Kevin H. Kelley has left his post as chief executive officer ofAmerican International Group's Lexington Insurance Company andpresident of AIG Domestic Personal Lines to become CEO of IronshoreInc., it was announced today.

Financially-troubled AIG--which has been arguing that it needsto pay hefty retention bonuses to keep staff in place while itstruggles to remain liquid--said Peter Eastwood had been promotedfrom executive vice president to CEO of Lexington.

After a reorganization in April, AIG created a Property CasualtyGroup, with AIG Executive Vice President Kristian P. Moor aspresident and CEO. At that point, Mr. Kelley--in addition to beingLexington's chairman and CEO--was appointed executive vicepresident of AIG Property Casualty Group and president of AIGDomestic Personal Lines, reporting to Mr. Moor. Mr. Kelley resignedhis posts yesterday.

In bringing Mr. Kelley on board as CEO, Ironshore--a specialtycommercial property and casualty insurer--moved him into a slotthat had been held by Bob Deutsch since the company was licensed inthe Cayman Islands in 2006. Mr. Deutsch remains as president.

The transition came so quickly that early yesterday Mr. Deutschwas still listed on the company Web site as CEO. Lexington wasquicker putting up Mr. Eastwood as CEO on its Web site.

In announcing Mr. Kelley's appointment, Ironshore said thatunder his leadership, Lexington "had become the largest excess andsurplus lines insurer in the world."

In a statement, Mr. Deutsch said that "Ironshore's singularfocus has always been to create shareholder value by building aworld-class specialty insurance company. Attracting Kevin Kelley,one of the most talented insurance executives in the last twodecades, significantly increases our ability to take advantage ofthe changing insurance marketplace. I welcome the opportunity towork alongside him."

Bob Clements, a director and a founder of Ironshore, remarkedthat "Ironshore has accomplished a great deal under Bob Deutsch'sleadership these past two years, including establishing successfulplatforms in Bermuda, the U.S. and London. We thank Bob for hiscomplete support of Kevin and his future role as Kevin'spartner."

"I am excited to join Ironshore, and am impressed with what hasbeen accomplished in its first two years," said a statement fromMr. Kelley. "I look forward to working with Bob and his talentedcolleagues to grow Ironshore into a large, specialty company as itmoves from its initial development stage."

Lexington is a unit of AIG Commercial Insurance. Mr. Eastwoodjoined AIG in 1991, serving in a senior management position withAIG Executive liability, AIG Risk Finance, AIG Reinsurance Advisorsand Lexington Insurance Company.

Previously, Mr. Eastwood was responsible for managingLexington's extensive healthcare operations during his most recentposition as executive vice president of Lexington.

"Peter Eastwood's experience with AIG and Lexington make himideally suited to lead Lexington," said Mr. Moor. "With almost 20years of experience in high-profile underwriting positions, I amconfident he will maintain Lexington's industry leadership. Wegreatly appreciate Kevin Kelley's service to AIG and we wish himwell."