A.M. Best Affirms "A+" Superior Rating of St. Paul Fire & Marine Group.OLDWICK, N.J.--(BUSINESS WIRE)--Nov. 16, 1998--A.M. Best has affirmed af·firm v. af·firmed, af·firm·ing, af·firms v.tr. 1. To declare positively or firmly; maintain to be true. 2. To support or uphold the validity of; confirm. v.intr. the "A+" (Superior) rating of St. Paul St. Paul as a missionary he fearlessly confronts the “perils of waters, of robbers, in the city, in the wilderness.” [N.T.: II Cor. 11:26] See : Bravery Fire & Marine Group, St. Paul. However, its positive rating outlook has been removed. The rating applies to four pool members, led by St. Paul Fire & Marine Insurance Co., and 11 reinsured affiliates. The rating is based on the consolidation of these 15 companies and two separately rated entities -- Economy Fire & Casualty Group and the St. Paul Insurance Company of Illinois. The affirmation A solemn and formal declaration of the truth of a statement, such as an Affidavit or the actual or prospective testimony of a witness or a party that takes the place of an oath. An affirmation is also used when a person cannot take an oath because of religious convictions. recognizes The St. Paul Companies, Inc.'s $3.6 billion acquisition of USF&G Corp. on April 24, 1998, which was financed with St. Paul common stock. The rating reflects the combined group's financial strength and significant market presence. The acquisition gives St. Paul a leading market position in several specialty insurance markets, increased product and geographic diversification, and significant expense savings potential through integration. The group's "Superior" rating reflects its strong capitalization capitalization n. 1) the act of counting anticipated earnings and expenses as capital assets (property, equipment, fixtures) for accounting purposes. 2) the amount of anticipated net earnings which hypothetically can be used for conversion into capital assets. and historically excellent operating performance. These positive rating factors are derived from St. Paul's
1. The process by which investment bankers raise investment capital from investors on behalf of corporations and governments that are issuing securities (both equity and debt). 2. The process of issuing insurance policies. approach, strict commitment to price and reserve adequacy and recognized underwriting expertise in specialty commercial lines. The removal of St. Paul's positive rating outlook reflects the group's recent earnings disappointments. St. Paul's core earnings have weakened in recent quarters as a result of weather-related losses and inteAlso, uncertainty exists regarding the extent ofttp://www.ambest.com. |
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