A.M. Best Assigns Debt Rating to the Travelers Companies, Inc.'S Newly Issued Senior Unsecured Note

Before you go, we thought you'd like these...
Before you go close icon

A.M. Best Assigns Debt Rating to the Travelers Companies, Inc.'S Newly Issued Senior Unsecured Note

OLDWICK, N.J.--(BUSINESS WIRE)-- A.M. Best Co. has assigned a debt rating of "a" to the recently issued $500 million 4.6% senior unsecured note, due 2043 of The Travelers Companies, Inc. (Travelers) (headquartered in New York, NY) (NYS: TRV) . The assigned outlook is positive.

The proceeds from the debt issuance will be used to fund a portion of the purchase price of The Dominion of Canada General Insurance Company (The Dominion) (Toronto, Canada), one of the largest property/casualty insurers in Canada and for general corporate purposes. The debt offering is pursuant to a shelf registration statement filed with the Securities & Exchange Commission. While Travelers' financial leverage will modestly increase, it will remain within A.M. Best's guidelines to support its current ratings.

The rating recognizes Travelers' strong risk-adjusted capitalization, favorable operating and underwriting results, dominant market profile in commercial and personal lines (largely distributed through independent agents) as well as its quality management team. In addition, Travelers' superior product breadth, industry leading data analytics and leading position within its distribution network have enabled it to report a trend of strong earnings, which outperform the majority of its peers.

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.

Copyright © 2013 by A.M. Best Company, Inc. ALL RIGHTS RESERVED.

A.M. Best Co.
Michael Russo, 908-439-2200, ext. 5372
Senior Financial Analyst
Michael Lagomarsino, CFA, 908-439-2200, ext. 5810
Assistant Vice President
Rachelle Morrow, 908-439-2200, ext. 5378
Senior Manager, Public Relations
Jim Peavy, 908-439-2200, ext. 5644
Assistant Vice President, Public Relations

KEYWORDS:   United States  Europe  North America  New Jersey


The article A.M. Best Assigns Debt Rating to the Travelers Companies, Inc.'S Newly Issued Senior Unsecured Note originally appeared on Fool.com.

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

People are Reading