | ------------------------------------------ | ---------------------------- | ----- | -------- | ----- | --------- | ----- | ------ | --- | ------------ | ----- | -- | ----- |  | --- | --- | --- |  | ------ | -- | ----- | 
|                                          |                                            |                             
|                                          |                                            | Year ended December 31, 2000
|                                          |                                            |                             
|                                          |                                            | Treaty                       |       | Life/    |       | Specialty |       |       
|                                          |                                            | Property-                    |       | Accident |       | Property- |       |       
|                                          |                                            | Casualty                     |       | & Health |       | Casualty  |       | Others |     | Consolidated
|                                          |                                            |                              |       |          |       |           |       |        |     |             
|                                          |                                            |                             
|                                          |                                            | (EUR, in millions)          
|Net premiums written                      |                                            |                              | 1,117 |          |       |           | 768   |        |     |              | 993   |    |       |  |    |     |     |  | 2,878  |   
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |       |  |     |     |     |  |        |   
|Net premiums earned                       |                                            |                              | 1,119 |          |       |           | 685   |        |     |              | 873   |    |       |  |    |     |     |  | 2,677  |   
|Net investment income                     |                                            |                              | 91    |          |       |           | 66    |        |     |              | 54    |    |       |  | 76  |     |     |  | 287    |   
|Net realized gains on investments         |                                            |                              | 132   |          |       |           | 94    |        |     |              | 78    |    |       |  | 109 |     |     |  | 413    |   
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |       |  |     |     |     |  |        |   
|                                          |                                            | Total revenues               |       |          | 1,342 |           |       |        | 845 |              |       |    | 1,005 |  |     |     | 185 |  |        |    | 3,377 | 
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |       |  |     |     |     |  |        |   
|Claim and claim expenses                  |                                            |                              | 1,177 |          |       |           | 516   |        |     |              | 794   |    |       |  |    |     |     |  | 2,487  |   
|Acquisition costs                         |                                            |                              | 322   |          |       |           | 211   |        |     |              | 128   |    |       |  |    |     |     |  | 661    |   
|Underwriting and administration expenses  |                                            |                              | 77    |          |       |           | 39    |        |     |              | 46    |    |       |  |    |     |     |  | 162    |   
|Other income and expenses                 |                                            |                              |      |          |       |           |      |        |     |              |      |    |       |  | 49  |     |     |  | 49     |   
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |       |  |     |     |     |  |        |   
|                                          |                                            | Total expenses               |       |          | 1,576 |           |       |        | 766 |              |       |    | 968   |  |     |     | 49  |  |        |    | 3,359 | 
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |       |  |     |     |     |  |        |   
|Income accounted for by the equity method |                                            |                              |      |          |       |           |      |        |     |              |      |    |       |  | 3   |     |     |  | 3      |   
|                                          | Income before taxes and minority interests |                              |       | (234     | )     |           |       | 79     |     |              |       | 37 |       |  |     | 139 |     |  |        | 21 |      
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |       |  |     |     |     |  |        |   
|Total assets as of December 31            |                                            |                              | 5,598 |          |       |           | 3,871 |        |     |              | 3,307 |    |       |  |     |     |     |  | 12,776 |   
|                                          |                                            |                              |       |          |       |           |       |        |     |              |       |    |       |  |     |     |     |  |        |   

F-39



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

|                                          |                                            |                              |       |          |       |           |       |        |       |              |       |      |       |  |    |    |    |  |        |      |       | 
|----------------------------------------- | ------------------------------------------ | ---------------------------- | ----- | -------- | ----- | --------- | ----- | ------ | ----- | ------------ | ----- | ---- | ----- |  | -- | -- | -- |  | ------ | ---- | ----- | 
|                                          |                                            |                             
|                                          |                                            | Year ended December 31, 2001
|                                          |                                            |                             
|                                          |                                            | Treaty                       |       | Life/    |       | Specialty |       |       
|                                          |                                            | Property-                    |       | Accident |       | Property- |       |       
|                                          |                                            | Casualty                     |       | & Health |       | Casualty  |       | Others |       | Consolidated
|                                          |                                            |                              |       |          |       |           |       |        |       |             
|                                          |                                            |                             
|                                          |                                            | (EUR, in millions)          
|Net premiums written                      |                                            |                              | 1,737 |          |       |           | 896   |        |       |              | 1,087 |      |       |  |   |    |    |  | 3,720  |     
|                                          |                                            |                              |       |          |       |           |       |        |       |              |       |      |       |  |    |    |    |  |        |     
|Net premiums earned                       |                                            |                              | 1,704 |          |       |           | 852   |        |       |              | 1,097 |      |       |  |   |    |    |  | 3,653  |     
|Net investment income                     |                                            |                              | 98    |          |       |           | 91    |        |       |              | 113   |      |       |  | 45 |    |    |  | 347    |     
|Net realized gains on investments         |                                            |                              | 3     |          |       |           | 3     |        |       |              | 3     |      |       |  | 1  |    |    |  | 10     |     
|                                          |                                            |                              |       |          |       |           |       |        |       |              |       |      |       |  |    |    |    |  |        |     
|                                          |                                            | Total revenues               |       |          | 1,805 |           |       |        | 946   |              |       |      | 1,213 |  |    |    | 46 |  |        |      | 4,010 | 
|                                          |                                            |                              |       |          |       |           |       |        |       |              |       |      |       |  |    |    |    |  |        |     
|Claim and claim expenses                  |                                            |                              | 1,694 |          |       |           | 741   | (1)    |       |              | 1,193 |      |       |  |   |    |    |  | 3,628  |     
|Acquisition costs                         |                                            |                              | 448   |          |       |           | 219   |        |       |              | 181   |      |       |  |   |    |    |  | 848    |     
|Underwriting and administration expenses  |                                            |                              | 105   |          |       |           | 46    |        |       |              | 58    |      |       |  |   |    |    |  | 209    |     
|Other income and expenses                 |                                            |                              |      |          |       |           |      |        |       |              |      |      |       |  | 8  |    |    |  | 8      |     
|                                          |                                            |                              |       |          |       |           |       |        |       |              |       |      |       |  |    |    |    |  |        |     
|                                          |                                            | Total expenses               |       |          | 2,247 |           |       |        | 1,006 |              |       |      | 1,432 |  |    |    | 8  |  |        |      | 4,693 | 
|                                          |                                            |                              |       |          |       |           |       |        |       |              |       |      |       |  |    |    |    |  |        |     
|Income accounted for by the equity method |                                            |                              |      |          |       |           |      |        |       |              |      |      |       |  | 4  |    |    |  | 4      |     
|                                          | Income before taxes and minority interests |                              |       | (442     | )     |           |       | (60    | )     |              |       | (219 | )     |  |    | 42 |    |  |        | (679 | )    
|                                          |                                            |                              |       |          |       |           |       |        |       |              |       |      |       |  |    |    |    |  |        |     
|Total assets as of December 31            |                                            |                              | 7,637 |          |       |           | 4,343 |        |       |              | 4,953 |      |       |  |    |    |    |  | 16,933 |     
|                                          |                                            |                              |       |          |       |           |       |        |       |              |       |      |       |  |    |    |    |  |        |     






|    |                                                                                                                                                          
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | excluded a profit of EUR 62 million reported
    in cumulative effect of change in accounting principle (discount
    of workmens compensation reserves)

The following is a summary of the Groups
business by geographic area. Allocations by geographic area have
been made based on the location of the related subsidiary.

|                             |                                       |                    |  |        |   |         |  |       |  |              |  |       |   |  |  |     |  |  |  |        |  
|---------------------------- | ------------------------------------- | ------------------ |  | ------ | - | ------- |  | ----- |  | ------------ |  | ----- | - |  |  | --- |  |  |  | ------ | -
|                             |                                       |                    |  |        |   | North   |  |       |  |             
|                             |                                       | France             |  | Europe |   | America |  | Asia  |  | Consolidated
|                             |                                       |                    |  |        |   |         |  |       |  |             
|                             |                                       |                   
|                             |                                       | (EUR, in millions)
|Year ended December 31, 1999 |                                       |                    |  |        |   |         |  |       |  |              |  |       |   |  |  |     |  |  |  |       
|                             | Revenues                              |                    |  | 983    |   |         |  | 413   |  |              |  | 1,257 |   |  |  | 88  |  |  |  | 2,741  |  
|                             | Income before taxes                   |                    |  | 50     |   |         |  | 26    |  |              |  | 29    |   |  |  | 9   |  |  |  | 114    |  
|                             | Identifiable assets as of December 31 |                    |  | 4,737  |   |         |  | 1,514 |  |              |  | 2,854 |   |  |  | 280 |  |  |  | 9,385  |  
|Year ended December 31, 2000 |                                       |                    |  |        |   |         |  |       |  |              |  |       |   |  |  |     |  |  |  |       
|                             | Revenues                              |                    |  | 1,198  |   |         |  | 428   |  |              |  | 1,642 |   |  |  | 109 |  |  |  | 3,377  |  
|                             | Income (loss) before taxes            |                    |  | 124    |   |         |  | 13    |  |              |  | (155  | ) |  |  | 38  |  |  |  | 20     |  
|                             | Identifiable assets as of December 31 |                    |  | 5,272  |   |         |  | 1,413 |  |              |  | 5,821 |   |  |  | 270 |  |  |  | 12,776 |  
|Year ended December 31, 2001 |                                       |                    |  |        |   |         |  |       |  |              |  |       |   |  |  |     |  |  |  |       
|                             | Revenues                              |                    |  | 1,131  |   |         |  | 515   |  |              |  | 2,170 |   |  |  | 194 |  |  |  | 4,010  |  
|                             | Income (loss) before taxes            |                    |  | (369   | ) |         |  | 15    |  |              |  | (284  | ) |  |  | 23  |  |  |  | (615   | )
|                             | Identifiable assets as of December 31 |                    |  | 7,394  |   |         |  | 1,800 |  |              |  | 7,346 |   |  |  | 393 |  |  |  | 16,933 |  






|    |                                                                                                                                                        
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | included a loss of EUR 22 million reported
    in cumulative effect of change in accounting principle (discount
    of workmens compensation reserves)

F-40



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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Note 16.     Unpaid
loss and loss adjustment expenses

The following provides the reconciliation of
beginning and ending reserve balances for unpaid
Property-Casualty losses and loss adjustment expenses
(LAE) on a net of reinsurance basis to the amounts
recorded in the balance sheet:

Reconciliation of Reserves for Losses and
LAE

|                                                                    |                                  |                         |       |       |  |      |       |       |  |  |       |       | 
|------------------------------------------------------------------- | -------------------------------- | ----------------------- | ----- | ----- |  | ---- | ----- | ----- |  |  | ----- | ----- | 
|                                                                    |                                  |                        
|                                                                    |                                  | Year ended December 31,
|                                                                    |                                  |                        
|                                                                    |                                  | 1999                    |       | 2000  |  | 2001
|                                                                    |                                  |                         |       |       |  |     
|                                                                    |                                  |                        
|                                                                    |                                  | (EUR, in millions)     
|Reserves for losses and LAE at beginning of year,
    net           |                                  |                         | 3,605 |       |  |      | 4,353 |       |  |  | 5,068 |      
|Effect of changes in foreign currency exchange
    rates            |                                  |                         | 365   |       |  |      | 174   |       |  |  | 133   |      
|Effect of claims portfolio transfer and other
    reclassifications |                                  |                         |      |       |  |      | 46    |       |  |  | 1,071 | (2)  
|                                                                    |                                  |                         |       |       |  |      |       |       |  |  |       |      
|Incurred related to:                                                |                                  |                         |       |       |  |      |       |       |  |  |       |      
|                                                                    | Current year                     |                         |       | 1,590 |  |      |       | 1,716 |  |  |       | 3,076 | 
|                                                                    | Prior years                      |                         |       | 95    |  |      |       | 488   |  |  |       | 101   | 
|                                                                    |                                  |                         |       |       |  |      |       |       |  |  |       |      
|                                                                    | Total incurred losses and LAE(1) |                         |       | 1,685 |  |      |       | 2,204 |  |  |       | 3,177 | 
|                                                                    |                                  |                         |       |       |  |      |       |       |  |  |       |      
|Change in accounting principle                                      |                                  |                         |       |       |  |      |       |       |  |  | (62   | )    
|Paid related to:                                                    |                                  |                         |       |       |  |      |       |       |  |  |       |      
|                                                                    | Current year                     |                         |       | 246   |  |      |       | 303   |  |  |       | 738   | 
|                                                                    | Prior years                      |                         |       | 1,056 |  |      |       | 1,406 |  |  |       | 1,732 | 
|                                                                    |                                  |                         |       |       |  |      |       |       |  |  |       |      
|                                                                    | Total paid losses and LAE(1)     |                         |       | 1,302 |  |      |       | 1,709 |  |  |       | 2,470 | 
|                                                                    |                                  |                         |       |       |  |      |       |       |  |  |       |      
|Reserves for losses and loss expenses at end of
    year  net      |                                  |                         | 4,353 |       |  |      | 5,068 |       |  |  | 6,917 |      
|Reinsurance recoverable on unpaid losses                            |                                  |                         | 421   |       |  |      | 507   |       |  |  | 1,448 |      
|                                                                    |                                  |                         |       |       |  |      |       |       |  |  |       |      
|Reserves for losses and loss expenses at end of
    year  gross    |                                  |                         | 4,774 |       |  |      | 5,575 |       |  |  | 8,365 |      
|                                                                    |                                  |                         |       |       |  |      |       |       |  |  |       |      






|    |                                                                                                                                                                                                      
|--- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Initial gross, initial retroceded and initial net
    reserves are shown on a U.S. GAAP basis. Paid (cumulative)
    amounts and reserve re-estimated amounts are shown on a calendar
    year basis.
|   
|(2) | SOREMA                                                                                                                                                                                               

Together with the World Trade Center tragedy, an
unprecedented catastrophe in the history of insurance, the
market results were also affected by the need to bolster
reserves set aside in earlier year, leading us to reinforce our
reserves on US treaties regarding prior accident years (from
1997 to 1999, the low point of the previous cycle). Furthermore,
we had to face an unexpected exceptional number of high losses
declarations from cedents, especially at year-end.

The Groups reserves for losses and LAE
include an estimate of its ultimate liability for asbestos and
environmental claims for which an ultimate value cannot be
estimated using traditional reserving techniques and for which
there are significant uncertainties in estimating the amount of
the Groups potential losses. SCOR and certain of its
subsidiaries, of which principally SCOR US, have received and
continue to receive notices of potential reinsurance claims from
ceding insurance companies which have in turn received claims
asserting environmental and asbestos losses under primary
insurance policies, in part reinsured by Group companies. Such
claims notices are frequently merely precautionary in nature and
generally are unspecific, and the primary insurers often do not
attempt to quantify the amount, timing or nature of the
exposure. Given the lack of specificity in these notices, SCOR
cannot quantify its potential exposure regarding the claims
reported. In addition, significant uncertainties exist with
respect to estimating the ultimate future amounts that may be
needed for asbestos related and environmental pollution claims,
especially in view of changes in the legal and tort environment
that affect the development of claims reserves, and the
uncertainties inherent in

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##### Table of Contents



SCOR


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

valuing asbestos-related and environmental
pollution claims are not likely to be resolved in the near
future. These inherent uncertainties of estimating claims
reserves are exacerbated for reinsurers by the significant
periods of time that often elapse between the occurrence of an
insured loss, the reporting of the loss to the direct insurer
and, ultimately, to the reinsurer, and the direct insurers
payment of that loss and subsequent indemnification by the
reinsurer.

Management believes, however, that the Company
and its subsidiaries have not underwritten significant amounts
of business in those classes and with those insurers or
reinsurers, whether directly in the U.S. market or through
the London market, that are known to be exposed to asbestos and
environmental-related claims. Accordingly, while there can be no
assurances as to the ultimate exposure to the Group of these
type of claims, management believes based on information
currently available to it that the Groups current known
exposure to asbestos and environmental-related claims is not
material to the Groups financial position and results of
operations. Case reserves have been established when sufficient
information has been developed to indicate the involvement of a
specific reinsurance contract. In addition, incurred but not
reported reserves have been established to provide for
additional exposure on both known and unasserted claims. These
reserves are reviewed and updated continually. In establishing
liabilities for asbestos and environmental claims, management
considers facts currently known and the current legal and tort
environment.

|                                                                     |  |                         |      |               |  |      |      |      |  |      |      |      |  |  |      |  |  |  |      |  |  |  |      | 
|-------------------------------------------------------------------- |  | ----------------------- | ---- | ------------- |  | ---- | ---- | ---- |  | ---- | ---- | ---- |  |  | ---- |  |  |  | ---- |  |  |  | ---- | 
|                                                                     |  |                        
|                                                                     |  | Year ended December 31,
|                                                                     |  |                        
|                                                                     |  |                         |      |              
|                                                                     |  | Asbestos                |      | Environmental
|                                                                     |  |                         |      |              
|                                                                     |  | 1999                    |      | 2000          |  | 2001 |      | 1999 |  | 2000 |      | 2001
|                                                                     |  |                         |      |               |  |      |      |      |  |      |      |     
|                                                                     |  |                        
|                                                                     |  | (EUR, in millions)     
|Gross claims reserves, including IBNR reserves                       |  |                         | 70   |               |  |      | 88   |      |  |      | 86   |      |  |  | 87   |  |  |  | 69   |  |  |  | 57   | 
|% of total loss and LAE reserves                                     |  |                         | 1.5% |               |  |      | 1.6% |      |  |      | 1.0% |      |  |  | 1.8% |  |  |  | 1.2% |  |  |  | 0.7% | 
|Claims and LAE paid                                                  |  |                         | 7    |               |  |      | 12   |      |  |      | 13   |      |  |  | 10   |  |  |  | 11   |  |  |  | 15   | 
|% of the Groups total net Property-Casualty
    claims and LAE paid |  |                         | 0.5% |               |  |      | 0.7% |      |  |      | 0.5% |      |  |  | 0.8% |  |  |  | 0.6% |  |  |  | 0.6% | 

F-42



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##### Table of Contents



SCHEDULE I  SUMMARY OF INVESTMENTS
OTHER THAN

INVESTMENTS IN RELATED PARTIES


December 31, 2001 (EUR, in
millions)

| |  |                             |                     |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       |  |  | 
| |  | --------------------------- | ------------------- | -------------------------------------------------------------------------------------------------------- | ----- | -------- | ----- | ------------- |  | --- | ----- |  | ----- | --- | ----- |  |  | 
|
|
|
|
| |  | Col. A                      |                     | Col. B                                                                                                   |       | Col. C   |       | Col. D        |  |    
|
|
| |  | Amount at which             |                     |                                                                                                         
| |  | shown in the                |                     |                                                                                                         
| |  | Type of Investment          |                     | Cost(1)                                                                                                  |       | Value(2) |       | balance sheet |  |    
|
|
| |  | Fixed maturities:           |                     |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       | 
| |  |                             | Available for sale: |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       |  | 
| |  |                             |                     | Debt securities issued or guaranteed by the
    French government or its agencies                        |       |          | 251   |               |  |     | 252   |  |       |     | 252   |  |  | 
| |  |                             |                     | Debt securities issued or guaranteed by the
    U.S. government or its agencies                          |       |          | 934   |               |  |     | 942   |  |       |     | 942   |  |  | 
| |  |                             |                     | Obligations of U.S. states and political
    subdivisions                                                |       |          | 275   |               |  |     | 279   |  |       |     | 279   |  |  | 
| |  |                             |                     | Debt securities issued or guaranteed by the
    European Union                                           |       |          | 558   |               |  |     | 566   |  |       |     | 566   |  |  | 
| |  |                             |                     | Debt securities issued or guaranteed by other
    national, state or local governments or their agencies |       |          | 324   |               |  |     | 339   |  |       |     | 339   |  |  | 
| |  |                             |                     | Corporate debt securities                                                                                |       |          | 1,694 |               |  |     | 1,723 |  |       |     | 1,723 |  |  | 
| |  |                             |                     | Mortgage-backed securities                                                                               |       |          | 1,373 |               |  |     | 1,438 |  |       |     | 1,438 |  |  | 
| |  |                             |                     | Other debt securities                                                                                    |       |          | 44    |               |  |     | 43    |  |       |     | 43    |  |  | 
| |  |                             |                     |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       | 
| |  |                             |                     | Total fixed maturities available for sale                                                                |       |          | 5,453 |               |  |     | 5,582 |  |       |     | 5,582 |  |  | 
| |  |                             |                     |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       | 
| |  |                             | Held to maturity:   |                                                                                                          |       | 0        |       |               |  | 0   |       |  |       | 0   |       |  | 
| |  |                             |                     |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       | 
| |  |                             |                     | Total fixed maturities                                                                                   |       |          | 5,453 |               |  |     | 5,582 |  |       |     | 5,582 |  |  | 
| |  | Equity securities:          |                     |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       | 
| |  |                             | Available for sale: |                                                                                                          |       | 799      |       |               |  | 646 |       |  |       | 646 |       |  | 
| |  |                             | Trading:            |                                                                                                          |       | 110      |       |               |  | 56  |       |  |       | 56  |       |  | 
| |  |                             |                     |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       | 
| |  |                             |                     | Total equity securities                                                                                  |       |          | 909   |               |  |     | 702   |  |       |     | 702   |  |  | 
| |  |                             |                     |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       | 
| |  | Short-term investments      |                     |                                                                                                          | 448   |          |       |               |  |     |       |  | 448   |     |       | 
| |  | Other long-term investments |                     |                                                                                                          | 358   |          |       |               |  |     |       |  | 358   |     |       | 
| |  | Cash and cash equivalents   |                     |                                                                                                          | 1,927 |          |       |               |  |     |       |  | 1,927 |     |       | 
| |  |                             |                     |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       | 
| |  |                             |                     | Total investments                                                                                        |       |          | 2,733 |               |  |     |       |  |       |     | 2,733 |  |  | 
| |  |                             |                     |                                                                                                          |       |          |       |               |  |     |       |  |       |     |       | 
|
|



|    |                 
|--- | ----------------
|(1) | Acquisition cost
|   
|(2) | Fair value      

S-1



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##### Table of Contents



SCHEDULE III  SUPPLEMENTARY
INSURANCE INFORMATION

December 31, 2001, 2000 and
1999

(EUR, in millions)


|                   |                              |                   |  |                  |     |              |  |                  |        |  |  |       |       |  |  |   |   |  |  | 
|------------------ | ---------------------------- | ----------------- |  | ---------------- | --- | ------------ |  | ---------------- | ------ |  |  | ----- | ----- |  |  | - | - |  |  | 
|                  
|                  
|                  
|Col. A             |                              | Col. B            |  | Col. C           |     | Col. D       |  | Col. E           |        | 
|                  
|                  
|                   |                              | Future Policy     |  |                 
|                   |                              | Benefits, Losses, |  |                  |     | Other Policy |  |                 
|                   |                              | Deferred Policy   |  | Claims, and Loss |     | Unearned     |  | Claims and       |        | 
|                   |                              | Acquisition Costs |  | Expenses         |     | Premiums     |  | benefits Payable |        | 
|                  
|                  
|December 31, 2001: |                              |                   |  |                  |     |              |  |                  |        |  |  |       |       |  |  |   |   | 
|                   | Life insurance and annuities |                   |  | 104              |     |              |  | 2,601            |        |  |  |      |       |  |  |  |   |  | 
|                   | Property-casualty insurance  |                   |  | 248              |     |              |  | 8,365            |        |  |  | 1,665 |       |  |  |  |   |  | 
|                   |                              |                   |  |                  |     |              |  |                  |        |  |  |       |       |  |  |   |   | 
|                   |                              | Total             |  |                  | 352 |              |  |                  | 10,966 |  |  |       | 1,665 |  |  |   |  |  |  | 
|                   |                              |                   |  |                  |     |              |  |                  |        |  |  |       |       |  |  |   |   | 
|December 31, 2000: |                              |                   |  |                  |     |              |  |                  |        |  |  |       |       |  |  |   |   | 
|                   | Life insurance and annuities |                   |  | 74               |     |              |  | 2,468            |        |  |  |      |       |  |  |  |   |  | 
|                   | Property-casualty insurance  |                   |  | 230              |     |              |  | 5,575            |        |  |  | 1,226 |       |  |  |  |   |  | 
|                   |                              |                   |  |                  |     |              |  |                  |        |  |  |       |       |  |  |   |   | 
|                   |                              | Total             |  |                  | 304 |              |  |                  | 8,043  |  |  |       | 1,226 |  |  |   |  |  |  | 
|                   |                              |                   |  |                  |     |              |  |                  |        |  |  |       |       |  |  |   |   | 
|December 31, 1999: |                              |                   |  |                  |     |              |  |                  |        |  |  |       |       |  |  |   |   | 
|                   | Life insurance and annuities |                   |  | 57               |     |              |  | 824              |        |  |  |      |       |  |  |  |   |  | 
|                   | Property-casualty insurance  |                   |  | 206              |     |              |  | 4,774            |        |  |  | 919   |       |  |  |  |   |  | 
|                   |                              |                   |  |                  |     |              |  |                  |        |  |  |       |       |  |  |   |   | 
|                   |                              | Total             |  |                  | 263 |              |  |                  | 5,598  |  |  |       | 919   |  |  |   |  |  |  | 
|                   |                              |                   |  |                  |     |              |  |                  |        |  |  |       |       |  |  |   |   | 
|                  
|                  

|                              |                              |           |  |              |       |            |  |             |     |           |  |          |       |  |  |     |     |  |  |     |     |  |  |       |       |  |  | 
|----------------------------- | ---------------------------- | --------- |  | ------------ | ----- | ---------- |  | ----------- | --- | --------- |  | -------- | ----- |  |  | --- | --- |  |  | --- | --- |  |  | ----- | ----- |  |  | 
|                             
|                             
|                             
|Col. A                        |                              | Col. F    |  | Col. G       |       | Col. H     |  | Col. I      |     | Col. J    |  | Col. K   |       | 
|                             
|                             
|                              |                              | Benefits, |  | Amortization |       |           
|                              |                              | Claims,   |  | of Deferred  |       |           
|                              |                              | Net       |  | Losses, and  |       | Policy     |  | Other       |     | Net       |  |         
|                              |                              | Premium   |  | Investment   |       | Settlement |  | Acquisition |     | Operating |  | Premiums |       | 
|                              |                              | Revenue   |  | Income       |       | Expenses   |  | Costs       |     | Expenses  |  | Written  |       | 
|                             
|                             
|Year ended December 31, 2001: |                              |           |  |              |       |            |  |             |     |           |  |          |       |  |  |     |     |  |  |     |     |  |  |       |       | 
|                              | Life insurance and annuities |           |  | 546          |       |            |  | 83          |     |           |  | 451      |       |  |  | 110 |     |  |  | 35  |     |  |  | 546   |       |  | 
|                              | Property-casualty insurance  |           |  | 3,107        |       |            |  | 220         |     |           |  | 3,177    |       |  |  | 738 |     |  |  | 174 |     |  |  | 3,174 |       |  | 
|                              |                              |           |  |              |       |            |  |             |     |           |  |          |       |  |  |     |     |  |  |     |     |  |  |       |       | 
|                              |                              | Total     |  |              | 3,653 |            |  |             | 303 |           |  |          | 3,628 |  |  |     | 848 |  |  |     | 209 |  |  |       | 3,720 |  |  | 
|                              |                              |           |  |              |       |            |  |             |     |           |  |          |       |  |  |     |     |  |  |     |     |  |  |       |       | 
|Year ended December 31, 2000: |                              |           |  |              |       |            |  |             |     |           |  |          |       |  |  |     |     |  |  |     |     |  |  |       |       | 
|                              | Life insurance and annuities |           |  | 396          |       |            |  | 45          |     |           |  | 283      |       |  |  | 148 |     |  |  | 23  |     |  |  | 396   |       |  | 
|                              | Property-casualty insurance  |           |  | 2,281        |       |            |  | 166         |     |           |  | 2,204    |       |  |  | 513 |     |  |  | 139 |     |  |  | 2,482 |       |  | 
|                              |                              |           |  |              |       |            |  |             |     |           |  |          |       |  |  |     |     |  |  |     |     |  |  |       |       | 
|                              |                              | Total     |  |              | 2,677 |            |  |             | 211 |           |  |          | 2,487 |  |  |     | 661 |  |  |     | 162 |  |  |       | 2,878 |  |  | 
|                              |                              |           |  |              |       |            |  |             |     |           |  |          |       |  |  |     |     |  |  |     |     |  |  |       |       | 
|Year ended December 31, 1999: |                              |           |  |              |       |            |  |             |     |           |  |          |       |  |  |     |     |  |  |     |     |  |  |       |       | 
|                              | Life insurance and annuities |           |  | 343          |       |            |  | 25          |     |           |  | 239      |       |  |  | 74  |     |  |  | 12  |     |  |  | 343   |       |  | 
|                              | Property-casualty insurance  |           |  | 2,019        |       |            |  | 153         |     |           |  | 1,686    |       |  |  | 478 |     |  |  | 130 |     |  |  | 2,114 |       |  | 
|                              |                              |           |  |              |       |            |  |             |     |           |  |          |       |  |  |     |     |  |  |     |     |  |  |       |       | 
|                              |                              | Total     |  |              | 2,362 |            |  |             | 178 |           |  |          | 1,925 |  |  |     | 552 |  |  |     | 142 |  |  |       | 2,457 |  |  | 
|                              |                              |           |  |              |       |            |  |             |     |           |  |          |       |  |  |     |     |  |  |     |     |  |  |       |       | 
|                             
|                             

This schedule has been prepared in a manner
consistent with the classification of Balance Sheet and Income
Statement that are reviewed by the Groups Executive
Committee. The corresponding information for the income
statement is presented for Property-Casualty treaty, Life/
Accident & Health and Specialty Property-Casualty
reinsurance segments in Note 15 to the consolidated
financial statements.

S-2



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##### Table of Contents



SCHEDULE IV  REINSURANCE

December 31, 2001, 2000 and
1999

(EUR, in millions)


|                              |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      |  |  | 
|----------------------------- | -------------------------------------------- | ---------------------------- |  | --------- | - | ---------- |  | ------ | --- | ------- |  | - | ----- |  |  | - | ----- |  |  | - | ---- |  |  | 
|                             
|                             
|                              |                                              |                             
|                              |                                              |                             
|Col. A                        |                                              | Col. B                       |  | Col. C    |   | Col. D     |  | Col. E |     | Col. F  |  |  
|                              |                                              |                             
|                              |                                              |                             
|                              |                                              | % of                         |  |          
|                              |                                              | Ceded to                     |  | Assumed   |   |            |  | Amount |     |        
|                              |                                              | Gross                        |  | Other     |   | from Other |  | Net    |     | Assumed |  |  
|                              |                                              | Amount                       |  | Companies |   | Companies  |  | Amount |     | to Net  |  |  
|                              |                                              |                             
|                              |                                              |                             
|Year Ended December 31, 2001: |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|                              | Life insurance in force                      |                              |  |          |   |            |  |       |     |         |  |  |       |  |  |  |       |  |  |  |      |  | 
|                              |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|                              | Insurance premiums and other considerations: |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      |  | 
|                              |                                              | Life insurance and annuities |  |           |  |            |  |        | 102 |         |  |   | 648   |  |  |   | 546   |  |  |   | 119% |  |  | 
|                              |                                              | Property-casualty insurance  |  |           |  |            |  |        | 547 |         |  |   | 3,654 |  |  |   | 3,107 |  |  |   | 118% |  |  | 
|                              |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|                              |                                              | Total                        |  |           |  |            |  |        | 649 |         |  |   | 4,302 |  |  |   | 3,653 |  |  |   | 118% |  |  | 
|                              |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|Year Ended December 31, 2000: |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|                              | Life insurance in force                      |                              |  |          |   |            |  |       |     |         |  |  |       |  |  |  |       |  |  |  |      |  | 
|                              |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|                              | Insurance premiums and other considerations: |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      |  | 
|                              |                                              | Life insurance and annuities |  |           |  |            |  |        | 109 |         |  |   | 505   |  |  |   | 396   |  |  |   | 128% |  |  | 
|                              |                                              | Property-casualty insurance  |  |           |  |            |  |        | 360 |         |  |   | 2,641 |  |  |   | 2,281 |  |  |   | 116% |  |  | 
|                              |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|                              |                                              | Total                        |  |           |  |            |  |        | 469 |         |  |   | 3,146 |  |  |   | 2,677 |  |  |   | 118% |  |  | 
|                              |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|Year Ended December 31, 1999: |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|                              | Life insurance in force                      |                              |  |          |   |            |  |       |     |         |  |  |       |  |  |  |       |  |  |  |      |  | 
|                              |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|                              | Insurance premiums and other considerations: |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      |  | 
|                              |                                              | Life insurance and annuities |  |           |  |            |  |        | 63  |         |  |   | 406   |  |  |   | 343   |  |  |   | 118% |  |  | 
|                              |                                              | Property-casualty insurance  |  |           |  |            |  |        | 235 |         |  |   | 2,254 |  |  |   | 2,019 |  |  |   | 112% |  |  | 
|                              |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|                              |                                              | Total                        |  |           |  |            |  |        | 298 |         |  |   | 2,660 |  |  |   | 2,362 |  |  |   | 113% |  |  | 
|                              |                                              |                              |  |           |   |            |  |        |     |         |  |   |       |  |  |   |       |  |  |   |      | 
|                              |                                              |                             
|                             

S-3



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##### Table of Contents



SCHEDULE V  VALUATION AND
QUALIFYING ACCOUNTS

December 31, 2001, 2000 and
1999

(EUR, in millions)


|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |        |  |  | 
|------------------ | -------------------------------------------------- | ----------------------------------------- | ----- | ------------ | -- | ------------ |  | ---------- | - | ----------- |  | ----- | --- | ----- |  | - | -- | -- | - | ----- | -- | ------ |  |  | 
|                  
|                  
|                   |                                                    |                                           |       |             
|                   |                                                    |                                           |       |             
|Col. A             |                                                    | Col. B                                    |       | Col. C       |    | Col. D       |  | Col. E     |   |            
|                   |                                                    |                                          
|                   |                                                    |                                          
|                   |                                                    |                                           |       |              |    |             
|                   |                                                    | Additions                                 |       |              |    |             
|                   |                                                    |                                           |       |              |    |             
|                   |                                                    | Balance at                                |       | 1)  Charged |    | 2)  Charged |  |            |   |            
|                   |                                                    | beginning of                              |       | to costs and |    | to other     |  |            |   | Balance at  |  |      
|Description        |                                                    | year                                      |       | expenses     |    | accounts     |  | Deductions |   | end of year |  |      
|                   |                                                    |                                          
|                   |                                                    |                                          
|December 31, 2001: |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   | Reserves deducted from assets to which they apply: |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |        | 
|                   |                                                    | Investments                               |       |              | 6  |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       | 6  |        |  | 
|                   |                                                    | Reinsurance balance receivable            |       |              | 5  |              |  |            |   |             |  |       | 7   |       |  |   |    |    |   |       | 12 |        |  | 
|                   |                                                    | Advances to and investments in affiliates |       |              | 17 |              |  |            |   |             |  |       |     |       |  |   | (1 | )  |   |       | 16 |        |  | 
|                   |                                                    | Other assets                              |       |              |    |              |  |            | 1 |             |  |       | 1   |       |  |   |    |    |   |       | 2  |        |  | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   |                                                    |                                           | Total |              |    | 28           |  |            |   | 1           |  |       |     | 8     |  |   |    | (1 | ) |       |    | 36     |  |  | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   | Reserves not deducted from assets(1):              |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |        | 
|                   | Loss and loss adjustment expenses reserves, net    |                                           |       | 5,068        |    |              |  | 773        |   |             |  | 1,076 | (2) |       |  |   |    |    |   | 6,917 |    |        | 
|                   | Unearned premium reserves, net                     |                                           |       | 1,097        |    |              |  | 68         |   |             |  | 247   | (3) |       |  |   |    |    |   | 1,412 |    |        | 
|                   | Reserve for future policy benefits, net            |                                           |       | 1,798        |    |              |  | 32         |   |             |  | 123   | (4) |       |  |   |    |    |   | 1,953 |    |        | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   |                                                    |                                           | Total |              |    | 7,963        |  |            |   | 873         |  |       |     | 1,446 |  |   |    |   |   |       |    | 10,282 |  |  | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|December 31, 2000: |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   | Reserves deducted from assets to which they apply: |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |        | 
|                   |                                                    | Investments                               |       |              | 2  |              |  |            | 4 |             |  |       |    |       |  |   |   |    |   |       | 6  |        |  | 
|                   |                                                    | Reinsurance balance receivable            |       |              | 6  |              |  |            |  |             |  |       |    |       |  |   | 1  |    |   |       | 5  |        |  | 
|                   |                                                    | Advances to and investments in affiliates |       |              | 15 |              |  |            | 2 |             |  |       |    |       |  |   |   |    |   |       | 17 |        |  | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   |                                                    |                                           | Total |              |    | 23           |  |            |   | 6           |  |       |     |      |  |   |    | 1  |   |       |    | 28     |  |  | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   | Reserves not deducted from assets(1):              |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |        | 
|                   | Loss and loss adjustment expenses reserves, net    |                                           |       | 4,353        |    |              |  | 495        |   |             |  | 220   | (2) |       |  |  |    |    |   | 5,068 |    |        | 
|                   | Unearned premium reserves, net                     |                                           |       | 811          |    |              |  | 202        |   |             |  | 84    | (3) |       |  |  |    |    |   | 1,097 |    |        | 
|                   | Reserve for future policy benefits, net            |                                           |       | 761          |    |              |  | (138       | ) |             |  | 1,175 | (4) |       |  |  |    |    |   | 1,798 |    |        | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   |                                                    |                                           | Total |              |    | 5,925        |  |            |   | 559         |  |       |     | 1,479 |  |   |    |   |   |       |    | 7,963  |  |  | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|December 31, 1999: |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   | Reserves deducted from assets to which they apply: |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |        | 
|                   |                                                    | Investments                               |       |              | 2  |              |  |            |  |             |  |       |    |       |  |   |   |    |   |       | 2  |        |  | 
|                   |                                                    | Reinsurance balance receivable            |       |              | 6  |              |  |            |  |             |  |       |    |       |  |   |   |    |   |       | 6  |        |  | 
|                   |                                                    | Advances to and investments in affiliates |       |              | 26 |              |  |            |  |             |  |       |    |       |  |   | 11 |    |   |       | 15 |        |  | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   |                                                    |                                           | Total |              |    | 34           |  |            |   |            |  |       |     |      |  |   |    | 11 |   |       |    | 23     |  |  | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   | Reserves not deducted from assets(1):              |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |        | 
|                   | Loss and loss adjustment expenses reserves, net    |                                           |       | 3,605        |    |              |  | 383        |   |             |  | 365   | (2) |       |  |  |    |    |   | 4,353 |    |        | 
|                   | Unearned premium reserves, net                     |                                           |       | 637          |    |              |  | 95         |   |             |  | 79    | (3) |       |  |  |    |    |   | 811   |    |        | 
|                   | Reserve for future policy benefits, net            |                                           |       | 650          |    |              |  | 82         |   |             |  | 29    | (4) |       |  |  |    |    |   | 761   |    |        | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                   |                                                    |                                           | Total |              |    | 4,892        |  |            |   | 560         |  |       |     | 473   |  |   |    |   |   |       |    | 5,925  |  |  | 
|                   |                                                    |                                           |       |              |    |              |  |            |   |             |  |       |     |       |  |   |    |    |   |       |    |       
|                  
|                  



|    |                                                                                                                                                                                                                               
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Provisions to reserves and deductions from
    reserves presented as a net provision or a net deduction.                                                                                                                      
|   
|(2) | of which, translation adjustment of 124 in 2001,
    174 in 2000 and 365 in 1999, reclassification of 46 in 2000 and
    increase of 952 due to the acquisition of Sorema N.A. and Sorema
    S.A. in 2001.                   
|   
|(3) | of which, translation adjustment of 36 in 2001,
    52 in 2000 and 79 in 1999, reclassification of 32 in 2000 and
    increase of 211 from the acquisition of SOREMA N.A. and Sorema
    S.A. in 2001.                        
|   
|(4) | of which, translation adjustment of 56 in 2001, 5
    in 2000 and 29 in 1999, and increases of 1,170 from the
    acquisition of Partner US Re in 2000 and 67 from the acquisition
    of Sorema N.A. and Sorema S.A. in 2001.

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##### Table of Contents



SCHEDULE VI  SUPPLEMENTAL
INFORMATION CONCERNING

PROPERTY/ CASUALTY
INSURANCE OPERATIONS


December 31, 2001, 2000 and
1999

(EUR, in millions)


|                                         |      |                     |  |                     |  |             |  |          |  |  |  |   |  |  |  |       |  |  | 
|---------------------------------------- | ---- | ------------------- |  | ------------------- |  | ----------- |  | -------- |  |  |  | - |  |  |  | ----- |  |  | 
|                                        
|                                        
|                                        
|Col. A                                   |      | Col. B              |  | Col. C              |  | Col. D      |  | Col. E   |  | 
|                                        
|                                        
|                                         |      | Reserves for Unpaid |  | Discount if any,    |  |            
|                                         |      | Deferred Policy     |  | Claims, and Claim   |  | Deducted in |  | Unearned |  | 
|Affiliation with Registrant              |      | Acquisition Costs   |  | Adjustment Expenses |  | Column C    |  | Premiums |  | 
|                                        
|                                        
|Registrant and consolidated subsidiaries |      |                     |  |                     |  |             |  |          |  |  |  |   |  |  |  |       |  | 
|                                         | 2001 |                     |  | 247                 |  |             |  | 8,365    |  |  |  |  |  |  |  | 1,665 |  |  | 
|                                         | 2000 |                     |  | 230                 |  |             |  | 5,575    |  |  |  |  |  |  |  | 1,226 |  |  | 
|                                         | 1999 |                     |  | 206                 |  |             |  | 4,774    |  |  |  |  |  |  |  | 919   |  |  | 
|                                        
|                                        

|                                         |      |                              |  |              |  |              |  |             |  |             |  |            |  |          |  |     |  |  |  |     |  |  |  |       |  |  |  |       |  |  | 
|---------------------------------------- | ---- | ---------------------------- |  | ------------ |  | ------------ |  | ----------- |  | ----------- |  | ---------- |  | -------- |  | --- |  |  |  | --- |  |  |  | ----- |  |  |  | ----- |  |  | 
|                                        
|                                        
|                                        
|                                         |      |                              |  |             
|Col. A                                   |      | Col. F                       |  | Col. G       |  | Col. H       |  | Col. I      |  | Col. J      |  | Col. K     |  |         
|                                        
|                                        
|                                         |      |                              |  |             
|                                         |      | Claims and Claim Adjustment  |  | Amortization |  |             
|                                         |      | Expenses Incurred Related to |  | of Deferred  |  | Paid Claims  |  |            
|                                         |      | Net                          |  |              |  | Policy       |  | and Claim   |  | Net         |  |           
|Affiliation with                         |      | Earned                       |  | Investment   |  | (1)          |  | (2)         |  | Acquisition |  | Adjustment |  | Premiums |  |    
|Registrant                               |      | Premiums                     |  | Income       |  | Current Year |  | Prior Years |  | Costs       |  | Expenses   |  | Written  |  |    
|                                        
|                                        
|Registrant and consolidated subsidiaries |      |                              |  |              |  |              |  |             |  |             |  |            |  |          |  |     |  |  |  |     |  |  |  |       |  |  |  |       |  | 
|                                         | 2001 |                              |  | 3,107        |  |              |  | 220         |  |             |  | 3,076      |  |          |  | 167 |  |  |  | 738 |  |  |  | 2,470 |  |  |  | 3,174 |  |  | 
|                                         | 2000 |                              |  | 2,281        |  |              |  | 169         |  |             |  | 1,716      |  |          |  | 488 |  |  |  | 694 |  |  |  | 1,709 |  |  |  | 2,482 |  |  | 
|                                         | 1999 |                              |  | 2,019        |  |              |  | 153         |  |             |  | 1,590      |  |          |  | 95  |  |  |  | 478 |  |  |  | 1,302 |  |  |  | 2,114 |  |  | 
|                                        
|                                        

For 2001, Claims and claim adjustment expenses
incurred included a profit of EUR 62 million reported in
cumulative effect of change in accounting principle (discount of
workmens compensation reserves) and excluded the
GROUPAMAs guarantee to cover its technical reserves for
the 2000 and previous years (EUR 128 million).

S-5



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##### Table of Contents



Signature

Pursuant to the requirements of Section 12
of the Securities Exchange Act of 1934, the registrant certifies
that it meets all of the requirements for filing on
Form 20-F and has duly caused this Annual Report to be
signed on its behalf by the undersigned, thereunto duly
authorized.



| |             
| | ------------
| | SCOR        
| | (Registrant)



| |     |                     
| | --- | --------------------
| | By: | /s/ JACQUES BLONDEAU

| |                                     
| | ------------------------------------
| |                                     
| | Jacques Blondeau,                   
| | Chairman and Chief Executive Officer

Dated May 17, 2002




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##### Table of Contents



Exhibit Index

|          |                                                                                                                                                         |       |  |            | 
|--------- | ------------------------------------------------------------------------------------------------------------------------------------------------------- | ----- |  | ---------- | 
|          |                                                                                                                                                         | Pages
|          |                                                                                                                                                         |      
|EXHIBIT 1 |                                                                                                                                                         |       |  |           
|          | Glossary of selected terms                                                                                                                              |       |  | E-1  E-6  | 
|EXHIBIT 2 |                                                                                                                                                         |       |  |           
|          | Translation from French into English of
    SCORs Statutsor charter of the Company, as amended
    at the January 14, 2002 board of directors meeting |       |  | E-7  E-12 |