Sava Re has a strong competitive position, mainly because it is the second largest primary insurer in Slovenia, operating as well in international reinsurance business. Foreign primary insurance in the group's operations in the Adria region are still considerably lagging scale and performance, and are therefore, not materially diversifying the group's revenues and operating earnings. In our view, Sava Re faces intermediate industry and country risk, which reflects a blended assessment of the various insurance markets where it operates. We think the group will maintain its capital and earnings position at very strong, supported by slowing growth and stable earnings. Sava Re has a moderate risk position, reflected by the complexity of risk written through its reinsurance business. It has
