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FOR IMMEDIATE RELEASE
OLDWICK - MARCH 27, 2020 02:16 PM (EDT)
AM Best has assigned a Long-Term Issue Credit Rating of “a-” to the new $300 million 5.25% 10-year senior unsecured notes due April 2030 recently issued by American Financial Group, Inc. (AFG) (Cincinnati, OH) [NYSE: AFG]. The outlook assigned to this Credit Rating (rating) is stable. The existing ratings of AFG and its subsidiaries are unchanged.
AFG intends to use the net proceeds of the offering for general corporate purposes. Following the completion of the transaction discussed above, AFG’s adjusted financial leverage ratio will increase modestly, while its interest coverage ratio will remain largely unchanged. AFG’s adjusted and unadjusted financial leverage ratios and interest coverage measures all remain well within AM Best’s guidelines for AFG’s current ratings and are expected to remain so over the near term.
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AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in New York, London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.