A.M. Best Assigns Rating to AmTrust Financial Services, Inc.'s Forthcoming Preferred Share Offering
A.M. Best Assigns Rating to AmTrust Financial Services, Inc.'s Forthcoming Preferred Share Offering
OLDWICK, N.J.--(BUSINESS WIRE)-- A.M. Best Co. has assigned a debt rating of "bb+" to the forthcoming $115 million 6.75% non-cumulative perpetual preferred stock of AmTrust Financial Services Inc. (AmTrust) (headquartered in New York, NY) (NAS: AFSI) . The outlook assigned is stable. All remaining ratings of AmTrust and its subsidiaries are unchanged. (Please see A.M. Best's press release dated May 24, 2013.)
The proceeds from the issuance will be used in continued support and development of AmTrust's business and for other general corporate purposes. With the issuance of the preferred shares, AmTrust's adjusted debt-to-total capital and adjusted debt-to-tangible capital is approximately 17% and 26%, respectively, and are within A.M. Best's guidelines for its current rating level. In addition, AmTrust's interest coverage ratio is expected to remain adequate for its rating.
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, visitwww.ambest.com.
Copyright © 2013 by A.M. Best Company, Inc.ALL RIGHTS RESERVED.
A.M. Best Company, Inc.
Brian O'Larte
Senior Financial Analyst
908-439-2200, ext. 5138
brian.olarte@ambest.com
or
Rachelle Morrow
Senior Manager, Public Relations
908-439-2200, ext. 5378
rachelle.morrow@ambest.com
or
Michael Lagomarsino, CFA
Assistant Vice President
908-439-2200, ext. 5810
michael.lagomarsoino@ambest.com
or
Jim Peavy
Assistant Vice President, Public Relations
908-439-2200, ext. 5644
james.peavy@ambest.com
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