D&P: GREAT NORTHERN INSURED ANNUITY AND FIRST GNA LIFE INSURANCE COMPANY OF NEW YORK CLAIMS PAYING ABILITY RATING REAFFIRMED AT 'AA'
CHICAGO, July 21 /PRNewswire/ -- Duff & Phelps Credit Rating Co. has reaffirmed the claims paying ability rating of Great Northern Insured Annuity Corporation (GNA) at `AA' (Double-A). The rating reflects the company's high asset quality, low risk product portfolio, and strong asset/liability management. In addition, the recent acquisition of GNA by General Electric Capital Corporation (GECC) is a positive development. Duff & Phelps has also reaffirmed the claims paying ability rating of GNA's wholly owned subsidiary, First GNA Life Insurance Company of New York (First GNA) at `AA' (Double-A). The rating is based on the strength and support of GNA. GNA is an annuity writer based in Seattle Washington with total admitted assets of $5.3 billion and adjusted surplus of $295 million at March 31, 1993. First GNA is essentially the New York extension of GNA and writes all of its business in that state. First GNA had total admitted assets of $627 million and adjusted surplus of $70 million at March 31, 1993. GNA is a wholly-owned subsidiary of GECC, the largest diversified finance and leasing company in the nation. On April 1, 1993, GECC acquired GNA from Weyerhaeuser Company (Weyerhaeuser) for $525 million. Over the last several years, Weyerhaeuser had been implementing a strategic initiative to refocus its resources on the core paper and forest products business. GECC, whose ultimate parent is General Electric, had total assets of $90.3 billion and stockholders' equity of $9.1 billion at March 27, 1993. Duff & Phelps rates the senior debt of GECC 'AA+' (Double-A-Plus). GECC will use GNA as its platform annuity company to expand into new products and new distribution systems. The new parent will support GNA's growth with capital contributions when necessary and is committed to maintaining a strong capital base. -0- 7/21/93 /CONTACT: Julie A. Burke of Duff & Phelps, 312-368-3158/
CO: Great Northern Insured Annuity Corporation ST: IN: INS SU: RTG
SH -- NY081 -- 4049 07/21/93 14:35 EDT
|Printer friendly Cite/link Email Feedback|
|Date:||Jul 21, 1993|
|Previous Article:||CONTINUUM ACQUIRES PAXUS|
|Next Article:||MAIN ST. & MAIN INC. ANNOUNCES SECOND QUARTER RESULTS|