A.M. Best Assigns Ratings to Max Specialty Insurance Company and to Max USA Holdings Ltd.'s Senior Unsecured Notes.OLDWICK, N.J. -- A.M. Best Co. has assigned a financial strength rating (FSR (Free System Resource) In Windows 3.x, the amount of unused memory in various 64K blocks reserved for managing current applications. Every open window takes some space in this area. See Windows memory limitation. ) of A- (Excellent) and an issuer credit rating (ICR (Intelligent Character Recognition or Image Character Recognition) The machine recognition of hand-printed characters as well as machine printing that is difficult to recognize. ) of "a-" to Max Specialty Insurance Company (MSIC MSIC Maritime Security Identification Card (Australia) MSIC Missile and Space Intelligence Center (US DoD) MSIC Massachusetts Credit Union Share Insurance Corporation MSIC Maritime Safety Information Center ) (Delaware). Concurrently, A.M. Best has assigned a debt rating of "bbb-" to MSIC's immediate parent company Max USA Holdings Ltd.' s (MUHL) (Delaware) $100 million 7.20% senior unsecured notes due April 2017. The outlook for all ratings is stable. The acquisition of MSIC and the formation of MUHL by their ultimate parent company, Max Re Capital Ltd. (MXRE) (Bermuda) [NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : MXRE], expand MXRE's operations into the U.S. excess and surplus lines market. MSIC will offer property, inland marine, casualty, excess liability and umbrella insurance refers to insuring more than one property as opposed to insuring only one. For example the owner might get a discount for insuring both his house and car rather than insuring them with separate policies because it might cost more. products. MSIC's ratings reflect solid capitalization, a sound business plan and a strong management team. In addition, MSIC meets A.M. Best's previously established requirements for new company formations. The debt rating of MUHL's senior notes is based on the full and unconditional guarantee of MXRE, with proceeds of the sale repaying short-term borrowings that had been used to capitalize MSIC. Under the terms of the offering document, at its option, MUHL or MSIC may redeem all or part of the senior notes at any time at greater than 100% of the principal amount or the sum of the present values of the remaining scheduled principal and interest payments. Following the transaction, MXRE's consolidated debt-to-adjusted capital will be approximately 10%, and fixed charge coverage is expected to remain in excess of 18 times. For Best's Debt Ratings, all other Best's Ratings Best's rating A rating A.M. Best Co. assigns to insurance companies based on the company's ability to meet its obligations to its policyholders. , an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings. Founded in 1899, A.M. Best Company is a full-service credit rating organization dedicated to serving the financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. industries, including the banking and insurance sectors. For more information, visit www.ambest.com. |
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