Endurance Specialty Holdings Offers Response to ISS Report, Says Position Has Not Changed

Endurance Specialty Holdings Ltd. ("Endurance") ENH today commented on the recommendations by proxy advisory service Institutional Shareholder Services ("ISS") regarding its two shareholder proposals in connection with Endurance's compelling premium offer to acquire Aspen Insurance Holdings Limited ("Aspen") AHL.   John Charman, Chairman and Chief Executive Officer of Endurance, stated: "While we are disappointed by the ISS recommendations and strongly disagree with the positions taken, Aspen shareholders should note that the ISS report explicitly takes no position whatsoever on the merits of our offer and surprisingly ignores the substantial and fundamental issues of poor corporate governance continuously demonstrated by Aspen's board and management, relying instead on questionable technical assessments of vote timing and mechanics.  ISS fails to recognize that Endurance was forced to take the two proposals directly to Aspen shareholders because of the failure of Aspen's board and management to enter into discussions with Endurance.  "The substance of the matter remains clear: Endurance's offer provides immediate premium value for Aspen shares as opposed to an uncertain future led by a board of directors and a management team that have both historically underperformed and have shown themselves to be only interested in protecting their personal interests at the continuing expense of Aspen's shareholders. "Our position has not changed.  Aspen shareholders deserve a voice in the future direction of their company and our two proposals give them just that.  As the critical target date approaches, Aspen shareholders have at last been given the opportunity to stand up for their corporate governance rights and express their frustration with the entrenchment of their board and management.  The refusal of the Aspen board and management to even discuss Endurance's highly attractive offer serves as clear evidence that Aspen's board and management only pay lip service to the interests of Aspen's shareholders and are not interested in creating real value for them," Mr. Charman continued. "The ability to demand good corporate governance and effect change at Aspen is now in the hands of Aspen shareholders.  We strongly encourage Aspen shareholders to vote for our shareholder proposals or risk losing all of the immediate benefits and opportunity for future value creation of our proposed transaction," Mr. Charman concluded. Endurance continues to urge Aspen shareholders to vote FOR its two proposals by signing, dating and returning the WHITE cards they have been mailed in order to make their voices heard.  Endurance has set July 25, 2014 as the target date for voting on its two shareholder proposals:                                   o To authorize the requisitioning of a special general meeting of Aspen shareholders to increase the size of Aspen's board from 12 to 19 directors.  If the proposal is approved at the special general meeting, a majority of Aspen's directors will stand for election at Aspen's 2015 annual general meeting, thereby giving Aspen shareholders the ability to hold their board directly accountable for their failure to be responsive to the best interests of the company's true owners.   o To authorize support of a court-ordered meeting of Aspen shareholders to consider and vote on a Scheme of Arrangement. These proposals empower Aspen shareholders by providing the ability-not the obligation-to support Endurance's highly attractive offer and strategic transaction.  Endurance's offer of $49.50 per Aspen common share with a combination of 40% cash and 60% Endurance common shares (based on Endurance's unaffected closing share price on April 11, 2014) represents a 19.5% premium to the highest unaffected share price Aspen's board and management have ever achieved.  What Aspen's board and management have failed to ever achieve, Endurance's offer is prepared to deliver today. The vote of every Aspen shareholder is extremely important, no matter how many or how few shares they own.  We urge Aspen shareholders to vote the WHITE card TODAY by signing, dating and returning the WHITE card in the postage-paid envelope provided.  We urge Aspen shareholders NOT to sign the blue revocation card that they may have received from Aspen.  Instead, sign, date and return the WHITE card TODAY.  Even if shareholders have already signed Aspen's blue revocation card, they may revoke their previous revocation by signing, dating and returning the WHITE card. In light of the upcoming July 25, 2014 target voting date, Aspen shareholders who have any questions or need assistance voting should contact the firm assisting Endurance with this solicitation, Georgeson Inc., at (877) 278-9672 (toll-free) or via email at enduranceaspen@georgeson.com.