Swiss Re Ltd (Swiss Re) has completed an

offering of USD 500 million, 6-year senior exchangeable notes, which may be

stock settled at the option of Swiss Re or may be exchanged at the option of

noteholders for registered shares of Swiss Re, unless Swiss Re elects to settle

the exchange of notes in cash. Swiss Re has purchased call options on its own shares,

which allow it to settle an exchange by noteholders without issuing new shares.

As is customary for international offerings

of debt securities by Swiss (re-)insurers, Swiss Re issued notes to, and which

are held by, a repackaging vehicle, in this case ELM B.V. (or a nominee acting

on its behalf). ELM B.V. issued its own 6-year exchangeable notes secured by

the notes issued by Swiss Re.

Barclays Bank PLC, Deutsche Bank AG, London

Branch, J.P. Morgan Securities plc, Merrill Lynch International and UBS Limited

acted as joint lead managers.

Bär & Karrer advised Swiss Re in this

transaction. The team included Thomas U. Reutter, Roland Truffer and Daniel

Raun (all Capital Markets).