London, 16 February 2012 -- Moody's Investors Service has today announced the following actions on
nine European insurance groups and related entities, to reflect
(i) increased financial risks stemming from their operating and investment
exposure to weakened European sovereigns and banks, as well as (ii)
Moody's expectations of continued weak economic growth in certain
of their key markets.
The following rating actions were announced:
Rating downgrades related to investment and operating exposures in Spain
and Italy:
- Unipol Assicurazioni S.p.A.: Insurance
Financial Strength Rating (IFSR) downgraded to A3 from A2 and remains
on review for downgrade
- Mapfre Global Risks: IFSR downgraded to A2 from Aa3,
negative outlook; Mapfre Asistencia : IFSR downgraded to A3
from A1, negative outlook)
- Caser S.A.: IFSR downgraded to Baa1 from
A3 and placed on review for further downgrade
- Assicurazioni Generali S.p.A. and subsidiaries:
IFSR downgraded to A1 from Aa3, negative outlook
- Allianz S.p.A.: IFSR downgraded to
A1 from Aa3, negative outlook
Changes in rating outlook due to weakened economic conditions and outlook
for key Euro-area markets:
- Allianz SE and subsidiaries: IFSR Aa3 affirmed, outlook
changed to negative from stable
- AXA SA and subsidiaries : IFSR Aa3 affirmed, outlook
changed to negative from stable; AXA Bank Europe : A2 senior
debt affirmed, negative outlook
- Aviva Plc and subsidiaries: IFSR Aa3 affirmed, outlook
changed to negative from stable
Initiation of reviews for possible downgrade of insurers affiliated with
banks now subject to rating review:
- Scottish Widows Plc and Clerical Medical Plc: A1 IFSR and
Baa1 hybrid securities on review for possible downgrade
- SNS Reaal N.V (Baa2 senior debts and see list below) and
insurance operations (SRLEV / REAAL Schadeverzekeringen A3 IFSR):
review for possible downgrade
Please click on this http://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_139839
for the List of Affected Credit Ratings. This list is an integral
part of this Press Release and identifies each affected issuer.
RATINGS RATIONALE
Moody's actions on the ratings of the insurers listed above follow
the rating agency's actions and announcements related to a number
of European sovereigns and banks http://www.moodys.com/EUSovereign
The insurers that are most meaningfully affected are those with significant
operating and investment exposure to Italy and Spain. Moody's
views an insurer's key credit fundamentals, including asset
quality, capitalisation, profitability and financial flexibility,
as being correlated with -- and thus linked to -- the economic
and market conditions in the countries where they operate. In some
circumstances, an insurer's financial strength rating may
be above the sovereign bond rating, but typically no more than one
or two notches, with the gap based on both the insurer's intrinsic
credit profile as well as the degree of its operating and investment exposure
to the sovereign and its banking system. These considerations were
most important in Moody's rating actions on Unipol, Mapfre,
Generali, Caser and the Italian operations of Allianz.
Less affected are those insurers with more limited operating and investment
exposures in weaker Euro-area countries but who are nevertheless
under somewhat greater pressure as a result of weak economic growth in
many European markets. The revised outlooks for Allianz SE,
AXA SA and Aviva Plc reflect Moody's more negative view of the outlook
for certain markets where these insurers have a material presence.
Certain other insurers are affected by European economic stress mainly
through their affiliation with banks whose risk profile has deteriorated,
thereby influencing the insurers' credit quality either through
weakening credit support or through other intra-group transfers.
As a consequence, the ratings of the insurance operations of the
Lloyd's Banking group (Scottish Widows and Clerical Medical) and
financial strength and debt ratings of the SNS REAAL Group (SRLEV and
REAAL Schadeverzekeringen) have been placed on review for possible downgrade,
along with ratings of their related banks.
REVIEW OF RATING CONSIDERATIONS FOR EACH INSURANCE GROUP
- UNIPOL: IFSR downgraded to A3 from A2, on review
for further possible downgrade
The IFSR of Unipol Assicurazioni S.p.A. (Unipol)
has been downgraded by one notch to A3, following the downgrade
of the Italian sovereign rating to A3, negative outlook.
Moody's said that the downgrade of Unipol reflects the insurer's
direct exposure to Italian sovereign risk in terms of both investment
portfolio and business profile. As at Q3 2011 Italian government
bonds represented around 45% (approximately EUR7 billion) of Unipol's
total fixed income portfolio and around 215% of shareholders'
equity, and 100% of its Gross Written Premiums (GWP) were
sourced in Italy in the first nine months of 2011. As a result
Unipol's IFSR is constrained by the Italy's sovereign rating.
Unipol's IFSR remains on review to reflect the risks inherent in
the Group's proposed acquisition of Fondiaria-SAI (unrated).
The review will focus on the analysis of (i) the capital strength of the
new group; (ii) the quality of the investment portfolio of the enlarged
group; (iii) the financial leverage of the enlarged group; (iv)
the quality of the reserves of Fondiaria Sai SpA; and (v) the execution
risk of integrating multiple large insurance operations. Additionally
a further downgrade of Italy will likely prompt a downgrade of Unipol.
- MAPFRE: IFSR downgraded to A2 (Mapfre Global Risks) and
A3 (Mapfre Asistencia), negative outlook
The IFSRs of Mapfre have been downgraded to A2 from Aa3 (Mapfre Global
Risks) and to A3 from A1 (Mapfre Asistencia), following the downgrade
of Spain's sovereign rating to A3 from A1. Moody's
is maintaining a negative outlook on these ratings. The downgrade
of Mapfre Global Risks reflects the significant exposure of the Mapfre
group to Spanish sovereign risk in light of its direct exposure to both
domestic investments (namely sovereign and banking) and its domestic businesses,
which are the group's largest contributors to earnings. As
at year-end 2011, Mapfre's exposure to Spanish government
bonds and banking debt represented around 29% and 19% of
its fixed income portfolio (87% and 57% of shareholders'
equity) respectively, while the businesses sourced from Spain represented
38% and 62% of group premiums and earnings respectively
in 2011.
Nonetheless, Moody's continues to position Mapfre Global Risks'
IFSR one notch above the Spanish sovereign rating, reflecting (i)
Mapfre Group's substantial growth and diversification into other
markets such as Latin America and the US; (ii) its robust capitalisation
(Solvency I ratio of 287% at year-end 2011) and (iii) strong
track record of profitability despite the challenging economic environment
in its home market (with a consolidated combined ratio of 97%,
and a combined ratio in Spain at 90% in 2011). The downgrade
of Mapfre Asistencia's rating also reflects the deterioration in
the credit quality of the group. However, the lower rating
at Mapfre Asistencia reflects the company's relatively lower stand-alone
fundamentals, which is unaffected by the sovereign.
The negative outlook on Mapfre's ratings mirrors that of Spain's A3 government
bond rating and reflects increasing uncertainties around the economic
and financial environment in Spain. Moody's added that a
further downgrade of the Spanish sovereign rating or a significant deterioration
of the group's solvency and profitability could potentially lead
to further negative pressure for Mapfre's ratings.
- CASER: IFSR downgraded to Baa1 from A3, review for
possible further downgrade
The IFSR of Caser has been downgraded to Baa1 from A3, and placed
on review for further possible downgrade, following the downgrade
of the Spanish sovereign to A3 from A1. The rating of Caser is
constrained by the Spanish sovereign rating given that all its business
is sourced from Spain and that the majority of its investments are Spanish,
with a large concentration risk in Spanish government and bank investments.
In addition, Moody's views Caser's rating as constrained
to some extent by the rating of Spanish Cajas, whose credit quality
is viewed as lower than the sovereign (with the majority of the Cajas
rated in the Baa range for senior debt). Caser is owned by Cajas,
sells its products through Cajas and invests in Cajas' debts and
deposits.
Moody's review will focus on assessing (i) the impact of the deterioration
in Spanish sovereign credit quality on Cajas' credit quality;
(ii) the implications on Caser's asset quality and capitalisation;
as well as (iii) the impact of the ongoing consolidation in the Spanish
banking system on Caser's long-term franchise.
- ASSICURAZIONI GENERALI: IFSR of Assicurazioni Generali
and subsidiaries (see list) downgraded by one notch to A1, negative
outlook
The IFSR of Assicurazioni Generali (Generali) and subsidiaries (see list)
has been downgraded by one notch to A1, negative outlook,
following the downgrade of the Italian sovereign rating to A3, negative
outlook. Moody's said that the downgrade of Generali reflects the
insurer's direct exposure to Italian sovereign risk in terms of
both investment portfolio and business profile. As at Q3 2011 Italian
government bonds represented around 20% (EUR52 billion) of Generali's
total fixed income portfolio, and 27% of its GWP were sourced
in Italy in the first nine months of 2011.
Nonetheless, Moody's continues to rate Generali's IFSR
two notches above the Italian sovereign rating, reflecting the insurer's
broad diversification and flexible product characteristics which serve
to insulate the company somewhat from stress related to the sovereign.
Generali's non-Italian businesses accounted for over 70%
of GWP in the first nine months of 2011 and Moody's believes that the
risk sharing mechanism of the insurer's Italian life insurance products
materially mitigates the exposure to Italian sovereign debt. This
mechanism offers a relatively high ability to share losses with policyholders
by reducing credited returns, given the current large spread between
investments returns and average guarantees. For Generali's Italian
operations this spread was, on average, 1.9%
and 2.3% respectively on Italian traditional products with
yearly and maturity guarantees.
Generali's negative outlook mirrors the negative outlook on Italy's government
bond rating and reflects the uncertainties around the economic and financial
environment in Italy. Given the negative outlook, Moody's
said that the following factors could prompt a downgrade of Generali (i)
a further downgrade of Italy's sovereign rating; (ii) a material
deterioration of solvency and operating performance of the group;
and/or (iii) a material deterioration of the financial flexibility of
the group, for example if financial leverage exceeds 35%
on a long-term basis.
- ALLIANZ SPA: IFSR downgraded to A1 from Aa3, negative
outlook
The IFSR of Allianz S.p.A. (Allianz Italy),
which is fully owned by Allianz SE, has been downgraded by one notch
to A1, negative outlook following the downgrade of the Italian sovereign
to A3, negative outlook. Moody's said that the downgrade
of Allianz Italy reflects the insurer's direct exposure to Italian
sovereign risk in terms of both investment portfolio and business profile.
Italian government bonds represented around 60% of Allianz Italy's
total fixed income portfolio, and 100% of its GWP were sourced
in Italy in the first nine months of 2011. Nonetheless Moody's
continues to rate Allianz Italy's IFSR two notches above the Italian
sovereign rating reflecting the parental support of the group.
Allianz Italy is the second-largest operation outside Germany for
Allianz SE and consistently one of the largest contributors in terms of
premiums and operating profit.
Allianz Italy's negative outlook mirrors both the negative outlook of
Italy's A3 government bond rating and of the parent company, Allianz
SE. Given the negative outlook on Allianz Italy, Moody's
said that the following factors could prompt a downgrade of Allianz Italy;
(i) a downgrade of Italy's sovereign rating; (ii) a downgrade of
Allianz SE or a change in the status of the company within the German
group; and/or (iii) a material deterioration in the stand-alone
solvency, earnings, operating performance or capitalisation
levels.
- ALLIANZ SE: Allianz SE and subsidiaries (IFSRs at Aa3 and
see list) affirmed; outlook to negative from stable
The affirmation of Allianz's ratings (Aa3 IFSR and see ratings list)
reflects the group's strong business profile, supported by
an excellent geographic and business diversification, and strong
financial profile, with good capitalisation, financial flexibility
and excellent profitability. Moody's believes that the deterioration
in sovereign credit quality has had a limited direct impact on Allianz'
financial strength at this stage, given the Group's limited
exposures to the most troubled countries in the Euro area.
Nonetheless, the change in outlook to negative from stable reflects
the increased risk of deterioration in Allianz's asset quality,
capital adequacy, profitability and financial flexibility given
the weak economic environment evident in many of its operational markets.
Moody's notes that Allianz has a significant exposure to Italian
government bonds (around 60% of shareholders' equity excluding
minorities as of 30 September 2011). Moreover, the group
maintains a high concentration risk to financial institutions more broadly
(36% of the investment portfolio, excluding derivatives),
especially to the German banking sector, although this includes
a very high portion of covered bonds (23% of the investment portfolio).
Moody's believes that the risk of deterioration in the quality of
Allianz's investments has increased as evidenced by the negative
outlook on Italian and other sovereign ratings, and the pressures
on banks' credit quality resulting from deterioration in sovereigns'
credit quality.
Furthermore, Allianz has material businesses within several weaker
economies in the Eurozone, where the risk of deterioration in profitability
is the highest. Notably, Allianz generates around 10%
of its earnings and revenues from its Italian operations. Moody's
added that any deterioration in profitability from these markets would
add to the constraints on the group's revenues resulting from the
expected low economic growth across Europe, and to the structural
challenges Allianz faces in its domestic market, both in the very
competitive P&C segment (Allianz reported a combined ratio of 104%
in the first nine months of 2011 in Germany) and in the German life segment,
with its inherent exposure to a prolonged low interest rate environment
(Allianz' German life in-force guarantees were 3.3%
on average at year-end 2010). Moody's notes that constrained
profitability would also constrain the group's financial flexibility,
through reduced fixed charge coverage.
Commenting on what could change the rating down, Moody's mentioned
a significant deterioration of European sovereigns' credit quality,
especially Italy, or some moderate deterioration coupled with a
deterioration in group profitability. A permanent rise in financial
leverage beyond the mid-thirties, or a deterioration in stand-alone
credit fundamentals of main operating entities would also place pressures
on Allianz SE's ratings.
- AXA SA: AXA SA and subsidiaries (IFSRs at Aa3 and see list)
ratings affirmed, outlook to negative from stable.
The affirmation of AXA's ratings (Aa3 IFSR and see list attached)
reflects the group's excellent geographic and business diversification,
its low business risk profile, as well as its strong financial profile,
supported by a sound ability to generate stable underlying earnings.
Moody's believes that the deterioration in sovereign credit quality
has had a limited direct effect on AXA's financial strength at this
stage, given the Group's limited exposures to the most troubled
countries in the Euro area.
Nonetheless, the change in outlook to negative from stable reflects
the increased risk of deterioration in AXA's asset quality,
capital adequacy, profitability and financial flexibility,
given the weak economic environment evident in many of its operational
markets.
AXA maintains 43% of its invested assets in government bonds,
of which around 5% are Belgian bonds, 4% Italian and
2% Spanish bonds, with a further 12% in banking securities.
Furthermore, although AXA does not maintain any significant operational
concentration risk to any one of the most challenged Eurozone economies,
the group generates between 10% and 15% of its earnings
and revenues collectively from Belgium, Italy and Spain.
This risk of deteriorating profitability from these countries (as evidenced
by a decrease in APE of 28% reported in Belgium in the first nine
months of 2011) would add to the constraints on the Group's revenues
resulting from an expected low economic growth across Europe and to the
structural challenges AXA faces in its domestic life general account savings
market, with depressed sales and increasing outflows (AXA reported
a decrease in new business APE of 4% in France in the first nine
months of 2011, including a decrease of 15% of general account
savings sales, partly offset by increases in unit-linked
as well as in protection and health). Moody's notes that
constrained profitability would also constrain the group's financial
flexibility, through a reduction of the fixed charge coverage.
Commenting on what could change the rating down going forwards,
Moody's mentioned a significant deterioration of several European
sovereigns' credit quality, or more moderate deterioration
in sovereign credit quality coupled with a deterioration in underlying
profitability. A weakened solvency position, or an adjusted
long-term financial leverage in the high thirties combined with
a decline of the fixed charge coverage ratio consistently below 5x,
would also place pressures on AXA's ratings.
- AVIVA PLC: Aviva Plc and subsidiaries (IFSRs at Aa3 and
see list) ratings affirmed, outlook to negative from stable
Aviva Plc and its subsidiaries (see list) are affirmed with a negative
outlook. Moody's said that although Aviva retains a lower
level of asset/operating exposure to the Eurozone than some of its peers,
Moody's believes that it nevertheless retains meaningful businesses
in Italy (c.10% of life APE sales as at Q3 2011) and to
a lesser extent in Spain and Ireland (6% and 4%, respectively).
Furthermore, consumer demand for life insurance products in the
UK (the single largest market for Aviva) is set to remain depressed,
with the UK life sector also subject to structural challenges ahead,
including the implementation of Solvency II and the Retail Distribution
Review.
Moody's also notes that, whilst capitalisation (as measured
by IGD surplus) remains higher than at year-end 2008 (GBP2.0
billion surplus), the surplus has fallen to GBP2.7 billion
as at Q3 2011 from GBP4.0 billion as at H1 2011. The rating
agency also anticipates that revenue and earnings headwinds will continue
over the near-term, with Aviva reporting total long term
savings sales from continuing operations down 8% as at Q3 2011
to GBP23.6 billion, with Aviva's European business
reporting a larger 18% decline during this period.
Given the negative rating outlook, Moody's said that the following
factors could prompt a downgrade of Aviva (i) material further negative
rating actions on European sovereigns, particularly those where
Aviva has meaningful operating exposures, including the UK,
France, Italy and Spain; (ii) a material deterioration of solvency
such as IGD surplus falling below GBP 1.5billion; (iii) corporate
actions or M&A which would be expected to lead to a deterioration
in financial leverage or coverage metrics above 35% and below 6x
respectively (IFRS basis); and/or (iv) reduced core profitability,
evidenced by COR above 100% over several years or reductions in
life margins.
- SCOTTISH WIDOWS PLC AND CLERICAL MEDICAL PLC: A1 IFSR and
Baa1 (hyb) securities on review for downgrade
The review for possible downgrade of the A1 IFSR and Baa1 (hyb) subordinated
ratings of Scottish Widows and Clerical Medical follows the review at
the banking parent, Lloyds TSB Bank (the ratings of Lloyds TSB Bank
are on review for possible downgrade). The actions reflect our
view that both Scottish Widows and Clerical Medical's financial
strength could be constrained by their ownership by Lloyds TSB Bank.
The Baa1 (hyb) rating on the insurers' subordinated securities is
already partially constrained by the ratings on the subordinated debts
of its banking parent and is notched wider than the insurance standard
two notches from IFSR, reflecting the central management of capital
at Lloyds Banking Group level.
- REAAL VERZEKERINGEN AND SNS REAAL GROUP: A3 IFSRs and Baa2/Baa3/(P)P-2
debts on review for downgrade
The A3 financial strength ratings of SRLEV, REAAL Schadeverzekeringen
and Baa2/Baa3/Ba2/P-2 debt ratings at SNS REAAL, respectively
the life and non-life insurance operating companies and holding
company of the SNS REAAL Group, have been placed on review for possible
downgrade following the similar review for downgrade of SNS Bank (D+/Baa1).
The rating action reflects Moody's anticipation of adverse pressure on
SNS Bank's credit profile, as reflected in the review for possible
downgrade for the bank's long-term debt ratings, and the
potential contagion risk on the insurance company's ratings, mainly
through additional pressure on capitalisation and on the Group's fixed
charge coverage and financial flexibility.
Moody's said that the review would focus on establishing (i) the capital
needs at the banking operations and the potential strain that it could
create on the insurance operations' balance sheet; and (ii)
the long term profitability of the banking operation, and therefore
of the Group as a whole.
Moody's added that SNS REAAL ratings would most likely be downgraded
if SNS Bank ratings were to be downgraded. SRLEV and REAAL Schadeverzekeringen
ratings could be downgraded if Moody's rating review concluded that
SNS Bank's profitability, and therefore the Group's
profitability, had deteriorated and therefore constrain the Group's
financial flexibility, or if there was a risk that the capital available
within the insurance operations could be used to offset some of SNS Bank's
capital needs.
BANKING AND NON-EUROPEAN SUBSIDIARIES OF EUROPEAN GROUPS
Moody's has also taken a number of rating actions on banking subsidiaries
and US insurance subsidiaries of the European insurers referred to above.
The Aa3 financial strength rating of AXA Equitable Life and MONY Life
Insurance Company and A2/(P)A3 debts at AXA Financial, Inc are affirmed
and outlook changed to negative from stable, in line with that of
the AXA Group, reflecting the rating uplift that AXA's US
operations benefit from. Similarly, the A1 IFSR at Aviva
Life & Annuity is affirmed and its outlook changed to negative,
following the negative outlook on Aviva plc.
Moody's affirmed the Baa1 financial strength rating of ROSNO (renamed
OJSC IC Allianz as of December 2011), based in Russia, and
changed its outlook to negative, reflecting both the change in outlook
of the ultimate parent company, Allianz SE, and the ongoing
pressures on profitability of the Russian company.
Moody's has also affirmed the A2 deposit rating of AXA Bank Europe,
and changed the outlook to negative from stable, in line with that
of the AXA Group, reflecting the rating uplift that AXA Bank Europe
benefits from.
SUMMARY PROFILES OF AFFECTED GROUPS
Based in Munich, Germany, Allianz SE is the holding company
of the Allianz group, one of the largest worldwide insurers.
At 30 September 2011, it reported total revenues of EUR78.5
billion and total equity (including minority interests) of EUR45.8
billion.
Allianz Italy, headquartered in Trieste, Italy, is a
major Italian multi-line insurer. It reported total assets
of EUR61.3 billion in 2010 and shareholders' equity including minorities
of EUR4.3 billion at 31 December 2010.
Aviva Plc is based in London, England, and at Q3 2011,
reported total life and pensions sales of GBP22.0 billion (Q3 2010:
GBP25.6 billion), total general insurance and health net
written premiums of GBP7.5bn (Q3 2010: GBP7.3bn) and
an IGD surplus of GBP 2.7bn (H1 2011: IGD surplus of GBP
4.0bn).
AXA Group, headquartered in Paris, France, is one of
the largest and most diversified insurers in Europe. It reported
total revenues of EUR46.8 billion in the first half of 2011 and
had shareholders' equity of EUR46.4 billion as of 30 June 2011.
Headquartered in Madrid, Spain, CASER is the sixth largest
insurance group in Spain, with a market share of approximately 4.5%
at year-end 2010. It offers an extensive range of life,
non-life and pension products, distributing its products
mostly through Spanish savings banks. CASER reported consolidated
Gross Premiums Written of EUR2.6 billion, and Shareholders'
Equity (including minority interests and valuation reserves) of EUR956
million at year-end 2010.
Generali Assicurazioni S.p.A., headquartered
in Trieste, Italy, is a major international multi-line
insurer. It reported gross premiums written of EUR73.2 billion
in 2010 and shareholders' equity including minorities of EUR20.1
billion at 31 December 2010.
Based in Madrid, Spain, Mapfre is the largest insurance group
in Spain, with a presence in more than 40 countries. Mapfre
Global Risks is the commercial unit of the Mapfre Group. In 2011
the business unit Mapfre Global Risks reported premiums of EUR1,007
million and net income of EUR27 million. Mapfre Asistencia is the
group's international assistance company. As a distinct business
unit, it reported revenues of EUR719 million and net income of EUR26
million in 2011.
SNS REAAL is a bancassurance group headquartered in Utrecht, the
Netherlands. Focusing on the Dutch market, it reported total
income of EUR3.0 billion in the first half of 2011 and had shareholders'
equity of EUR4.5 billion as of 30 June 2011.
Scottish Widows plc had total consolidated assets amounting to GBP67.9
billion at year-end 2010 and reported a net profit of GBP249 million
in 2010 under IFRS. Clerical Medical Investment Group Limited had
total unconsolidated assets amounting to GBP29.5 billion at year-end
2010 and reported an unconsolidated net loss of GBP158 million in 2010
under IFRS.
Unipol Gruppo Finanziario S.p.A., based in
Bologna, Italy, is the parent company of Unipol Assicurazioni
S.p.A. and Unipol Banca. As of 30 December
2010, Unipol Gruppo Finanziario S.p.A. reported
consolidated net profit of EUR71 million and Shareholders' Equity of EUR4,021
million (EUR3,826 million as of year-end 2009).
REGULATORY DISCLOSURES
Please click on this link http://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_139839
for the List of Affected Credit Ratings. This list is an integral
part of this Press Release and provides, for each of the credit
ratings covered, Moody's disclosures on the following items:
Methodologies, Endorsement, Unsolicited Ratings, EU
Participation in Unsolicited Ratings, Person approving the credit
rating, Releasing office.
For ratings issued on a program, series or category/class of debt,
this announcement provides relevant regulatory disclosures in relation
to each rating of a subsequently issued bond or note of the same series
or category/class of debt or pursuant to a program for which the ratings
are derived exclusively from existing ratings in accordance with Moody's
rating practices. For ratings issued on a support provider,
this announcement provides relevant regulatory disclosures in relation
to the rating action on the support provider and in relation to each particular
rating action for securities that derive their credit ratings from the
support provider's credit rating. For provisional ratings,
this announcement provides relevant regulatory disclosures in relation
to the provisional rating assigned, and in relation to a definitive
rating that may be assigned subsequent to the final issuance of the debt,
in each case where the transaction structure and terms have not changed
prior to the assignment of the definitive rating in a manner that would
have affected the rating. For further information please see the
ratings tab on the issuer/entity page for the respective issuer on www.moodys.com.
Some ratings were initiated by Moody's and were not requested by the rated
entities.
Please click on this link http://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_139839
for the List of Affected Credit Ratings for the specific designation of
unsolicited ratings.
Some rated entities or their agents participated in the rating process.
The rated entities or their agents provided Moody's access to the
books, records and other relevant internal documents of these rated
entities. Please click on this link http://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_139839
for the List of Affected Credit Ratings for the specific designation of
participating issuers in unsolicited ratings.
The ratings have been disclosed to the rated entities or their designated
agents and issued with no amendment resulting from that disclosure.
Information sources used to prepare the ratings are the following :
parties involved in the ratings, public information, and confidential
and proprietary Moody's Investors Service information.
Moody's adopts all necessary measures so that the information it
uses in assigning the ratings is of sufficient quality and from sources
Moody's considers to be reliable including, when appropriate,
independent third-party sources. However, Moody's
is not an auditor and cannot in every instance independently verify or
validate information received in the rating process.
Moody's considers the quality of information available on the rated
entities, obligations or credits satisfactory for the purposes of
issuing these ratings.
Moody's Investors Service may have provided Ancillary or Other Permissible
Service(s) to the rated entities or their related third parties within
the two years preceding the credit rating action. Please see the
special report "Ancillary or other permissible services provided
to entities rated by MIS's EU credit rating agencies" on the
ratings disclosure page on our website www.moodys.com for
further information.
The below contact information is provided for information purposes only.
Please see the issuer page on www.moodys.com for Moody's
regulatory disclosure of the name of the lead analyst and the office that
has issued the credit rating.
The relevant Releasing Office for each rating is identified under the
Debt/Tranche List section on the Ratings tab of each issuer/entity page
on moodys.com
Please see the ratings disclosure page on www.moodys.com
for general disclosure on potential conflicts of interests.
Please see the ratings disclosure page on www.moodys.com
for information on (A) MCO's major shareholders (above 5%) and
for (B) further information regarding certain affiliations that may exist
between directors of MCO and rated entities as well as (C) the names of
entities that hold ratings from MIS that have also publicly reported to
the SEC an ownership interest in MCO of more than 5%. A
member of the board of directors of this rated entity may also be a member
of the board of directors of a shareholder of Moody's Corporation;
however, Moody's has not independently verified this matter.
Please see Moody's Rating Symbols and Definitions on the Rating Process
page on www.moodys.com for further information on the meaning
of each rating category and the definition of default and recovery.
Please see ratings tab on the issuer/entity page on www.moodys.com
for the last rating action and the rating history.
The date on which some ratings were first released goes back to a time
before Moody's ratings were fully digitized and accurate data may not
be available. Consequently, Moody's provides a date that
it believes is the most reliable and accurate based on the information
that is available to it. Please see the ratings disclosure page
on our website www.moodys.com for further information.
Please see www.moodys.com for any updates on changes to
the lead rating analyst and to the Moody's legal entity that has issued
the rating.
Simon Harris
MD - Financial Institutions
Financial Institutions Group
Moody's Investors Service Ltd.
One Canada Square
Canary Wharf
London E14 5FA
United Kingdom
JOURNALISTS: 44 20 7772 5456
SUBSCRIBERS: 44 20 7772 5454
Ted Collins
MD-Gbl Ins and Mgd Invests
Financial Institutions Group
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653
Releasing Office:
Moody's Investors Service Ltd.
One Canada Square
Canary Wharf
London E14 5FA
United Kingdom
JOURNALISTS: 44 20 7772 5456
SUBSCRIBERS: 44 20 7772 5454
Moody's takes rating action on several European insurers based on their exposure to sovereigns and banks
