Exhibit 99.1

ALLEGHANY CORPORATION
7 Times Square Tower, 17th Floor
New York, NY 10036

                                                              Contact: R.M. Hart
                                                              (212) 752-1356

                                                           FOR IMMEDIATE RELEASE


              ALLEGHANY ANNOUNCES CLOSING OF MANDATORY CONVERTIBLE
                            PREFERRED STOCK OFFERING


     New York, NY, June 23, 2006 -- Alleghany Corporation ("Alleghany") (NYSE-Y)
today announced that it has closed a public offering of 1,132,000 shares of its
mandatory convertible preferred stock due June 15, 2009 at $264.60 per share,
resulting in net proceeds of approximately $290 million. The mandatory
convertible preferred stock has a dividend yield of 5.75% and a conversion
premium of 18% above the mandatory convertible preferred stock public offering
price.

     Alleghany currently intends to use the net proceeds from the mandatory
convertible preferred stock offering to make contributions to the capital and
surplus of its insurance operating units, including contributions to benefit the
commercial property operations of its subsidiary RSUI Group, Inc., and for
general corporate purposes.

     Merrill Lynch & Co. acted as the sole book-running manager and Wachovia
Capital Markets, LLC, Dowling & Partners Securities, LLC and Janney Montgomery
Scott LLC acted as co-managers for the mandatory convertible preferred stock
offering.

     The mandatory convertible preferred stock was sold pursuant to an effective
shelf registration statement previously filed with the Securities and Exchange
Commission (the "SEC"). A prospectus supplement relating to the offering of the
mandatory convertible preferred stock has also been filed with the SEC. Copies
of the prospectus supplement and the accompanying base prospectus relating to
the offering can be obtained from Merrill Lynch & Co., 4 World Financial Center,
New York, New York 10080; Phone 212-449-1000.

     This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of the mandatory
convertible preferred stock in any state or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
under the securities laws of any such state or jurisdiction. Any offering of
mandatory convertible preferred stock is being made only by means of a written
prospectus meeting the requirements of Section 10 of the Securities Act of 1933,
as amended.













     Alleghany is engaged through its subsidiary Alleghany Insurance Holdings
LLC (consisting of RSUI Group, Inc., Capitol Transamerica Corporation and Darwin
Professional Underwriters, Inc.) in the property and casualty insurance
business.

     This press release contains forward-looking statements with respect to the
anticipated effects of the transaction. Actual results of the transaction could
be significantly different. Factors that could affect results include those set
forth in filings made by Alleghany with the SEC. Although forward-looking
statements help to provide complete information about future prospects, readers
should keep in mind that forward-looking statements are much less reliable than
historical information.

                               #       #       #