RMS Releases Version 2.2 of Climetrix Weather RMS

Risk Management Solutions (RMS) announced the release of version 2.2 of Climetrix, a leading weather derivatives trading and risk management system.

The new version incorporates several enhancements to the system's modeling capabilities and expands the range of contract types that can be analyzed. In particular, users can now define and model contracts based on all types of event indexes in addition to the broad range of standard and exotic contract types that were previously supported in Climetrix. Event indexes, which provide weather derivative buyers with protection against occurrences of specific events such as several consecutive days with temperatures above or below a critical threshold, are becoming more common as the weather market develops.

Also included in the version 2.2 release is an update to the databases of cleaned and enhanced historical U.S. weather data that have been developed by RMS' strategic partner Earth Satellite Corporation (EarthSat). Under a program of ongoing weather station monitoring and research, EarthSat and RMS have identified recent measurement discontinuities resulting from instrument movements at several of the 200 weather stations included in the cleaned and enhanced databases. The impacts of these discontinuities, which can have a significant impact on weather contract valuation, are reflected in the newly updated data. The historical databases have also been extended to include records through March 31, 2001 so that traders analyzing deals for the 2001 - 2002 winter season have access to the latest available data.

Climetrix is an Internet-based application that provides integrated access to all of the data, advanced pricing tools, and portfolio management capabilities necessary for successful participation in the weather market. The application can be accessed at www.climetrix.com. Since the initial release of Climetrix in July, 2000, more than two-thirds of active weather market participants have licensed the system or the underlying data.

About RMS

Risk Management Solutions is one of the world's leading providers of products and services for the quantification and management of natural hazard risks. RMS clients include leading insurers, reinsurers, trading companies, and other financial institutions. RMS offerings include risk assessment models, software products to access the models, and consulting services. Founded at Stanford University in 1988, RMS employs over 600 people worldwide. RMS is owned by DMG Information, a division of the Daily Mail and General Trust plc media enterprise.

Contact Risk Management Solutions, Newark, John Abraham, 510-505-2519.