Insurer Allianz net drops to $350 million

By the Associated Press | November 11, 2011 | 1:50 AM EST

FRANKFURT, Germany (AP) — German insurer Allianz SE saw third quarter profits sag to euro258 million ($350 million) from euro1.27 billion the year before because of investment losses and Greek bond writedowns from Europe's debt crisis.

Revenue fell 1.8 percent to euro24.07 billion.

Munich-based Allianz said it lost euro122 million from writing down Greek bonds, and euro817 million from the fallen value of its holdings in other financial companies such as banks and insurers.

Greece is in the process of working out a debt reduction that includes bondholders taking 50 percent losses on the value of their investments. Fears that Greece's problems will infect larger countries such as Italy have led to sharp swings on stock and bond markets.