Munich Re Says "Ivan" Could Hit Profits

If hurricane "Ivan" reaches the Florida shores, the chief of Munich Re warned on Monday, the southern German company's targeted revenues for the year could be destroyed just like many homes and trailer parks. At an industry conference in Monte Carlo, chief executive Nikolaus von Bomhard said the company could still achieve its profits target of €2 billion ($2.44 billion) for 2004, despite charges incurred from the other two hurricanes that have rocked the Caribbean and Gulf of Mexico during the past month including "Charley" and "Frances." The CEO said the company, the world's largest reinsurer, would likely have a pay-out in the three-digit millions for "Frances" and in the two digits for "Charley". The news pleased investors on Monday and shares in the company rose 1 percent.