<HTML>
<HEAD>
<TITLE>Form S-8</TITLE>
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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>As
filed with the Securities and Exchange Commission on July&nbsp;8, 2010</B></DIV>


<DIV align="right" style="font-size: 10pt; margin-top: 10pt"><B>Registration No.&nbsp;333-____</B>
</DIV>


<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 1pt solid black; font-size: 1pt">&nbsp;</DIV>




<DIV align="center" style="font-size: 14pt; margin-top: 10pt"><B>UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION</B>
</DIV>

<DIV align="center" style="font-size: 12pt"><B>WASHINGTON, D.C. 20549</B>
</DIV>

<DIV align="center" style="font-size: 1pt; margin-top: 10pt"><DIV align="center"><DIV style="font-size: 1pt; margin-top: 0pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV></DIV>

<DIV align="center" style="font-size: 18pt; margin-top: 10pt"><B>FORM S-8</B>
</DIV>


<DIV align="center" style="font-size: 12pt; margin-top: 10pt"><B>REGISTRATION STATEMENT<BR>
<i>UNDER THE<BR>
SECURITIES ACT OF 1933</i></B>
</DIV>

<DIV align="center" style="font-size: 1pt; margin-top: 10pt"><DIV align="center"><DIV style="font-size: 1pt; margin-top: 0pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV></DIV>

<DIV align="center" style="font-size: 24pt; margin-top: 10pt"><B>PRIMUS GUARANTY, LTD.</B>
</DIV>

<DIV align="center" style="font-size: 10pt">(Exact name of Registrant as Specified in its Charter)</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head --><TR valign="bottom">
    <TD width="47%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="47%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top"><B>Bermuda</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>98-0402357</B></TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">(State or Other Jurisdiction of
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(IRS Employer Identification No.)</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">Incorporation or Organization)</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body --></TABLE>
</DIV>

<DIV align="center" style="font-size: 1pt; margin-top: 10pt"><DIV align="center"><DIV style="font-size: 1pt; margin-top: 0pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>Clarendon House<BR>
2 Church Street<BR>
Hamilton HM 11, Bermuda</B><BR>
(Address of Principal Executive Offices)</DIV>

<DIV align="center" style="font-size: 1pt; margin-top: 10pt"><DIV align="center"><DIV style="font-size: 1pt; margin-top: 0pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>Primus Guaranty, Ltd. Incentive Compensation Plan<BR>
Written Compensation Agreements with Certain Employees</B><BR>
(Full Title of the Plan)</DIV>

<DIV align="center" style="font-size: 1pt; margin-top: 10pt"><DIV align="center"><DIV style="font-size: 1pt; margin-top: 0pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>Vincent Tritto, Esq.<BR>
Primus Asset Management, Inc.<BR>
360 Madison Avenue, 23rd Floor<BR>
New York, New York 10017<BR>
(212)&nbsp;697-2227</B><BR>
(Name, Address and Telephone Number of Agent for Service)</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><DIV align="center"><DIV style="font-size: 6pt; margin-top: 20pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>Copy to:</B></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>Stephen P. Farrell, Esq.<BR>
Morgan, Lewis &#038; Bockius LLP<BR>
101 Park Avenue<BR>
New York, New York 10178<BR>
(212)&nbsp;309-6000<BR>
Fax: (212)&nbsp;309-6001</B></DIV>

<DIV align="center" style="font-size: 1pt; margin-top: 10pt"><DIV align="center"><DIV style="font-size: 1pt; margin-top: 0pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV></DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a
non-accelerated filer, or a smaller reporting company. See the definitions of &#147;large accelerated
filer,&#148; &#147;accelerated filer&#148; and &#147;smaller reporting company&#148; in Rule&nbsp;12b-2 of the Exchange Act.
(Check one):
</DIV>



<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head --><TR valign="bottom">
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top">Large accelerated filer <FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Accelerated filer <FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Non-accelerated filer <FONT face="Wingdings">&#254;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT style="white-space: nowrap">Smaller reporting company <FONT face="Wingdings">&#111;</FONT></FONT></TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT style="white-space: nowrap">(Do not check if a smaller reporting company)</FONT></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body --></TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>CALCULATION OF REGISTRATION FEE</B></DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head --><TR valign="bottom">
    <TD width="1%">&nbsp;</TD>
    <TD width="46%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>

    <TD width="1%">&nbsp;</TD>
</TR><TR style="font-size: 1px" valign="bottom">
    <TD nowrap align="left" colspan="23" style="border-bottom: 3px double #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Proposed</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Maximum</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Proposed</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Offering</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Maximum</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Amount of</B></TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD nowrap align="left"><B>Title of Each Class of</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Amount to Be</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Price Per</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Aggregate</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Registration</B></TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD nowrap align="left"><B>Securities to Be Registered</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Registered</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Share</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Offering Price</B></TD>
    <TD style="border-right: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fee</B></TD>
    <TD width="1%">&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
                    <TD style="border-top: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Common shares, $0.08 par
value, subject to
restricted share units,
performance share units,
performance share awards or
deferred share awards, or
reserved for future grants,
under the Primus Guaranty,
Ltd. Incentive Compensation
Plan (the &#147;Incentive
Compensation Plan&#148;)</DIV></TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD colspan="3" align="right" style="border-top: 1px solid #000000" nowrap>15,849,213 shares(1)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">3.88</TD>
    <TD nowrap style="border-top: 1px solid #000000">(2)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">$</TD>
    <TD align="right" style="border-top: 1px solid #000000">61,494,946</TD>
    <TD nowrap style="border-top: 1px solid #000000">(2)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">$</TD>
    <TD align="right" style="border-top: 1px solid #000000">4,385</TD>
    <TD nowrap style="border-top: 1px solid #000000">(3)</TD>
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Common shares, $0.08 par
value, subject to
restricted share units
granted under written
compensation agreements
with certain employees (the
&#147;Written Compensation
Agreements&#148;)</DIV></TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD colspan="3" nowrap align="right" style="border-top: 1px solid #000000">378,000 shares(1)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">3.88</TD>
    <TD nowrap style="border-top: 1px solid #000000">(2)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">$</TD>
    <TD align="right" style="border-top: 1px solid #000000">1,466,640</TD>
    <TD nowrap style="border-top: 1px solid #000000">(2)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">$</TD>
    <TD align="right" style="border-top: 1px solid #000000">105</TD>
    <TD nowrap style="border-top: 1px solid #000000">(3)</TD>
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Restricted Share Units (4)</DIV></TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">(5)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Performance Share Units (4)</DIV></TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">(5)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Performance Share Awards (4)</DIV></TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">(5)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Deferred Share Awards (4)</DIV></TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">(5)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap style="border-top: 1px solid #000000">(6)</TD>
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Common shares TOTAL</DIV></TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD colspan="3" nowrap align="right" style="border-top: 1px solid #000000">16,227,213 shares(1)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">3.88</TD>
    <TD nowrap style="border-top: 1px solid #000000">(2)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">$</TD>
    <TD align="right" style="border-top: 1px solid #000000">62,961,586</TD>
    <TD nowrap style="border-top: 1px solid #000000">(2)</TD>
    <TD style="border-right: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 1px solid #000000">$</TD>
    <TD align="right" style="border-top: 1px solid #000000">4,490</TD>
    <TD nowrap style="border-top: 1px solid #000000">(3)</TD>
    <TD width="1%" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 1px" valign="bottom">
    <TD nowrap align="left" colspan="23" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>

<!-- End Table Body --></TABLE>
</DIV>





<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR style="font-size: 6pt">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="96">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Pursuant to Rule&nbsp;416 under the Securities Act of 1933, as amended (the &#147;Securities Act&#148;),
this Registration Statement shall also cover any additional common shares, $0.08 par value
(&#147;common shares&#148;), which become issuable under the Incentive Compensation Plan or any written
compensation agreements by reason of any share dividend, share split, recapitalization or any
other similar transaction effected without the receipt of consideration which results in an
increase in the number of outstanding common shares.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Calculated pursuant to paragraphs (c)&nbsp;and (h)&nbsp;of Rule&nbsp;457 (based upon the average of the
reported high and low sales prices for the Registrant&#146;s common shares as reported on the New
York Stock Exchange for July&nbsp;2, 2010).</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Calculated pursuant to Section 6(b) of the Securities Act, as follows: Proposed maximum
aggregate offering price per share multiplied by 0.0000713.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>Restricted share units, performance share units, performance share awards and deferred share
awards represent rights, with or without dividend equivalents, to acquire common shares for no
additional consideration pursuant to the Incentive Compensation Plan, upon the vesting thereof
or, with respect to restricted share units granted under the written compensation agreements,
pursuant to the written compensation agreements, upon the vesting thereof.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>Each restricted share unit, performance share unit, performance share award and deferred
share award shall represent a right to acquire one common share, subject to adjustment for any
stock dividend, stock split, recapitalization or any other similar transaction effected
without the receipt of consideration which results in an increase in the number of outstanding
common shares. The aggregate number of restricted share units, performance share units,
performance share awards and deferred share awards issued pursuant to the Incentive
Compensation Plan and the written compensation agreements shall not exceed the number of
common shares being registered herein, as adjusted pursuant to Rule&nbsp;416(a).</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(6)</TD>
    <TD>&nbsp;</TD>
    <TD>Included in the offering price and fee calculations for the common shares being registered
herein. Any value attributable to the restricted share units, performance share units,
performance share awards and deferred share awards, representing rights to acquire common
shares, is reflected in the market price of the common shares, and any restricted share units,
performance share units, performance share awards and deferred share awards sold will be sold
for consideration not to exceed the value of the underlying common shares represented by the
restricted share units, performance share units, performance share awards and deferred share
awards on the date of sale. Accordingly, there is no additional offering price or
registration fee with respect to the restricted share units, performance share units, performance share
awards and deferred share awards being registered herein.</TD>
</TR>

</TABLE>


<DIV style="width: 100%; border-bottom: 1pt solid black; margin-top: 10pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>




<P align="center" style="font-size: 10pt">&nbsp;

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><U>EXPLANATORY NOTE</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">This Registration Statement includes a form of prospectus to be used by officers, directors
and employees of ours and of our subsidiaries or by their donees, pledges or transferees or others
on their behalf, in connection with the resale of common shares, which common shares are registered
pursuant to this Registration Statement.
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">



<DIV align="center" style="font-size: 10pt; margin-top: 10pt">PART I<BR><BR>
INFORMATION REQUIRED IN THE SECTION 10(a) PROSPECTUS
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Item&nbsp;1. <U>Plan Information</U>.*
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Item&nbsp;2. <U>Registrant Information and Employee Plan Annual Information</U>.*
</DIV>




<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR style="font-size: 6pt">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="96">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Information required by Part&nbsp;I of Form S-8 to be contained in the Section 10(a) prospectus is
omitted from this Registration Statement in accordance with Rule&nbsp;428 under the Securities Act and
the Note to Part&nbsp;I of Form S-8.</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">





<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>PROSPECTUS</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>2,328,199 SHARES</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>PRIMUS GUARANTY, LTD.</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>COMMON SHARES</B>
</DIV>


<DIV align="center" style="font-size: 1pt; margin-top: 10pt"><DIV align="center"><DIV style="font-size: 1pt; margin-top: 0pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">This prospectus relates to the resale of our common shares by officers, directors and
employees of ours and of our subsidiaries or by their donees, pledges or transferees or others on
their behalf. The common shares which may be sold have previously been acquired, or will be
acquired, by these individuals pursuant to awards under our Incentive Compensation Plan or written
compensation contracts. We will not receive any of the proceeds from the sale of these common
shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">We will pay all expenses in connection with the registration of the common shares; we will not
pay commissions, discounts and fees of underwriters, brokers, dealers or agents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">You should carefully read this prospectus and any prospectus supplement, together with the
documents incorporated by reference, before you invest in our common shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">Our
common shares are listed on the New York Stock Exchange (NYSE:PRS). On July 7, 2010 the
last reported sale prices of the common shares on the NYSE was $3.97 per share.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%"><I>See &#147;Risk Factors&#148; in our Annual Report on </I><I>Form 10-K</I><I> for the fiscal year ended December&nbsp;31,
2009, which is incorporated by reference herein, to read about factors you should consider before
buying our common shares.</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%"><B>Neither the Securities and Exchange Commission nor any state securities commission has
approved or disapproved of these securities or determined if this prospectus is truthful or
complete. Any representation to the contrary is a criminal offense.</B>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt">Prospectus
dated July&nbsp;8, 2010
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">



<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%"><I>This Prospectus contains forward-looking statements within the meaning of the safe harbor
provisions of U.S. Private Securities Litigation Reform Act of 1995 with respect to our future
financial or business performance, strategies or expectations. Forward-looking statements are
subject to numerous assumptions, risks and uncertainties, which change over time. All statements,
other than statements of historical facts, included in this document regarding our strategy, future
operations, future financial position, future revenues, projected costs, prospects, plans and
objectives of management are forward-looking statements. The words &#147;anticipate,&#148; &#147;believe,&#148;
&#147;estimate,&#148; &#147;expect,&#148; &#147;intend,&#148; &#147;may,&#148; &#147;plan,&#148; &#147;potential,&#148; &#147;project,&#148; &#147;opportunity,&#148; &#147;seek,&#148;
&#147;will,&#148; &#147;would&#148; and similar expressions are intended to identify forward-looking statements,
although not all forward-looking statements contain these identifying words. We may not actually
achieve the plans, intentions or expectations disclosed in our forward-looking statements and you
should not place undue reliance on our forward-looking statements. Actual results or events could
differ materially from the plans, intentions and expectations disclosed in the forward-looking
statements we make and future results could differ materially from historical performance. We have
included important factors in the cautionary statements included in our Annual Report on </I><I>Form 10-K</I><I>,
which is incorporated by reference herein, particularly in the &#147;Risk Factors&#148; section of such
Annual Report, that we believe could cause actual results or events to differ materially from the
forward-looking statements that we make. Our forward-looking statements do not reflect the
potential impact of any future acquisitions, mergers, dispositions, joint ventures or investments
we may make. Forward-looking statements speak only as of the date they are made, and we do not
assume any obligation to, and do not undertake to, update any forward-looking statements.</I>
</DIV>
<P align="center" style="font-size: 10pt; text-indent: 8%">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>PROSPECTUS SUMMARY</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%"><I>This summary provides a brief overview of the key aspects of Primus Guaranty, Ltd. and all
material terms of the offered securities that are known as of the date of this prospectus. Unless
otherwise indicated or the context otherwise requires, when we use the words the Company, we, us,
ours and our, we are referring to Primus Guaranty, Ltd., when we use the words Primus Asset
Management, we are referring to Primus Asset Management, Inc. alone or collectively with its wholly
owned subsidiary, CypressTree Investment Management, LLC (&#147;CypressTree&#148;), and when we use the words
Primus Financial, we are referring to Primus Financial Products, LLC alone or collectively with its
wholly owned subsidiaries. For a more complete understanding of the terms of a particular issuance
of offered securities, and before making your investment decision, you should carefully read:</I>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>this prospectus, which explains the general terms of the securities that we may
offer; and</I></TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="8%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>the documents referred to in &#147;Where You Can Find More Information&#148; for information
about us, including our financial statements.</I></TD>
</TR>

</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>Primus Guaranty, Ltd.</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">We are a Bermuda company that was incorporated in 1998 and are a holding company that
currently conducts business through two operating subsidiaries, Primus Asset Management and Primus
Financial Products. Primus Asset Management is an investment manager to affiliated companies and
third-party entities. Primus Financial Products, LLC is a credit derivative product company
(&#147;CDPC&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">Primus Asset Management, a Delaware corporation, acts as manager of the credit swap and cash
investment portfolios of its affiliate, Primus Financial. Additionally Primus Asset Management
manages collateralized loan obligations (&#147;CLOs&#148;), collateralized swap obligations (&#147;CSOs&#148;),
investment fund vehicles and separately managed accounts on behalf of third parties. The CLOs issue
securities backed by a diversified pool of primarily below investment grade rated senior secured
loans of corporations. The CSOs issue securities backed by one or more credit swaps sold against a
diversified pool of investment grade corporate or sovereign Reference Entities (as defined below).
Primus Asset Management receives fees for its investment management services. In general, such
management fees are calculated based on a percentage of assets under management, subject to
applicable contractual terms. Primus Asset Management also has entered into a Services Agreement
with its affiliates, whereby it provides management, consulting and information technology
services, among others, to its affiliates. As of March&nbsp;31, 2010, Primus Asset Management managed
Primus Financial&#146;s credit swap portfolio of $16.4&nbsp;billion in notional amount and together with
CypressTree managed assets of approximately $3.5&nbsp;billion in CLOs, CSOs, investment fund vehicles
and separately managed accounts.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">Primus Financial is a Delaware limited liability company that, as a CDPC, was established to
sell credit protection in the form of credit swaps primarily to global financial institutions and
major credit swap dealers, referred to as counterparties, against primarily investment grade credit
obligations of corporate and sovereign issuers. In exchange for a fixed quarterly premium, Primus
Financial agreed, upon the occurrence of a defined credit event (e.g., bankruptcy, failure to pay
or restructuring) affecting a designated issuer, referred to as a
Reference Entity, to pay to its counterparty an amount determined through industry-sponsored
auctions equivalent to the notional amount of the credit swap less the auction-determined recovery
price of the underlying debt obligation. Primus Financial may elect to acquire the underlying
security in the related auction or in the market and seek to sell such obligation at a later date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">Our registered office is located at Clarendon House, 2 Church Street, Hamilton HM 11, Bermuda.
The telephone number is 441-296-0519. The offices of Primus Asset Management and Primus Financial
are located at 360 Madison Avenue, New York, New York 10017, and their telephone number is
212-697-2227.
</DIV>
<P align="center" style="font-size: 10pt; text-indent: 8%">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>WHERE YOU CAN FIND MORE INFORMATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">We must file annual, quarterly and special reports, proxy statements and other information
with the Securities and Exchange Commission (the &#147;SEC&#148;). You may read and copy any documents we
file at the SEC&#146;s public reference rooms in Washington, D.C. Please call the SEC at 1-800-SEC-0330
for further information on the public reference facility. Our SEC filings are also available to
the public from the SEC&#146;s Web site at http://www.sec.gov.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">The SEC allows us to &#147;incorporate by reference&#148; information into this prospectus, which means
that we can disclose important information to you by referring you to another document filed
separately with the SEC. The information incorporated by reference is considered to be part of
this prospectus. Information in this prospectus may update documents previously filed with the
SEC, and later information that we file with the SEC will automatically update this prospectus. We
incorporate by reference the documents listed below and any future filings made with the SEC under
Section&nbsp;13(a), 13(c), 14 or 15(d) of the Securities Exchange Act of 1934, as amended (the &#147;Exchange
Act&#148;), prior to the termination of the offering:
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Our Annual Report on Form 10-K for the fiscal period ended December&nbsp;31,
2009 filed with the SEC on March&nbsp;16, 2010;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Our Current Reports on Form 8-K filed with the SEC on March&nbsp;31, 2010,
May&nbsp;4, 2010 and May&nbsp;13, 2010;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Our Quarterly Report on Form 10-Q for the fiscal quarter ended March
31, 2010, filed with the SEC on May&nbsp;17, 2010; and</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Our Form 8-A (File Number 001-32307) filed with the SEC on September
24, 2004, including any amendments or reports filed for the purpose of updating the
description of our common shares.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">You may request a copy of these filings at no cost, by writing or telephoning us at the
following address:
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt">Primus Guaranty, Ltd.<BR>
c/o Primus Asset Management, Inc.<BR>
360 Madison Avenue, 23rd Floor<BR>
New York, New York 10017<BR>
Attention: Investor Relations<BR>
(212)&nbsp;697-2227
</DIV>


<DIV align="center" style="font-size: 1pt; margin-top: 10pt"><DIV align="center"><DIV style="font-size: 1pt; margin-top: 0pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%"><B>You should rely only on the information provided in this prospectus, as well as the
information incorporated by reference. We have not authorized anyone to provide you with different
information. We are not making an offer of these securities in any jurisdiction where the offer is
not permitted. You should not assume that the information in this prospectus, any prospectus
supplement or any documents incorporated by reference is accurate as of any date other than the
date of the applicable document. This prospectus does not constitute an offer to sell or
solicitation of an offer to buy.</B>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt">Information on our Web site is not part of this prospectus.
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">



<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>USE OF PROCEEDS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">We will not receive any of the proceeds from the sale of the common shares by the individuals
named herein.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>SELLING SHAREHOLDERS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">The following table identifies the beneficial ownership of our common shares, any of whom may
use this prospectus to sell our common shares. We do not know whether the individuals listed below
will sell any or all of their common shares covered by this prospectus. Assuming all such common
shares are sold by them, none of the individuals would own one percent (1%) or more of our common
shares unless indicated below.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head --><TR valign="bottom">
    <TD width="58%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="9%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="9%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="9%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Covered By This</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><b>Owned After</b></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000"><B>Owner</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares Owned</B><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Prospectus</B><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Sales</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff; padding-top: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Non-Executive Directors and
Non-Executive Director Nominees:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Michael P. Esposito, Jr., Chairman</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">148,405</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,806</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">104,599</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff; padding-top: 1px">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Frank P. Filipps</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">58,808</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(4)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,806</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">15,002</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Paul S. Giordano</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">48,154</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top"> (5)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,806</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">4,348</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff; padding-top: 1px">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Thomas J. Hartlage</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5,500</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top"> (6)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">52,733</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(7)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">5,500</TD>
    <TD nowrap>*<SUP style="font-size: 85%; vertical-align: text-top">(6)</SUP></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Robert R. Lusardi</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">85,598</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top"> (8)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,806</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">41,792</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff; padding-top: 1px">
    <TD><DIV style="margin-left:30px; text-indent:-15px">James H. MacNaughton</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">36,928</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top"> (9)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34,428</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">2,500</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD><DIV style="margin-left:30px; text-indent:-15px">John A. Ward, III</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">78,589</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top"> (10)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,806</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">20,000</TD>
    <TD nowrap>*</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff; padding-top: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Officers and Employees:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD><DIV style="margin-left:0px; text-indent:-0px">Thomas W. Jasper<br>
<I>Chief Executive Officer &#038; Director</I></DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">1,545,288</TD>
    <TD nowrap> <SUP style="font-size: 85%; vertical-align: text-top">(11)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">1,600,753</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top"> (12)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">1,151,445</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(13)</SUP></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff; padding-top: 1px">
    <TD><DIV style="margin-left:0px; text-indent:0px">Richard Claiden<br>
<I>Chief Financial and Operating Officer</I></DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">361,314</TD>
    <TD nowrap> <SUP style="font-size: 85%; vertical-align: text-top">(14)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">421,255</TD>
    <TD nowrap> <SUP style="font-size: 85%; vertical-align: text-top">(15)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">363,199</TD>
    <TD nowrap>*</TD>
</TR>
<!-- End Table Body --></TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt">We may supplement this table to reflect additional awards made under our Incentive Compensation
Plan to the named individuals or to others.
</DIV>

<DIV align="left"><DIV style="font-size: 10pt; margin-top: 10pt; width: 18%; border-bottom: 1px solid #000000">&nbsp;</DIV></DIV>



<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR style="font-size: 6pt">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="96">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Less than 1% of common shares outstanding.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>The number shown reflects the number of common shares beneficially owned as of May&nbsp;10, 2010,
to the knowledge of the Company, based on information furnished by the persons named, public
filings and the Company&#146;s records. A person is deemed to be a beneficial owner of common
shares if the person, either alone or with others, has the power to vote or to dispose of
those common shares. Except as otherwise indicated below and subject to applicable community
property laws, each owner has sole voting and sole investment authority with respect to the
shares listed. To the extent indicated in the notes below, common shares beneficially owned by
a person include common shares of which the person has the right to acquire beneficial
ownership within 60&nbsp;days after May&nbsp;10, 2010. There were 39,000,883 of the Company&#146;s common
shares outstanding as of May&nbsp;10, 2010.</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">




<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR style="font-size: 6pt">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="96">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>The common shares in this column for non-executive directors and non-executive director
nominees include transfer restrictions that lapse after such non-executive directors or
non-executive director nominees leave the Board.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 48,405 common shares with transfer restrictions that lapse after Mr.&nbsp;Esposito leaves the Board.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 58,589 common shares with transfer restrictions that lapse after Mr.&nbsp;Filipps leaves the Board.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 48,154 common shares with transfer restrictions that lapse after Mr.&nbsp;Giordano leaves the Board.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(6)</TD>
    <TD>&nbsp;</TD>
    <TD>Excludes 5,582,585 common shares owned by Transamerica Life Insurance Company, as to which
Mr.&nbsp;Hartlage disclaims beneficial ownership. Also excludes 58,589 common shares with transfer
restrictions that lapse after he leaves the Board, as to which Mr.&nbsp;Hartlage has ceded his
ownership to Transamerica Life Insurance Company.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(7)</TD>
    <TD>&nbsp;</TD>
    <TD>These are common shares granted under the Incentive Compensation Plan with transfer
restrictions that lapse after Mr.&nbsp;Hartlage leaves the Board, as to which he has ceded his
ownership to Transamerica Life Insurance Company.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(8)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 56,798 common shares with transfer restrictions that lapse after Mr.&nbsp;Lusardi leaves the Board.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(9)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 34,428 common shares with transfer restrictions that lapse after Mr.&nbsp;MacNaughton leaves the Board.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(10)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 58,589 common shares with transfer restrictions that lapse after Mr.&nbsp;Ward leaves the Board.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(11)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 119,523 common shares beneficially owned by Mr.&nbsp;Jasper by trust and 405,000 common
shares which may be acquired upon the exercise of options. Also includes 423,516 deferred
common shares deliverable six months after Mr.&nbsp;Jasper&#146;s departure from the Company. Excludes
50,000 unvested options and 1,064,086 unvested restricted share units. Unvested awards are
shown without reduction for any withholding tax that may be paid in kind.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(12)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 50,000 unvested options and 1,064,086 unvested restricted share units. Unvested
awards are shown without reduction for any withholding tax that may be paid in kind.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(13)</TD>
    <TD>&nbsp;</TD>
    <TD>Mr.&nbsp;Jasper would own 2.95% of the common shares outstanding as of May&nbsp;10, 2010 after sale of
the common shares covered by this prospectus.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(14)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 128,200 common shares which may be acquired upon the exercise of options. Also
includes 233,114 deferred common shares deliverable six months after Mr.&nbsp;Claiden&#146;s departure
from the Company. Excludes 25,000 unvested options and 398,140 unvested restricted share
units. Unvested awards are shown without reduction for any withholding tax that may be paid in
kind.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(15)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 25,000 unvested options and 398,140 unvested restricted share units. Unvested
awards are shown without reduction for any withholding tax that may be paid in kind.</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">





<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>PLAN OF DISTRIBUTION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">The common shares covered by this prospectus will be sold, if at all, by the individuals named
above or by their donees, pledgees, transferees or others on their behalf, and not by us. The
common shares may be sold from time to time as follows:
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>on the New York Stock Exchange, in the over-the-counter market, on an inter-dealer
quotation system or on another national securities exchange (any of which may involve
crosses and block transactions);</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>to purchasers directly;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>in ordinary brokerage transactions in which the broker solicits purchasers;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>through underwriters, dealers and agents who may receive compensation in the form of
underwriting discounts, concessions or commissions from a seller and/or the purchasers of
the common shares for whom they may act as agent;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>through the writing of put or call options on the common shares;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>through the granting of a security interest in any common share as collateral for any
loan or obligation, including such grants to brokers or dealers who may from time to time
effect distributions of the common shares or other interests in the common shares;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>through purchases by a broker or dealer as principal and resale by such broker or dealer
for its own account pursuant to this prospectus;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>through block trades in which the broker or dealer so engaged will attempt to sell the
common shares as agent or as riskless principal but may position and resell a portion of
the block as principal to facilitate the transaction;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>through exchange distributions in accordance with the rules of the applicable exchange;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>in any combination of one or more of these methods; or</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>in any other lawful manner.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">These sales may be made at prices related to the then current market price or otherwise at
prices and on terms then prevailing, or in privately negotiated transactions. In effecting sales,
a broker or dealer engaged by an individual using this prospectus to sell common shares may arrange
for other brokers or dealers to participate in the sale. In addition, any common shares covered by
this prospectus which qualify for sale pursuant to Section&nbsp;4(1) of the Securities Act of 1933, as
amended (the &#147;Securities Act&#148;), or Rule&nbsp;144 or 701(g) under the Securities Act, may be sold
thereunder rather than by this prospectus.
</DIV>
<P align="center" style="font-size: 10pt; text-indent: 8%">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">In connection with distributions of the common shares or otherwise, persons using this
prospectus to sell common shares may enter into hedging transactions with broker-dealers. In
connection with hedging a transaction, a broker-dealer may engage in short sales of common shares
registered hereunder in the course of hedging the positions it assumes with the seller. The seller
may also sell common shares short and deliver the common shares to close out the short positions.
The seller may also enter into an option or other transaction with a broker-dealer which requires
the delivery to the broker-dealer of common shares we have registered, which the broker-dealer may
resell by this prospectus.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">A seller may pay a broker-dealer or an agent compensation in the form of commissions,
discounts or concessions. The broker-dealer and any other participating broker-dealer may be
deemed to be &#147;underwriters&#148; within the meaning of the Securities Act in connection with such sales
and any such commission, discount or concession may be deemed to be underwriting discounts or
commissions under the Securities Act.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">We may be required to file a supplemented prospectus in connection with any activities
involving a seller which may be deemed to be an &#147;underwriting.&#148; In that case, a supplement to this
prospectus would contain (1)&nbsp;information as to whether an underwriter selected by a seller, or any
other broker-dealer, is acting as principal or agent for the seller, (2)&nbsp;the compensation to be
received by an underwriter selected by a seller or any broker-dealer, for acting as principal or
agent for a seller and (3)&nbsp;the compensation to be received by any other broker-dealer, in the event
the compensation of such other broker-dealers is in excess of usual and customary commissions. Any
broker or dealer participating in any distribution of the common shares may be required to deliver
a copy of this prospectus, including any prospectus supplement, to any individual who purchases any
common shares from or through such a broker-dealer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">We have advised the people identified in this prospectus as potential sellers of common shares
that during any period when they may be engaged in a distribution of the common shares offered by
this prospectus, they are required to comply with Regulation&nbsp;M promulgated under the Exchange Act.
With certain exceptions, Regulation&nbsp;M precludes any seller, any affiliated purchaser and any
broker-dealer or other individual who participates in such a distribution from bidding for or
purchasing, or attempting to induce any individual to bid for or purchase any security, that is the
subject of the distribution until the entire distribution is complete. Regulation&nbsp;M also prohibits
any bids or purchases made in order to stabilize the price of a security in connection with the
distribution of that security. All of these factors may affect the marketability of our common
shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">The people identified in this prospectus as potential sellers of common shares offer to sell
all, some or none of the common shares covered by this prospectus. Because it is possible that a
significant number of common shares could be sold simultaneously by means of this prospectus, such
sales, or the possibility thereof, may have an adverse effect on the market price of our common
shares.
</DIV>
<P align="center" style="font-size: 10pt; text-indent: 8%">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>VALIDITY OF COMMON SHARES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">The validity of the common shares which may be offered hereunder has been passed upon by
Conyers Dill &#038; Pearman Limited, Hamilton, Bermuda.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>EXPERTS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">The consolidated financial statements of Primus Guaranty, Ltd. appearing in Primus Guaranty,
Ltd&#146;s Annual Report on Form 10-K for the year ended December&nbsp;31, 2009, and the effectiveness of
Primus Guaranty, Ltd.&#146;s internal control over financial reporting as of December&nbsp;31, 2009, have been
audited by Ernst &#038; Young LLP, independent registered public accounting firm, as set forth in their
reports thereon, included therein, and incorporated herein by reference. Such consolidated
financial statements are incorporated herein by reference in reliance upon such reports given on
the authority of such firm as experts in accounting and auditing.
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">



<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>PART II<BR><BR>

INFORMATION REQUIRED IN THE REGISTRATION STATEMENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Item&nbsp;3. <U>Incorporation of Documents by Reference</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">The following documents, previously filed by the Registrant with the Securities and Exchange
Commission (the &#147;SEC&#148;), are incorporated by reference into this Registration Statement:
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Our Annual Report on Form 10-K for the fiscal period ended December&nbsp;31,
2009 filed with the SEC on March&nbsp;16, 2010;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Our Current Report on Form 8-K filed with the SEC on March&nbsp;31, 2010,
May&nbsp;4, 2010 and May&nbsp;13, 2010;</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Our Quarterly Report on Form 10-Q for the fiscal quarter ended March
31, 2010, filed with the SEC on May&nbsp;17, 2010; and</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 10pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(d)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Our Form 8-A (File Number 001-32307) filed with the SEC on September
24, 2004, including any amendments or reports filed for the purpose of updating the
description of our common shares.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">All reports and other documents subsequently filed by the Registrant pursuant to Section
13(a), 13(c), 14 or 15(d) of the Exchange Act, prior to the filing of a post-effective amendment
which indicates that all securities offered have been sold, or which deregisters all securities
then remaining unsold, shall be deemed to be incorporated by reference in this Registration
Statement and to be a part hereof from the date of filing of such documents.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">Any statement contained herein or in a document, all or a portion of which is incorporated or
deemed to be incorporated by reference herein, shall be deemed to be modified or superseded for
purposes of this Registration Statement to the extent that a statement contained herein or in any
other subsequently filed document which also is or is deemed to be incorporated by reference herein
modifies or supersedes such statement. Any such statement so modified or superseded shall not be
deemed, except as so modified or superseded, to constitute a part of this Registration Statement.
</DIV>
<P align="center" style="font-size: 10pt; text-indent: 8%">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">

<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Item&nbsp;4. <U>Description of Securities</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%">Not Applicable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Item&nbsp;5. <U>Interests of Named Experts and Counsel</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%">Not Applicable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Item&nbsp;6. <U>Indemnification of Directors and Officers</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">Under Bermuda law we may and under our Bye-laws, we will indemnify our directors, officers,
the resident representative of the Company, any other person appointed to a committee of the board
of directors and certain other persons (and their respective heirs, executors or administrators) to
the full extent permitted by law against all actions, costs, charges, liabilities, loss, damage or
expense incurred or suffered by such person by reason of any act done, concurred in or omitted in
the discharge of his/her duties; provided that such indemnification shall not extend to any matter
involving any fraud or dishonesty on the part of such director, officer or other person. Under our
Bye-laws, the Company and each of our shareholders agree to waive any claim or right of action,
other than those involving fraud or dishonesty, against any of our officers, directors or resident
representative arising out of any action taken by such persons, or the failure to take any action,
in the performance of his or her duties with or for us.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">We have entered into indemnification agreements with our directors and officers under which we
have agreed to indemnify any director or officer made, or threatened to be made, a party to any
action or proceeding (including an action by or in the right of Primus Guaranty, Ltd.), whether
civil or criminal, by reason of the fact that any of them is or was a director or officer of our
company, or was serving at our request as a director or officer of another corporation,
partnership, joint venture, trust, employee benefit plan or other enterprise in any capacity,
against any judgments, fines, amounts paid in settlement and reasonable expenses which they incur.
We also maintain liability insurance covering our directors and officers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Item&nbsp;7. <U>Exemption from Registration Claimed</U>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">Certain outstanding securities to be resold under this registration statement were sold by
Primus Guaranty, Ltd. in transactions that were exempt from the registration requirements of the
Securities Act either (i)&nbsp;pursuant to Section&nbsp;4(2) of the Securities Act, or Regulation&nbsp;D
promulgated thereunder, or (ii)&nbsp;with respect to issuances to officers or directors, Rule&nbsp;701,
promulgated under Section 3(b) of the Securities Act, as transactions by an issuer not involving a
public offering or transactions pursuant to compensatory benefit plans and contracts relating to
compensation as provided under Rule&nbsp;701.
</DIV>
<P align="center" style="font-size: 10pt; text-indent: 8%">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">

<DIV align="left" style="font-size: 10pt; margin-top: 10pt"><U>Exhibits</U>.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head --><TR valign="bottom">
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="77%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Exhibit</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">Description</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Memorandum of Association of Primus Guaranty, Ltd. (Incorporated by
reference to Exhibit&nbsp;3.1 to the S-1 dated July&nbsp;23, 2004)</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Bye-Laws of Primus Guaranty, Ltd. (Incorporated by reference to
Exhibit&nbsp;3.2 to the S-1/A dated June&nbsp;10, 2004)</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Primus Guaranty, Ltd. Incentive Compensation Plan (including
amendments through January&nbsp;28, 2009) (Incorporated by reference to
Exhibit&nbsp;10.12 to the Form&nbsp;10-K filed on March&nbsp;16, 2009)</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">5.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Opinion of Conyers Dill &#038; Pearman Limited.</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">23.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Consent of Ernst &#038; Young LLP.</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">23.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Consent of Conyers Dill &#038; Pearman Limited (included in Exhibit&nbsp;5.1).</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">24</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Powers of Attorney (included on signature page).</DIV></TD>
</TR>
<!-- End Table Body --></TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Item&nbsp;8. <U>Undertakings</U>.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%">(a)&nbsp;The undersigned Registrant hereby undertakes:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%; text-indent: 4%">(1)&nbsp;To file, during any period in which offers or sales are being made, a
post-effective amendment to this Registration Statement:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 16%">(i)&nbsp;To include any prospectus required by Section&nbsp;10(a)(3) of the Securities Act;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%; margin-left: 8%">(ii)&nbsp;To reflect in the prospectus any facts or events arising after the effective date of this
Registration Statement (or the most recent post-effective amendment thereof) which, individually or
in the aggregate, represent a fundamental change in the information set forth in this Registration
Statement; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%; margin-left: 8%">(iii)&nbsp;To include any material information with respect to the plan of distribution not
previously disclosed in this Registration Statement or any material change to such information in
this Registration Statement;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%"><U>provided</U>, <U>however</U>, that paragraphs (a)(1)(i) and (a)(1)(ii) shall not
apply if the information required to be included in a post-effective amendment by those
paragraphs is contained in periodic reports filed with or furnished to the Commission by
the Registrant pursuant to Section&nbsp;13 or Section 15(d) of the Exchange Act that are
incorporated by reference in this Registration Statement.
</DIV>
<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%; text-indent: 4%">(2)&nbsp;That, for the purpose of determining any liability under the Securities Act,
each such post-effective amendment shall be deemed to be a new registration
statement relating to the securities offered therein, and the offering of such
securities at that time shall be deemed to be the initial <I>bona fide </I>offering thereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%; text-indent: 4%">(3)&nbsp;To remove from registration by means of a post-effective amendment any of the
securities being registered which remain unsold at the termination of the offering.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%; text-indent: 4%">(4)&nbsp;That, for the purpose of determining liability of the Registrant under the
Securities Act to any purchaser in the initial distribution of the securities: The
undersigned Registrant undertakes that in a primary offering of securities of the
undersigned Registrant pursuant to this Registration Statement, regardless of the
underwriting method used to sell the securities to the purchaser, if the securities are
offered or sold to such purchaser by means of any of the following communications, the
undersigned Registrant will be a seller to the purchaser and will be considered to offer
or sell such securities to such purchaser:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%; text-indent: 8%">(i)&nbsp;Any preliminary prospectus or prospectus of the undersigned Registrant relating
to the offering required to be filed pursuant to Rule&nbsp;424;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%; text-indent: 8%">(ii)&nbsp;Any free writing prospectus relating to the offering prepared by or on behalf
of the undersigned Registrant or used or referred to by the undersigned Registrant;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%; text-indent: 8%">(iii)&nbsp;The portion of any other free writing prospectus relating to the offering
containing material information about the undersigned Registrant or its securities
provided by or on behalf of the undersigned Registrant; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; margin-left: 8%; text-indent: 8%">(iv)&nbsp;Any other communication that is an offer in the offering made by the
undersigned Registrant to the purchaser.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">(b)&nbsp;The undersigned Registrant hereby undertakes that, for purposes of determining any
liability under the Securities Act, each filing of the Registrant&#146;s annual report pursuant to
Section 13(a) or Section 15(d) of the Exchange Act (and, where applicable, each filing of an
employee benefit plan&#146;s annual report pursuant to Section 15(d) of the Exchange Act) that is
incorporated by reference in the Registration Statement shall be deemed to be a new registration
statement relating to the securities offered therein, and the offering of such securities at that
time shall be deemed to be the initial <I>bona fide </I>offering thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">(c)&nbsp;Insofar as indemnification for liabilities arising under the Securities Act may be
permitted to directors, officers and controlling persons of the Registrant pursuant to the
foregoing provisions, or otherwise, the Registrant has been advised that in the opinion of the
Commission such indemnification is against public policy as expressed in the Securities Act and is,
therefore, unenforceable. In the event that a claim for indemnification against such liabilities
(other than the payment by the Registrant of expenses incurred or paid by a director, officer or
controlling person of the Registrant in the successful defense of any action, suit or proceeding)
is asserted by such director, officer or controlling person in connection with the securities being
registered, the Registrant will, unless in the opinion of its counsel the matter has been
settled by controlling precedent, submit to a court of appropriate jurisdiction the question
whether such indemnification by it is against public policy as expressed in the Securities Act and
will be governed by the final adjudication of such issue.
</DIV>
<P align="center" style="font-size: 10pt; text-indent: 8%">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>SIGNATURES AND POWERS OF ATTORNEY</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">Pursuant to the requirements of the Securities Act of 1933, as amended, the Registrant
certifies that it has reasonable grounds to believe that it meets all of the requirements for
filing on Form S-8 and has duly caused this Registration Statement to be signed on its behalf by
the undersigned, thereunto duly authorized, in Hamilton, Bermuda, on
July 8, 2010.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">PRIMUS GUARANTY, LTD.<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ Thomas W. Jasper
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">Thomas W. Jasper&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">Chief Executive Officer&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
</TABLE>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">Each person whose signature appears below constitutes and appoints each of Thomas W. Jasper,
Richard Claiden and Vincent Tritto, his true and lawful attorney-in-fact and agent, with full power
of substitution and resubstitution, for him and in his name, place and stead, in any and all
capacities, to sign any and all amendments (including post-effective amendments) to this
Registration Statement and any and all other documents and instruments incidental thereto, and to
file the same, with all exhibits thereto, and all documents in connection therewith, with the
Securities and Exchange Commission and any other regulatory authority, granting unto said
attorney-in-fact and agent full power and authority to do and perform each and every act and thing
requisite and necessary to be done, as fully to all intents and purposes as he might or could do in
person, hereby ratifying and confirming all that said attorney-in-fact and agent, or his
substitute, may lawfully do or cause to be done by virtue hereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt; text-indent: 8%">Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration
Statement has been signed below by the following individuals in the capacities and on the date or
dates indicated.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head --><TR valign="bottom">
    <TD width="30%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000"><B>Signature</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Title</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Date</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ Thomas W. Jasper
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Thomas W. Jasper
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director and Chief Executive Officer
(Principal Executive Officer)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">July 8, 2010</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ Richard Claiden
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Richard Claiden
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" nowrap>Chief Financial Officer and <BR>
Chief Operating Officer<BR>

(Principal Financial and
Accounting Officer)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">July 8, 2010</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ Michael P. Esposito, Jr.
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Michael P. Esposito, Jr.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director and Chairman of the Board&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">July 8, 2010</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ Frank P. Filipps
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Frank P. Filipps
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">July 8, 2010</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ Thomas J. Hartlage
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Thomas J. Hartlage
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">July 8, 2010</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ Robert R. Lusardi
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Robert R. Lusardi
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">July 8, 2010</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ John A. Ward, III
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
John A. Ward, III
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">July 8, 2010</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ David E. Czerniecki
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
David E. Czerniecki
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">July 8, 2010</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ Paul S. Giordano
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Paul S. Giordano
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">July 8, 2010</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">/s/ James H. MacNaughton
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
James H. MacNaughton
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">July 8, 2010</TD>
</TR>
<!-- End Table Body --></TABLE>
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif; margin-left: .25in; width: 7.20in">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>INDEX TO EXHIBITS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head --><TR valign="bottom">
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="77%">&nbsp;</TD>
</TR>
<TR style="font-size: 10pt" valign="bottom">
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Exhibit</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">Description</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Memorandum of Association of Primus Guaranty, Ltd. (Incorporated by
reference to Exhibit&nbsp;3.1 to the S-1 dated July&nbsp;23, 2004)</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Bye-Laws of Primus Guaranty, Ltd. (Incorporated by reference to
Exhibit&nbsp;3.2 to the S-1/A dated June&nbsp;10, 2004)</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.3</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Primus Guaranty, Ltd. Incentive Compensation Plan (including
amendments through January&nbsp;28, 2009) (Incorporated by reference to
Exhibit&nbsp;10.12 to the Form&nbsp;10-K filed on March&nbsp;16, 2009)</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">5.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Opinion of Conyers Dill &#038; Pearman Limited.</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">23.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Consent of Ernst &#038; Young LLP.</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">23.2</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Consent of Conyers Dill &#038; Pearman Limited (included in Exhibit&nbsp;5.1).</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px"><!-- Blank Space -->
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom" style="padding-top: 1px">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">24</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Powers of Attorney (included on signature page).</DIV></TD>
</TR>
<!-- End Table Body --></TABLE>
</DIV>



<P align="center" style="font-size: 10pt">&nbsp;

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>



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Form S-8
As
filed with the Securities and Exchange Commission on July 8, 2010
Registration No. 333-____
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM S-8
REGISTRATION STATEMENT
UNDER THE
SECURITIES ACT OF 1933
PRIMUS GUARANTY, LTD.
(Exact name of Registrant as Specified in its Charter)
Bermuda
98-0402357
(State or Other Jurisdiction of
(IRS Employer Identification No.)
Incorporation or Organization)
Clarendon House
2 Church Street
Hamilton HM 11, Bermuda
(Address of Principal Executive Offices)
Primus Guaranty, Ltd. Incentive Compensation Plan
Written Compensation Agreements with Certain Employees
(Full Title of the Plan)
Vincent Tritto, Esq.
Primus Asset Management, Inc.
360 Madison Avenue, 23rd Floor
New York, New York 10017
(212) 697-2227
(Name, Address and Telephone Number of Agent for Service)
Copy to:
Stephen P. Farrell, Esq.
Morgan, Lewis & Bockius LLP
101 Park Avenue
New York, New York 10178
(212) 309-6000
Fax: (212) 309-6001
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a
non-accelerated filer, or a smaller reporting company. See the definitions of "large accelerated
filer," "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act.
(Check one):
Large accelerated filer
o
Accelerated filer
o
Non-accelerated filer
þ
Smaller reporting company
o
(Do not check if a smaller reporting company)
CALCULATION OF REGISTRATION FEE
Proposed
Maximum
Proposed
Offering
Maximum
Amount of
Title of Each Class of
Amount to Be
Price Per
Aggregate
Registration
Securities to Be Registered
Registered
Share
Offering Price
Fee
Common shares, $0.08 par
value, subject to
restricted share units,
performance share units,
performance share awards or
deferred share awards, or
reserved for future grants,
under the Primus Guaranty,
Ltd. Incentive Compensation
Plan (the "Incentive
Compensation Plan")
15,849,213 shares(1)
3.88
(2)
$
61,494,946
(2)
$
4,385
(3)
Common shares, $0.08 par
value, subject to
restricted share units
granted under written
compensation agreements
with certain employees (the
"Written Compensation
Agreements")
378,000 shares(1)
3.88
(2)
$
1,466,640
(2)
$
105
(3)
Restricted Share Units (4)
(5)
(6)
(6)
(6)
Performance Share Units (4)
(5)
(6)
(6)
(6)
Performance Share Awards (4)
(5)
(6)
(6)
(6)
Deferred Share Awards (4)
(5)
(6)
(6)
(6)
Common shares TOTAL
16,227,213 shares(1)
3.88
(2)
$
62,961,586
(2)
$
4,490
(3)
(1)
Pursuant to Rule 416 under the Securities Act of 1933, as amended (the "Securities Act"),
this Registration Statement shall also cover any additional common shares, $0.08 par value
("common shares"), which become issuable under the Incentive Compensation Plan or any written
compensation agreements by reason of any share dividend, share split, recapitalization or any
other similar transaction effected without the receipt of consideration which results in an
increase in the number of outstanding common shares.
(2)
Calculated pursuant to paragraphs (c) and (h) of Rule 457 (based upon the average of the
reported high and low sales prices for the Registrant's common shares as reported on the New
York Stock Exchange for July 2, 2010).
(3)
Calculated pursuant to Section 6(b) of the Securities Act, as follows: Proposed maximum
aggregate offering price per share multiplied by 0.0000713.
(4)
Restricted share units, performance share units, performance share awards and deferred share
awards represent rights, with or without dividend equivalents, to acquire common shares for no
additional consideration pursuant to the Incentive Compensation Plan, upon the vesting thereof
or, with respect to restricted share units granted under the written compensation agreements,
pursuant to the written compensation agreements, upon the vesting thereof.
(5)
Each restricted share unit, performance share unit, performance share award and deferred
share award shall represent a right to acquire one common share, subject to adjustment for any
stock dividend, stock split, recapitalization or any other similar transaction effected
without the receipt of consideration which results in an increase in the number of outstanding
common shares. The aggregate number of restricted share units, performance share units,
performance share awards and deferred share awards issued pursuant to the Incentive
Compensation Plan and the written compensation agreements shall not exceed the number of
common shares being registered herein, as adjusted pursuant to Rule 416(a).
(6)
Included in the offering price and fee calculations for the common shares being registered
herein. Any value attributable to the restricted share units, performance share units,
performance share awards and deferred share awards, representing rights to acquire common
shares, is reflected in the market price of the common shares, and any restricted share units,
performance share units, performance share awards and deferred share awards sold will be sold
for consideration not to exceed the value of the underlying common shares represented by the
restricted share units, performance share units, performance share awards and deferred share
awards on the date of sale. Accordingly, there is no additional offering price or
registration fee with respect to the restricted share units, performance share units, performance share
awards and deferred share awards being registered herein.
EXPLANATORY NOTE
This Registration Statement includes a form of prospectus to be used by officers, directors
and employees of ours and of our subsidiaries or by their donees, pledges or transferees or others
on their behalf, in connection with the resale of common shares, which common shares are registered
pursuant to this Registration Statement.
PART I
INFORMATION REQUIRED IN THE SECTION 10(a) PROSPECTUS
Item 1.
Plan Information
.*
Item 2.
Registrant Information and Employee Plan Annual Information
.*
*
Information required by Part I of Form S-8 to be contained in the Section 10(a) prospectus is
omitted from this Registration Statement in accordance with Rule 428 under the Securities Act and
the Note to Part I of Form S-8.
PROSPECTUS
2,328,199 SHARES
PRIMUS GUARANTY, LTD.
COMMON SHARES
This prospectus relates to the resale of our common shares by officers, directors and
employees of ours and of our subsidiaries or by their donees, pledges or transferees or others on
their behalf. The common shares which may be sold have previously been acquired, or will be
acquired, by these individuals pursuant to awards under our Incentive Compensation Plan or written
compensation contracts. We will not receive any of the proceeds from the sale of these common
shares.
We will pay all expenses in connection with the registration of the common shares; we will not
pay commissions, discounts and fees of underwriters, brokers, dealers or agents.
You should carefully read this prospectus and any prospectus supplement, together with the
documents incorporated by reference, before you invest in our common shares.
Our
common shares are listed on the New York Stock Exchange (NYSE:PRS). On July 7, 2010 the
last reported sale prices of the common shares on the NYSE was $3.97 per share.
See "Risk Factors" in our Annual Report on
Form 10-K
for the fiscal year ended December 31,
2009, which is incorporated by reference herein, to read about factors you should consider before
buying our common shares.
Neither the Securities and Exchange Commission nor any state securities commission has
approved or disapproved of these securities or determined if this prospectus is truthful or
complete. Any representation to the contrary is a criminal offense.
Prospectus
dated July 8, 2010
1
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This Prospectus contains forward-looking statements within the meaning of the safe harbor
provisions of U.S. Private Securities Litigation Reform Act of 1995 with respect to our future
financial or business performance, strategies or expectations. Forward-looking statements are
subject to numerous assumptions, risks and uncertainties, which change over time. All statements,
other than statements of historical facts, included in this document regarding our strategy, future
operations, future financial position, future revenues, projected costs, prospects, plans and
objectives of management are forward-looking statements. The words "anticipate," "believe,"
"estimate," "expect," "intend," "may," "plan," "potential," "project," "opportunity," "seek,"
"will," "would" and similar expressions are intended to identify forward-looking statements,
although not all forward-looking statements contain these identifying words. We may not actually
achieve the plans, intentions or expectations disclosed in our forward-looking statements and you
should not place undue reliance on our forward-looking statements. Actual results or events could
differ materially from the plans, intentions and expectations disclosed in the forward-looking
statements we make and future results could differ materially from historical performance. We have
included important factors in the cautionary statements included in our Annual Report on
Form 10-K
,
which is incorporated by reference herein, particularly in the "Risk Factors" section of such
Annual Report, that we believe could cause actual results or events to differ materially from the
forward-looking statements that we make. Our forward-looking statements do not reflect the
potential impact of any future acquisitions, mergers, dispositions, joint ventures or investments
we may make. Forward-looking statements speak only as of the date they are made, and we do not
assume any obligation to, and do not undertake to, update any forward-looking statements.
2
PROSPECTUS SUMMARY
This summary provides a brief overview of the key aspects of Primus Guaranty, Ltd. and all
material terms of the offered securities that are known as of the date of this prospectus. Unless
otherwise indicated or the context otherwise requires, when we use the words the Company, we, us,
ours and our, we are referring to Primus Guaranty, Ltd., when we use the words Primus Asset
Management, we are referring to Primus Asset Management, Inc. alone or collectively with its wholly
owned subsidiary, CypressTree Investment Management, LLC ("CypressTree"), and when we use the words
Primus Financial, we are referring to Primus Financial Products, LLC alone or collectively with its
wholly owned subsidiaries. For a more complete understanding of the terms of a particular issuance
of offered securities, and before making your investment decision, you should carefully read:
•
this prospectus, which explains the general terms of the securities that we may
offer; and
•
the documents referred to in "Where You Can Find More Information" for information
about us, including our financial statements.
Primus Guaranty, Ltd.
We are a Bermuda company that was incorporated in 1998 and are a holding company that
currently conducts business through two operating subsidiaries, Primus Asset Management and Primus
Financial Products. Primus Asset Management is an investment manager to affiliated companies and
third-party entities. Primus Financial Products, LLC is a credit derivative product company
("CDPC").
Primus Asset Management, a Delaware corporation, acts as manager of the credit swap and cash
investment portfolios of its affiliate, Primus Financial. Additionally Primus Asset Management
manages collateralized loan obligations ("CLOs"), collateralized swap obligations ("CSOs"),
investment fund vehicles and separately managed accounts on behalf of third parties. The CLOs issue
securities backed by a diversified pool of primarily below investment grade rated senior secured
loans of corporations. The CSOs issue securities backed by one or more credit swaps sold against a
diversified pool of investment grade corporate or sovereign Reference Entities (as defined below).
Primus Asset Management receives fees for its investment management services. In general, such
management fees are calculated based on a percentage of assets under management, subject to
applicable contractual terms. Primus Asset Management also has entered into a Services Agreement
with its affiliates, whereby it provides management, consulting and information technology
services, among others, to its affiliates. As of March 31, 2010, Primus Asset Management managed
Primus Financial's credit swap portfolio of $16.4 billion in notional amount and together with
CypressTree managed assets of approximately $3.5 billion in CLOs, CSOs, investment fund vehicles
and separately managed accounts.
Primus Financial is a Delaware limited liability company that, as a CDPC, was established to
sell credit protection in the form of credit swaps primarily to global financial institutions and
major credit swap dealers, referred to as counterparties, against primarily investment grade credit
obligations of corporate and sovereign issuers. In exchange for a fixed quarterly premium, Primus
Financial agreed, upon the occurrence of a defined credit event (e.g., bankruptcy, failure to pay
or restructuring) affecting a designated issuer, referred to as a
Reference Entity, to pay to its counterparty an amount determined through industry-sponsored
auctions equivalent to the notional amount of the credit swap less the auction-determined recovery
price of the underlying debt obligation. Primus Financial may elect to acquire the underlying
security in the related auction or in the market and seek to sell such obligation at a later date.
Our registered office is located at Clarendon House, 2 Church Street, Hamilton HM 11, Bermuda.
The telephone number is 441-296-0519. The offices of Primus Asset Management and Primus Financial
are located at 360 Madison Avenue, New York, New York 10017, and their telephone number is
212-697-2227.
3
WHERE YOU CAN FIND MORE INFORMATION
We must file annual, quarterly and special reports, proxy statements and other information
with the Securities and Exchange Commission (the "SEC"). You may read and copy any documents we
file at the SEC's public reference rooms in Washington, D.C. Please call the SEC at 1-800-SEC-0330
for further information on the public reference facility. Our SEC filings are also available to
the public from the SEC's Web site at http://www.sec.gov.
The SEC allows us to "incorporate by reference" information into this prospectus, which means
that we can disclose important information to you by referring you to another document filed
separately with the SEC. The information incorporated by reference is considered to be part of
this prospectus. Information in this prospectus may update documents previously filed with the
SEC, and later information that we file with the SEC will automatically update this prospectus. We
incorporate by reference the documents listed below and any future filings made with the SEC under
Section 13(a), 13(c), 14 or 15(d) of the Securities Exchange Act of 1934, as amended (the "Exchange
Act"), prior to the termination of the offering:
(a)
Our Annual Report on Form 10-K for the fiscal period ended December 31,
2009 filed with the SEC on March 16, 2010;
(b)
Our Current Reports on Form 8-K filed with the SEC on March 31, 2010,
May 4, 2010 and May 13, 2010;
(c)
Our Quarterly Report on Form 10-Q for the fiscal quarter ended March
31, 2010, filed with the SEC on May 17, 2010; and
(d)
Our Form 8-A (File Number 001-32307) filed with the SEC on September
24, 2004, including any amendments or reports filed for the purpose of updating the
description of our common shares.
You may request a copy of these filings at no cost, by writing or telephoning us at the
following address:
Primus Guaranty, Ltd.
c/o Primus Asset Management, Inc.
360 Madison Avenue, 23rd Floor
New York, New York 10017
Attention: Investor Relations
(212) 697-2227
You should rely only on the information provided in this prospectus, as well as the
information incorporated by reference. We have not authorized anyone to provide you with different
information. We are not making an offer of these securities in any jurisdiction where the offer is
not permitted. You should not assume that the information in this prospectus, any prospectus
supplement or any documents incorporated by reference is accurate as of any date other than the
date of the applicable document. This prospectus does not constitute an offer to sell or
solicitation of an offer to buy.
Information on our Web site is not part of this prospectus.
4
USE OF PROCEEDS
We will not receive any of the proceeds from the sale of the common shares by the individuals
named herein.
SELLING SHAREHOLDERS
The following table identifies the beneficial ownership of our common shares, any of whom may
use this prospectus to sell our common shares. We do not know whether the individuals listed below
will sell any or all of their common shares covered by this prospectus. Assuming all such common
shares are sold by them, none of the individuals would own one percent (1%) or more of our common
shares unless indicated below.
Number of
Number of
Shares
Shares
Number of
Covered By This
Owned After
Owner
Shares Owned
(1)
Prospectus
(2)
Sales
Non-Executive Directors and
Non-Executive Director Nominees:
Michael P. Esposito, Jr., Chairman
148,405
(3)
43,806
104,599
*
Frank P. Filipps
58,808
(4)
43,806
15,002
*
Paul S. Giordano
48,154
(5)
43,806
4,348
*
Thomas J. Hartlage
5,500
(6)
52,733
(7)
5,500
*
(6)
Robert R. Lusardi
85,598
(8)
43,806
41,792
*
James H. MacNaughton
36,928
(9)
34,428
2,500
*
John A. Ward, III
78,589
(10)
43,806
20,000
*
Officers and Employees:
Thomas W. Jasper
Chief Executive Officer & Director
1,545,288
(11)
1,600,753
(12)
1,151,445
(13)
Richard Claiden
Chief Financial and Operating Officer
361,314
(14)
421,255
(15)
363,199
*
We may supplement this table to reflect additional awards made under our Incentive Compensation
Plan to the named individuals or to others.
*
Less than 1% of common shares outstanding.
(1)
The number shown reflects the number of common shares beneficially owned as of May 10, 2010,
to the knowledge of the Company, based on information furnished by the persons named, public
filings and the Company's records. A person is deemed to be a beneficial owner of common
shares if the person, either alone or with others, has the power to vote or to dispose of
those common shares. Except as otherwise indicated below and subject to applicable community
property laws, each owner has sole voting and sole investment authority with respect to the
shares listed. To the extent indicated in the notes below, common shares beneficially owned by
a person include common shares of which the person has the right to acquire beneficial
ownership within 60 days after May 10, 2010. There were 39,000,883 of the Company's common
shares outstanding as of May 10, 2010.
5
(2)
The common shares in this column for non-executive directors and non-executive director
nominees include transfer restrictions that lapse after such non-executive directors or
non-executive director nominees leave the Board.
(3)
Includes 48,405 common shares with transfer restrictions that lapse after Mr. Esposito leaves the Board.
(4)
Includes 58,589 common shares with transfer restrictions that lapse after Mr. Filipps leaves the Board.
(5)
Includes 48,154 common shares with transfer restrictions that lapse after Mr. Giordano leaves the Board.
(6)
Excludes 5,582,585 common shares owned by Transamerica Life Insurance Company, as to which
Mr. Hartlage disclaims beneficial ownership. Also excludes 58,589 common shares with transfer
restrictions that lapse after he leaves the Board, as to which Mr. Hartlage has ceded his
ownership to Transamerica Life Insurance Company.
(7)
These are common shares granted under the Incentive Compensation Plan with transfer
restrictions that lapse after Mr. Hartlage leaves the Board, as to which he has ceded his
ownership to Transamerica Life Insurance Company.
(8)
Includes 56,798 common shares with transfer restrictions that lapse after Mr. Lusardi leaves the Board.
(9)
Includes 34,428 common shares with transfer restrictions that lapse after Mr. MacNaughton leaves the Board.
(10)
Includes 58,589 common shares with transfer restrictions that lapse after Mr. Ward leaves the Board.
(11)
Includes 119,523 common shares beneficially owned by Mr. Jasper by trust and 405,000 common
shares which may be acquired upon the exercise of options. Also includes 423,516 deferred
common shares deliverable six months after Mr. Jasper's departure from the Company. Excludes
50,000 unvested options and 1,064,086 unvested restricted share units. Unvested awards are
shown without reduction for any withholding tax that may be paid in kind.
(12)
Includes 50,000 unvested options and 1,064,086 unvested restricted share units. Unvested
awards are shown without reduction for any withholding tax that may be paid in kind.
(13)
Mr. Jasper would own 2.95% of the common shares outstanding as of May 10, 2010 after sale of
the common shares covered by this prospectus.
(14)
Includes 128,200 common shares which may be acquired upon the exercise of options. Also
includes 233,114 deferred common shares deliverable six months after Mr. Claiden's departure
from the Company. Excludes 25,000 unvested options and 398,140 unvested restricted share
units. Unvested awards are shown without reduction for any withholding tax that may be paid in
kind.
(15)
Includes 25,000 unvested options and 398,140 unvested restricted share units. Unvested
awards are shown without reduction for any withholding tax that may be paid in kind.
6
PLAN OF DISTRIBUTION
The common shares covered by this prospectus will be sold, if at all, by the individuals named
above or by their donees, pledgees, transferees or others on their behalf, and not by us. The
common shares may be sold from time to time as follows:
•
on the New York Stock Exchange, in the over-the-counter market, on an inter-dealer
quotation system or on another national securities exchange (any of which may involve
crosses and block transactions);
•
to purchasers directly;
•
in ordinary brokerage transactions in which the broker solicits purchasers;
•
through underwriters, dealers and agents who may receive compensation in the form of
underwriting discounts, concessions or commissions from a seller and/or the purchasers of
the common shares for whom they may act as agent;
•
through the writing of put or call options on the common shares;
•
through the granting of a security interest in any common share as collateral for any
loan or obligation, including such grants to brokers or dealers who may from time to time
effect distributions of the common shares or other interests in the common shares;
•
through purchases by a broker or dealer as principal and resale by such broker or dealer
for its own account pursuant to this prospectus;
•
through block trades in which the broker or dealer so engaged will attempt to sell the
common shares as agent or as riskless principal but may position and resell a portion of
the block as principal to facilitate the transaction;
•
through exchange distributions in accordance with the rules of the applicable exchange;
•
in any combination of one or more of these methods; or
•
in any other lawful manner.
These sales may be made at prices related to the then current market price or otherwise at
prices and on terms then prevailing, or in privately negotiated transactions. In effecting sales,
a broker or dealer engaged by an individual using this prospectus to sell common shares may arrange
for other brokers or dealers to participate in the sale. In addition, any common shares covered by
this prospectus which qualify for sale pursuant to Section 4(1) of the Securities Act of 1933, as
amended (the "Securities Act"), or Rule 144 or 701(g) under the Securities Act, may be sold
thereunder rather than by this prospectus.
7
In connection with distributions of the common shares or otherwise, persons using this
prospectus to sell common shares may enter into hedging transactions with broker-dealers. In
connection with hedging a transaction, a broker-dealer may engage in short sales of common shares
registered hereunder in the course of hedging the positions it assumes with the seller. The seller
may also sell common shares short and deliver the common shares to close out the short positions.
The seller may also enter into an option or other transaction with a broker-dealer which requires
the delivery to the broker-dealer of common shares we have registered, which the broker-dealer may
resell by this prospectus.
A seller may pay a broker-dealer or an agent compensation in the form of commissions,
discounts or concessions. The broker-dealer and any other participating broker-dealer may be
deemed to be "underwriters" within the meaning of the Securities Act in connection with such sales
and any such commission, discount or concession may be deemed to be underwriting discounts or
commissions under the Securities Act.
We may be required to file a supplemented prospectus in connection with any activities
involving a seller which may be deemed to be an "underwriting." In that case, a supplement to this
prospectus would contain (1) information as to whether an underwriter selected by a seller, or any
other broker-dealer, is acting as principal or agent for the seller, (2) the compensation to be
received by an underwriter selected by a seller or any broker-dealer, for acting as principal or
agent for a seller and (3) the compensation to be received by any other broker-dealer, in the event
the compensation of such other broker-dealers is in excess of usual and customary commissions. Any
broker or dealer participating in any distribution of the common shares may be required to deliver
a copy of this prospectus, including any prospectus supplement, to any individual who purchases any
common shares from or through such a broker-dealer.
We have advised the people identified in this prospectus as potential sellers of common shares
that during any period when they may be engaged in a distribution of the common shares offered by
this prospectus, they are required to comply with Regulation M promulgated under the Exchange Act.
With certain exceptions, Regulation M precludes any seller, any affiliated purchaser and any
broker-dealer or other individual who participates in such a distribution from bidding for or
purchasing, or attempting to induce any individual to bid for or purchase any security, that is the
subject of the distribution until the entire distribution is complete. Regulation M also prohibits
any bids or purchases made in order to stabilize the price of a security in connection with the
distribution of that security. All of these factors may affect the marketability of our common
shares.
The people identified in this prospectus as potential sellers of common shares offer to sell
all, some or none of the common shares covered by this prospectus. Because it is possible that a
significant number of common shares could be sold simultaneously by means of this prospectus, such
sales, or the possibility thereof, may have an adverse effect on the market price of our common
shares.
8
VALIDITY OF COMMON SHARES
The validity of the common shares which may be offered hereunder has been passed upon by
Conyers Dill & Pearman Limited, Hamilton, Bermuda.
EXPERTS
The consolidated financial statements of Primus Guaranty, Ltd. appearing in Primus Guaranty,
Ltd's Annual Report on Form 10-K for the year ended December 31, 2009, and the effectiveness of
Primus Guaranty, Ltd.'s internal control over financial reporting as of December 31, 2009, have been
audited by Ernst & Young LLP, independent registered public accounting firm, as set forth in their
reports thereon, included therein, and incorporated herein by reference. Such consolidated
financial statements are incorporated herein by reference in reliance upon such reports given on
the authority of such firm as experts in accounting and auditing.
9
PART II
INFORMATION REQUIRED IN THE REGISTRATION STATEMENT
Item 3.
Incorporation of Documents by Reference
.
The following documents, previously filed by the Registrant with the Securities and Exchange
Commission (the "SEC"), are incorporated by reference into this Registration Statement:
(a)
Our Annual Report on Form 10-K for the fiscal period ended December 31,
2009 filed with the SEC on March 16, 2010;
(b)
Our Current Report on Form 8-K filed with the SEC on March 31, 2010,
May 4, 2010 and May 13, 2010;
(c)
Our Quarterly Report on Form 10-Q for the fiscal quarter ended March
31, 2010, filed with the SEC on May 17, 2010; and
(d)
Our Form 8-A (File Number 001-32307) filed with the SEC on September
24, 2004, including any amendments or reports filed for the purpose of updating the
description of our common shares.
All reports and other documents subsequently filed by the Registrant pursuant to Section
13(a), 13(c), 14 or 15(d) of the Exchange Act, prior to the filing of a post-effective amendment
which indicates that all securities offered have been sold, or which deregisters all securities
then remaining unsold, shall be deemed to be incorporated by reference in this Registration
Statement and to be a part hereof from the date of filing of such documents.
Any statement contained herein or in a document, all or a portion of which is incorporated or
deemed to be incorporated by reference herein, shall be deemed to be modified or superseded for
purposes of this Registration Statement to the extent that a statement contained herein or in any
other subsequently filed document which also is or is deemed to be incorporated by reference herein
modifies or supersedes such statement. Any such statement so modified or superseded shall not be
deemed, except as so modified or superseded, to constitute a part of this Registration Statement.
Item 4.
Description of Securities
.
Not Applicable.
Item 5.
Interests of Named Experts and Counsel
.
Not Applicable.
Item 6.
Indemnification of Directors and Officers
.
Under Bermuda law we may and under our Bye-laws, we will indemnify our directors, officers,
the resident representative of the Company, any other person appointed to a committee of the board
of directors and certain other persons (and their respective heirs, executors or administrators) to
the full extent permitted by law against all actions, costs, charges, liabilities, loss, damage or
expense incurred or suffered by such person by reason of any act done, concurred in or omitted in
the discharge of his/her duties; provided that such indemnification shall not extend to any matter
involving any fraud or dishonesty on the part of such director, officer or other person. Under our
Bye-laws, the Company and each of our shareholders agree to waive any claim or right of action,
other than those involving fraud or dishonesty, against any of our officers, directors or resident
representative arising out of any action taken by such persons, or the failure to take any action,
in the performance of his or her duties with or for us.
We have entered into indemnification agreements with our directors and officers under which we
have agreed to indemnify any director or officer made, or threatened to be made, a party to any
action or proceeding (including an action by or in the right of Primus Guaranty, Ltd.), whether
civil or criminal, by reason of the fact that any of them is or was a director or officer of our
company, or was serving at our request as a director or officer of another corporation,
partnership, joint venture, trust, employee benefit plan or other enterprise in any capacity,
against any judgments, fines, amounts paid in settlement and reasonable expenses which they incur.
We also maintain liability insurance covering our directors and officers.
Item 7.
Exemption from Registration Claimed
.
Certain outstanding securities to be resold under this registration statement were sold by
Primus Guaranty, Ltd. in transactions that were exempt from the registration requirements of the
Securities Act either (i) pursuant to Section 4(2) of the Securities Act, or Regulation D
promulgated thereunder, or (ii) with respect to issuances to officers or directors, Rule 701,
promulgated under Section 3(b) of the Securities Act, as transactions by an issuer not involving a
public offering or transactions pursuant to compensatory benefit plans and contracts relating to
compensation as provided under Rule 701.
Exhibits
.
Exhibit
Description
4.1
Memorandum of Association of Primus Guaranty, Ltd. (Incorporated by
reference to Exhibit 3.1 to the S-1 dated July 23, 2004)
4.2
Bye-Laws of Primus Guaranty, Ltd. (Incorporated by reference to
Exhibit 3.2 to the S-1/A dated June 10, 2004)
4.3
Primus Guaranty, Ltd. Incentive Compensation Plan (including
amendments through January 28, 2009) (Incorporated by reference to
Exhibit 10.12 to the Form 10-K filed on March 16, 2009)
5.1
Opinion of Conyers Dill & Pearman Limited.
23.1
Consent of Ernst & Young LLP.
23.2
Consent of Conyers Dill & Pearman Limited (included in Exhibit 5.1).
24
Powers of Attorney (included on signature page).
Item 8.
Undertakings
.
(a) The undersigned Registrant hereby undertakes:
(1) To file, during any period in which offers or sales are being made, a
post-effective amendment to this Registration Statement:
(i) To include any prospectus required by Section 10(a)(3) of the Securities Act;
(ii) To reflect in the prospectus any facts or events arising after the effective date of this
Registration Statement (or the most recent post-effective amendment thereof) which, individually or
in the aggregate, represent a fundamental change in the information set forth in this Registration
Statement; and
(iii) To include any material information with respect to the plan of distribution not
previously disclosed in this Registration Statement or any material change to such information in
this Registration Statement;
provided
,
however
, that paragraphs (a)(1)(i) and (a)(1)(ii) shall not
apply if the information required to be included in a post-effective amendment by those
paragraphs is contained in periodic reports filed with or furnished to the Commission by
the Registrant pursuant to Section 13 or Section 15(d) of the Exchange Act that are
incorporated by reference in this Registration Statement.
(2) That, for the purpose of determining any liability under the Securities Act,
each such post-effective amendment shall be deemed to be a new registration
statement relating to the securities offered therein, and the offering of such
securities at that time shall be deemed to be the initial
bona fide
offering thereof.
(3) To remove from registration by means of a post-effective amendment any of the
securities being registered which remain unsold at the termination of the offering.
(4) That, for the purpose of determining liability of the Registrant under the
Securities Act to any purchaser in the initial distribution of the securities: The
undersigned Registrant undertakes that in a primary offering of securities of the
undersigned Registrant pursuant to this Registration Statement, regardless of the
underwriting method used to sell the securities to the purchaser, if the securities are
offered or sold to such purchaser by means of any of the following communications, the
undersigned Registrant will be a seller to the purchaser and will be considered to offer
or sell such securities to such purchaser:
(i) Any preliminary prospectus or prospectus of the undersigned Registrant relating
to the offering required to be filed pursuant to Rule 424;
(ii) Any free writing prospectus relating to the offering prepared by or on behalf
of the undersigned Registrant or used or referred to by the undersigned Registrant;
(iii) The portion of any other free writing prospectus relating to the offering
containing material information about the undersigned Registrant or its securities
provided by or on behalf of the undersigned Registrant; and
(iv) Any other communication that is an offer in the offering made by the
undersigned Registrant to the purchaser.
(b) The undersigned Registrant hereby undertakes that, for purposes of determining any
liability under the Securities Act, each filing of the Registrant's annual report pursuant to
Section 13(a) or Section 15(d) of the Exchange Act (and, where applicable, each filing of an
employee benefit plan's annual report pursuant to Section 15(d) of the Exchange Act) that is
incorporated by reference in the Registration Statement shall be deemed to be a new registration
statement relating to the securities offered therein, and the offering of such securities at that
time shall be deemed to be the initial
bona fide
offering thereof.
(c) Insofar as indemnification for liabilities arising under the Securities Act may be
permitted to directors, officers and controlling persons of the Registrant pursuant to the
foregoing provisions, or otherwise, the Registrant has been advised that in the opinion of the
Commission such indemnification is against public policy as expressed in the Securities Act and is,
therefore, unenforceable. In the event that a claim for indemnification against such liabilities
(other than the payment by the Registrant of expenses incurred or paid by a director, officer or
controlling person of the Registrant in the successful defense of any action, suit or proceeding)
is asserted by such director, officer or controlling person in connection with the securities being
registered, the Registrant will, unless in the opinion of its counsel the matter has been
settled by controlling precedent, submit to a court of appropriate jurisdiction the question
whether such indemnification by it is against public policy as expressed in the Securities Act and
will be governed by the final adjudication of such issue.
SIGNATURES AND POWERS OF ATTORNEY
Pursuant to the requirements of the Securities Act of 1933, as amended, the Registrant
certifies that it has reasonable grounds to believe that it meets all of the requirements for
filing on Form S-8 and has duly caused this Registration Statement to be signed on its behalf by
the undersigned, thereunto duly authorized, in Hamilton, Bermuda, on
July 8, 2010.
PRIMUS GUARANTY, LTD.
By:
/s/ Thomas W. Jasper
Thomas W. Jasper
Chief Executive Officer
Each person whose signature appears below constitutes and appoints each of Thomas W. Jasper,
Richard Claiden and Vincent Tritto, his true and lawful attorney-in-fact and agent, with full power
of substitution and resubstitution, for him and in his name, place and stead, in any and all
capacities, to sign any and all amendments (including post-effective amendments) to this
Registration Statement and any and all other documents and instruments incidental thereto, and to
file the same, with all exhibits thereto, and all documents in connection therewith, with the
Securities and Exchange Commission and any other regulatory authority, granting unto said
attorney-in-fact and agent full power and authority to do and perform each and every act and thing
requisite and necessary to be done, as fully to all intents and purposes as he might or could do in
person, hereby ratifying and confirming all that said attorney-in-fact and agent, or his
substitute, may lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, as amended, this Registration
Statement has been signed below by the following individuals in the capacities and on the date or
dates indicated.
Signature
Title
Date
/s/ Thomas W. Jasper
Thomas W. Jasper
Director and Chief Executive Officer
(Principal Executive Officer)
July 8, 2010
/s/ Richard Claiden
Richard Claiden
Chief Financial Officer and
Chief Operating Officer
(Principal Financial and
Accounting Officer)
July 8, 2010
/s/ Michael P. Esposito, Jr.
Michael P. Esposito, Jr.
Director and Chairman of the Board
July 8, 2010
/s/ Frank P. Filipps
Frank P. Filipps
Director
July 8, 2010
/s/ Thomas J. Hartlage
Thomas J. Hartlage
Director
July 8, 2010
/s/ Robert R. Lusardi
Robert R. Lusardi
Director
July 8, 2010
/s/ John A. Ward, III
John A. Ward, III
Director
July 8, 2010
/s/ David E. Czerniecki
David E. Czerniecki
Director
July 8, 2010
/s/ Paul S. Giordano
Paul S. Giordano
Director
July 8, 2010
/s/ James H. MacNaughton
James H. MacNaughton
Director
July 8, 2010
INDEX TO EXHIBITS
Exhibit
Description
4.1
Memorandum of Association of Primus Guaranty, Ltd. (Incorporated by
reference to Exhibit 3.1 to the S-1 dated July 23, 2004)
4.2
Bye-Laws of Primus Guaranty, Ltd. (Incorporated by reference to
Exhibit 3.2 to the S-1/A dated June 10, 2004)
4.3
Primus Guaranty, Ltd. Incentive Compensation Plan (including
amendments through January 28, 2009) (Incorporated by reference to
Exhibit 10.12 to the Form 10-K filed on March 16, 2009)
5.1
Opinion of Conyers Dill & Pearman Limited.
23.1
Consent of Ernst & Young LLP.
23.2
Consent of Conyers Dill & Pearman Limited (included in Exhibit 5.1).
24
Powers of Attorney (included on signature page).