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Prepared and filed by St Ives Financial
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 <p align="center"><font size="2" face="serif"><b><font face="serif" size="4">UNITED STATES </font></b></font><br>
<b><font face="serif" size="4">SECURITIES AND EXCHANGE COMMISSION </font></b><br>
<font face="serif" size="3">WASHINGTON, D.C. 20549 </font></p>
<p align="center"><b><font face="serif" size="4">FORM 8-K </font></b></p>
<p align="center"><font size="2" face="serif"><b>CURRENT REPORT </b></font></p>
<p align="center"><font size="2" face="serif"><b>PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 </b></font></p>
<p align="center"><font size="2" face="serif">December 29, 2006</font><br>
<font size="2" face="serif">Date of Report (Date of earliest event reported) </font></p>
<p align="center"><b><font face="serif" size="5">PXRE GROUP LTD. </font></b></p>
<p align="center"><font size="2" face="serif">(Exact name of registrant as specified in its charter) </font></p>
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<td width="33%"><font size="2" face="serif">Bermuda</font></td>
<td width="2%">&nbsp;</td>
<td width="33%"><font size="2" face="serif">1-15259</font></td>
<td width="2%">&nbsp;</td>
<td width="30%"><font size="2" face="serif">98-0214719</font></td>
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<tr align="center" valign="top" bgcolor="#FFFFFF">
<td><font size="2" face="serif">(State or other jurisdiction</font></td>
<td>&nbsp;</td>
<td><font size="2" face="serif">(Commission</font></td>
<td>&nbsp;</td>
<td><font size="2" face="serif">(I.R.S. Employer</font></td>
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<tr align="center" valign="top" bgcolor="#FFFFFF">
<td><font size="2" face="serif">of incorporation or organization)</font></td>
<td>&nbsp;</td>
<td><font size="2" face="serif">File No.)</font></td>
<td>&nbsp;</td>
<td><font size="2" face="serif">Identification No.)</font></td>
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<p>&nbsp;</p>
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    <td width="20%">&nbsp;</td>
    <td width="40%"><font size="2" face="serif">PXRE House</font></td>
    <td><font size="2" face="serif">P.O. Box HM 1282</font></td>
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    <td>&nbsp;</td>
    <td><font size="2" face="serif">110 Pitts Bay Road</font></td>
    <td><font size="2" face="serif">Hamilton HM FX</font></td>
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    <td>&nbsp;</td>
    <td><font size="2" face="serif">Pembroke HM 08</font></td>
    <td><font size="2" face="serif">Bermuda</font></td>
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    <td>&nbsp;</td>
    <td><font size="2" face="serif">Bermuda</font></td>
    <td>&nbsp;</td>
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    <td>&nbsp;</td>
    <td><font size="2" face="serif">(Address, including zip code,</font></td>
    <td><font size="2" face="serif">(Mailing address)</font></td>
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    <td>&nbsp;</td>
    <td><font size="2" face="serif">of principal executive offices)</font></td>
    <td>&nbsp;</td>
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<p align="center"><font size="2" face="serif"> (441) 296-5858</font><br>
<font size="2" face="serif"> (Registrant's telephone number, including area code)</font></p>
<p align="center"><font size="2" face="serif">NOT APPLICABLE </font><br>
<font size="2" face="serif">(Former Name or Former Address, if Changed Since Last Report) </font></p>
<p align="left"><font size="2" face="serif">Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): </font></p>
<p align="left"><font size="2" face="serif"><img src="emptybox.gif" width="12" height="12"> Written communications pursuant
to Rule 425 under the Securities Act </font><font size="2" face="serif">(17 CFR 230.425) </font></p>
<font size="2" face="serif"> </font>
<p align="left"><font size="2" face="serif"><img src="emptybox.gif" width="12" height="12"> Soliciting material pursuant to Rule 14a-12 under the Exchange Act </font><font size="2" face="serif">(17 CFR 240.14a-12) </font></p>
<p align="left"><font size="2" face="serif"><img src="emptybox.gif" width="12" height="12"> Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) </font></p>
<p align="left"><font size="2" face="serif"><img src="emptybox.gif" width="12" height="12"> Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) </font></p>
<p align="center">&nbsp;</p>
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<p align="left"><font size="2" face="serif"><b>Item 1.01.  Entry into a Material Definitive Agreement</b></font></p>
<p align="left"><font size="2" face="serif">On December 29, 2006, PXRE Reinsurance Ltd. (&#8220;PXRE&#8221;) and Barclays Bank
PLC (&#8220;Barclays&#8221;) entered into the Third Amendment (the &#8220;Amendment&#8221;) to the Letter of Credit
 Facility Agreement dated June 25, 2004 between PXRE and Barclays (the &#8220;LC Facility&#8221;).  The Amendment
reduces the available letter of credit capacity under the LC Facility from $250 million to $110 million and extends
 the term until December 31, 2007.  The Amendment is attached as Exhibit 99.l.</font></p>
<p align="left"><font size="2" face="serif"><b>Item 9.01. Financial Statements and Exhibits </b></font></p>
<p align="left">&nbsp;</p>
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    <td width="12%" align="left">&nbsp;</td>
    <td colspan="2" align="left"><font size="2" face="serif">(c) Exhibits</font></td>
    <td align="left">&nbsp;</td>
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<td width="12%" align="left"><font size="2" face="serif">Exhibit No.</font></td>
<td width="82%" align="left"><font size="2" face="serif">Description</font></td>
<td width="2%" align="left">&nbsp;</td> </tr>
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<td align="left"><font size="2" face="serif">99.1</font></td>
<td align="left"><font size="2" face="serif">Third Amendment, dated December 29, 2006, by and between PXRE Reinsurance Ltd.,
 as Borrower, and Barclays Bank PLC, as Issuer.</font></td>
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<p align="center"><font size="2" face="serif"><b>SIGNATURES </b></font></p>
<p align="left"><font size="2" face="serif">Pursuant to the requirements of the
    Securities Exchange Act of 1934, the registrant has duly caused this report
    to be signed on its behalf by the undersigned, thereunto duly authorized. </font></p>
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    <td width="7%">&nbsp;</td>
    <td><font size="2" face="serif"><b><u>PXRE Group Ltd. </u></b></font></td>
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    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td><font size="2" face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Registrant) </font></td>
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    <td>&nbsp;</td>
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    <td><font size="2" face="serif"><i>By: </i></font></td>
    <td><font size="2" face="serif"><i><u>/s/ Robert P. Myron</u></i></font></td>
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    <td>&nbsp;</td>
    <td><font size="2" face="serif"><i>Name:</i></font></td>
    <td><font size="2" face="serif"><i> Robert P. Myron</i></font></td>
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    <td>&nbsp;</td>
    <td><font size="2" face="serif"><i>Title: </i></font></td>
    <td><font size="2" face="serif"><i>Executive Vice President &amp; Chief
    Financial Officer</i></font></td>
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    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
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    <td>&nbsp;</td>
    <td>&nbsp;</td>
    <td>&nbsp;</td>
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<p align="left">&nbsp;</p>
<p align="left"><font size="2" face="serif">Date: January 3, 2007 </font></p>
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Prepared and filed by St Ives Financial
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
December 29, 2006
Date of Report (Date of earliest event reported)
PXRE GROUP LTD.
(Exact name of registrant as specified in its charter)
Bermuda
1-15259
98-0214719
(State or other jurisdiction
(Commission
(I.R.S. Employer
of incorporation or organization)
File No.)
Identification No.)
PXRE House
P.O. Box HM 1282
110 Pitts Bay Road
Hamilton HM FX
Pembroke HM 08
Bermuda
Bermuda
(Address, including zip code,
(Mailing address)
of principal executive offices)
(441) 296-5858
(Registrant's telephone number, including area code)
NOT APPLICABLE
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Written communications pursuant
to Rule 425 under the Securities Act
(17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act
(17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 1.01.  Entry into a Material Definitive Agreement
On December 29, 2006, PXRE Reinsurance Ltd. ("PXRE") and Barclays Bank
PLC ("Barclays") entered into the Third Amendment (the "Amendment") to the Letter of Credit
 Facility Agreement dated June 25, 2004 between PXRE and Barclays (the "LC Facility").  The Amendment
reduces the available letter of credit capacity under the LC Facility from $250 million to $110 million and extends
 the term until December 31, 2007.  The Amendment is attached as Exhibit 99.l.
Item 9.01. Financial Statements and Exhibits
(c) Exhibits
Exhibit No.
Description
99.1
Third Amendment, dated December 29, 2006, by and between PXRE Reinsurance Ltd.,
 as Borrower, and Barclays Bank PLC, as Issuer.
SIGNATURES
Pursuant to the requirements of the
    Securities Exchange Act of 1934, the registrant has duly caused this report
    to be signed on its behalf by the undersigned, thereunto duly authorized.
PXRE Group Ltd.
(Registrant)
By:
/s/ Robert P. Myron
Name:
Robert P. Myron
Title:
Executive Vice President & Chief
    Financial Officer
Date: January 3, 2007