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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="5">UNITED STATES<br>
</font></b></font><b><font face="serif" size="5">SECURITIES AND EXCHANGE COMMISSION<br>
</font><font face="serif" size="3">WASHINGTON, D.C. 20549 </font></b></p>
<p align="center"><b><font face="serif" size="5">FORM 8-K </font></b></p>
<p align="center"><font size="2" face="serif"><b>CURRENT REPORT<br>
<br>
</b></font><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"><b>March 3, 2006</b><br>
</font><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.<br>
</font></b><font size="2" face="serif">(Exact name of registrant as specified in its charter) </font></p>
<table width="100%" cellspacing="0" cellpadding="0" border="0">
<tr align="center" valign="top">
<td width="33%"><font size="2" face="serif"><b>Bermuda</b></font></td>
<td width="33%"><font size="2" face="serif"><b>1-15259</b></font></td>
<td><font size="2" face="serif"><b>98-0214719</b></font></td>
</tr>
<tr valign="top">
  <td align="center"><font size="2" face="serif">(State or other jurisdiction<br>
    of incorporation or organization)    </font></td>
  <td align="center"><font size="2" face="serif">(Commission<br>
    File No.)    </font></td>
  <td align="center"><font size="2" face="serif">(I.R.S. Employer<br>
    Identification No.)  </font></td>
</tr>
<tr valign="top">
  <td align="left">&nbsp;</td>
  <td align="left">&nbsp;</td>
  <td align="left">&nbsp;</td>
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    <td width="20%">&nbsp;</td>
    <td valign="top"><font size="2" face="serif"><b>PXRE House<br>
    110 Pitts Bay Road    <br>
    Pembroke HM 08<br>
    Bermuda</b><br>
    (Address, including zip
code,</font><br>
<font size="2" face="serif"> of principal executive offices)</font><font size="2" face="serif">&nbsp;    </font></td>
    <td width="40%" valign="top"><font size="2" face="serif"><b>P.O. Box HM 1282<br>
Hamilton HM FX<br>
Bermuda<br>
</b>(Mailing
    address)</font></td>
  </tr>
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<p align="center"><font size="2" face="serif"><b>(441) 296-5858</b></font><br>
  <font size="2" face="serif"> (Registrant's telephone number, including area
code)</font></p>
<p align="center"><font size="2" face="serif"><b>NOT APPLICABLE<br>
</b></font><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">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Written
    communications pursuant
to Rule 425 under the Securities Act (17 CFR 230.425)</font></p>
<p align="left"><font size="2" face="serif"><img src="emptybox.gif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</font></p>
<p align="left"><font size="2" face="serif"><img src="emptybox.gif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;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">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;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><a href="#contents"><font size="2">Back to Contents</font></a></p>
<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 March 3, 2006, the Human Resources
    Committee of the Board of Directors of PXRE Group Ltd. (the &#8220;Company&#8221;)
    approved various retention bonuses to assist the Company and its subsidiaries
    to retain certain key employees to explore strategic alternatives and to
    implement any strategic alternative the Company elects to pursue. Among those
    to whom retention bonuses were awarded were three executive officers of the
    Company and its subsidiaries: Guy D. Hengesbaugh, Executive Vice President &amp; Chief
    Operating Officer of the Company; Robert P. Myron, Executive Vice President
    and Chief Financial Officer of the Company; and Bruce J. Byrnes, General
    Counsel and Secretary of PXRE Reinsurance Company. </font></p>
<p align="left"><font size="2" face="serif">Mr. Hengesbaugh will receive a retention
    bonus of $212,750 on December 31, 2006 if he remains in the employ of the
    Company through such date, provided that if Mr. Hengesbaugh&#8217;s employment
    is terminated without cause by the Company prior to December 31, 2006, he
    will be paid that amount upon termination.</font></p>
<p align="left"><font size="2" face="serif">Mr. Myron will receive retention
    bonuses of $162,500 on September 1, 2006 and $162,500 on March 15, 2007 if
    he remains in the employ of the Company through those dates, provided that
    if Mr. Myron&#8217;s employment is terminated without cause by the Company
    prior to those dates, he will be paid those amounts upon termination. In
    addition, on March 15, 2007, Mr. Myron will be paid his target bonus of $178,750
    under the Company&#8217;s 2004 Incentive Bonus Compensation Plan if he remains
    in the employ of the Company through that date, provided that if Mr. Myron&#8217;s
    employment is terminated without cause by the Company prior to March 15, 2007,
    he will be paid that amount upon termination.</font></p>
<p align="left"><font size="2" face="serif">Mr. Byrnes will receive retention
    bonuses of $189,000 on September 1, 2006 if he remains in the employ of PXRE
    Reinsurance Company through that date, provided that if Mr. Byrnes&#8217; employment
    is terminated without cause by PXRE prior to such date, he will be paid that
    amount upon termination. In addition, on March 15, 2007, Mr. Byrnes will
    be paid his target bonus of $207,900 under the Company&#8217;s 2004 Incentive
    Bonus Compensation Plan if he remains in the employ of the Company through
    that date, provided that if Mr. Byrnes&#8217; employment is terminated without
    cause by PXRE prior to March 15, 2007, he will be paid that amount upon termination.</font></p>
<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>
<p align="center"><font size="2" face="serif"><b><u>PXRE Group Ltd.<br>
</u></b></font><font size="2" face="serif">(Registrant) </font></p>
<table width="100%" cellspacing="0" cellpadding="0" align="center" border="0">
  <tr valign="top">
    <td width="50%" align="left">&nbsp;</td>
    <td width="5%" align="left"><font size="2" face="serif"><i>By:</i></font></td>
    <td align="left"><font size="2" face="serif"><i><u>/s/ Robert P. Myron&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u></i></font></td>
  </tr>
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    <td align="left">&nbsp;</td>
    <td align="left"><font size="2" face="serif"><i>Name:</i></font></td>
    <td align="left"><font size="2" face="serif"><i>Robert P. Myron</i></font></td>
  </tr>
  <tr valign="top">
    <td align="left">&nbsp;</td>
    <td align="left"><font size="2" face="serif"><i>Title:</i></font></td>
    <td align="left"><font size="2" face="serif"><i>Executive Vice President &amp; <br>
      Chief Financial Officer</i></font></td>
  </tr>
</table>
<p align="left"><font size="2" face="serif">Date: March 8, 2006 </font></p>
<p align="center"><font face="serif" size="2"></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
March 3, 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
of incorporation or organization)
(Commission
File No.)
(I.R.S. Employer
Identification No.)
PXRE House
110 Pitts Bay Road
Pembroke HM 08
Bermuda
(Address, including zip
code,
of principal executive offices)
P.O. Box HM 1282
Hamilton HM FX
Bermuda
(Mailing
    address)
(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))
Back to Contents
Item 1.01. Entry into a Material
Definitive Agreement
On March 3, 2006, the Human Resources
    Committee of the Board of Directors of PXRE Group Ltd. (the "Company")
    approved various retention bonuses to assist the Company and its subsidiaries
    to retain certain key employees to explore strategic alternatives and to
    implement any strategic alternative the Company elects to pursue. Among those
    to whom retention bonuses were awarded were three executive officers of the
    Company and its subsidiaries: Guy D. Hengesbaugh, Executive Vice President & Chief
    Operating Officer of the Company; Robert P. Myron, Executive Vice President
    and Chief Financial Officer of the Company; and Bruce J. Byrnes, General
    Counsel and Secretary of PXRE Reinsurance Company.
Mr. Hengesbaugh will receive a retention
    bonus of $212,750 on December 31, 2006 if he remains in the employ of the
    Company through such date, provided that if Mr. Hengesbaugh's employment
    is terminated without cause by the Company prior to December 31, 2006, he
    will be paid that amount upon termination.
Mr. Myron will receive retention
    bonuses of $162,500 on September 1, 2006 and $162,500 on March 15, 2007 if
    he remains in the employ of the Company through those dates, provided that
    if Mr. Myron's employment is terminated without cause by the Company
    prior to those dates, he will be paid those amounts upon termination. In
    addition, on March 15, 2007, Mr. Myron will be paid his target bonus of $178,750
    under the Company's 2004 Incentive Bonus Compensation Plan if he remains
    in the employ of the Company through that date, provided that if Mr. Myron's
    employment is terminated without cause by the Company prior to March 15, 2007,
    he will be paid that amount upon termination.
Mr. Byrnes will receive retention
    bonuses of $189,000 on September 1, 2006 if he remains in the employ of PXRE
    Reinsurance Company through that date, provided that if Mr. Byrnes' employment
    is terminated without cause by PXRE prior to such date, he will be paid that
    amount upon termination. In addition, on March 15, 2007, Mr. Byrnes will
    be paid his target bonus of $207,900 under the Company's 2004 Incentive
    Bonus Compensation Plan if he remains in the employ of the Company through
    that date, provided that if Mr. Byrnes' employment is terminated without
    cause by PXRE prior to March 15, 2007, he will be paid that amount upon termination.
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: March 8, 2006