A.M. Best Assigns Debt Rating to The Hartford Financial Services Group Inc.’s Forthcoming Senior Notes
A.M. Best Co. has assigned a debt rating of “bbb+” to the
forthcoming $300 million 4.3% senior unsecured notes due 2043 of The
Hartford Financial Services Group, Inc., (The Hartford) (Hartford,
CT) [NYSE:HIG]. The assigned outlook is stable. The Hartford’s existing
financial strength, issuer credit and debt ratings are unchanged.
The offering is part of The Hartford’s previously announced capital
management plan and is the fulfillment of its previously announced
intention to issue new long-term debt securities. The Hartford commenced
the debt reduction component of the capital plan with the completion of
cash tender offers for senior debt in an aggregate principal amount of
$800 million on March 26, 2013. The capital management plan also
includes The Hartford’s previously announced intent to repay the July
2013 and March 2014 debt maturities totaling $520 million. Financial
leverage and interest coverage ratios remain within A.M. Best’s
guidelines for the assigned rating.
The methodology used in determining these ratings is Best’s Credit
Rating Methodology, which provides a comprehensive explanation of A.M.
Best’s rating process and contains the different rating criteria
employed in the rating process. Best’s Credit Rating Methodology can be
found at www.ambest.com/ratings/methodology.
A.M. Best Company is the world's oldest and most authoritative
insurance rating and information source. For more information, visit www.ambest.com.
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