Company is in US Dollars).A furtherUS$6.7 million charge for 2003options will be recognized byDecember 31,2009.Compensation cost chargedagainst income for 2004 optiongrants was US$0.5 million for thetwelve months ended December31,2005 (2004 - US$0.5 million).A further US$0.5 million charge for2004 options will be recognizedin the twelve months that willend on December 31,2006.Theper share weighted average fairvalue at grant date of the shareoptions granted under the ShareIncentive Plan is US$5.74.Thisamount was estimated on thedate of the grant using a modifiedBlack-Scholes option pricingmodel under the followingassumptions:risk-free interest rateof 3.57%;dividend yield of 0.5%;expected life of 5 years;and shareprice volatility of 19.68% (shareprice volatility for this andsubsequent option valuations wasbased on the quoted beta factorsfor the Company).Restricted Share UnitsA total of 95,850 restricted shareunits were granted in 2004,and48,913 in 2005,37,666 of the shareunits granted in 2004 vest,subjectto the participants continuedemployment,in tranches with one-third of the units vesting oneach of December 31,2004,December 31,2005 and December31,2006.The remaining 58,184units granted in 2004 vest intranches with one-third vesting onthe anniversary of the grant in2005,2006 and 2007.Out of the48,913 units granted in 2005,12,889 vest in tranches of one-third on the anniversary of the grant with 36,024 vesting intranches of one-third on each ofDecember 31,2005,December 31,2006 and December 31,2007.Vesting of a participant's units maybe accelerated,however,if theparticipant's employment with theCompany and its subsidiaries isterminated without cause (asdefined in such participants'awardagreement),or,with respect to oneof the participants,by theparticipant with good reason (as defined in such participants'award agreement).Compensationcost charged against income wasUS$1.2 million for twelve monthsended December 2005 and US$0.5million for the twelve monthsended December 2004.Participants generally will not beentitled to any rights of a holder ofordinary shares,including the rightto vote,unless and until their unitsvest and ordinary shares are issued;provided,however,thatparticipants will be entitled toreceive dividend equivalents withrespect to their units.Dividendequivalents will be denominated incash and paid in cash if and whenthe underlying units vest.Participants will be paid oneordinary share for each unit thatvests as soon as practicablefollowing the vesting date.Participants may,however,elect todefer the receipt of any ordinaryshares upon the vesting of units,inwhich case payment will not bemade until such time or times asthe participant may elect.Paymentof deferred share units would be inordinary shares with any cashdividend equivalents credited withrespect to such deferred shareunits paid in cash.Compensation cost charged against income for 2005 option grants was US$nil million for the twelve months ended December 31,2005,as performance targets were not met.The per share weighted average fair values at grant date of the share options granted under the Share Incentive Plan were US$5.31,US$5.05 and US$5.50.These amounts were estimated on the dates of the grant using a modified Black-Scholes option pricing model under the following assumptions:Grant DateMarch 3,2005April 15,2005June 15,2005Risk free interest rate4.00%2.78%3.12%Dividend yield2.3%2.3%2.3%Expected life5 years5 years5 yearsShare price volatility22.25%24.45%24.73%The total tax benefit recognized by the Company in the twelve months ended December 31,2005 was US$0.3 million.Notes to the Consolidated Financial StatementsAspen Insurance Holdings LimitedAnnual Report & Accounts 20054850OLYMPIC REVIEWREIGNING OLYMPIC FIGURE SKATINGCHAMPION YUNA KIM HOPES TOINSPIRE YOUNG ATHLETES IN HERROLE AS A YOG AMBASSADORYUNA KIM

OLYMPIC REVIEW51LeftRolland demonstrates his basketballskills to Yoggl, the Innsbruck 2012 mascotFRENCH FREESTYLE SKIERKEVIN ROLLAND, WHO WON SKI HALFPIPE GOLD AT THE 2009 WORLD CHAMPIONSHIPS, REVEALSWHY HE SIGNED UP TO BE AYOG AMBASSADORKEVINROLLAND