NOVEMBER 25, 2020 09:00 AM (EST)
AM Best Assigns Issue Credit Rating to CNO Financial Group, Inc.’s Subordinated Debentures
FOR IMMEDIATE RELEASE
OLDWICK - NOVEMBER 25, 2020 09:00 AM (EST)
This issuance aims to provide the company with additional capital diversification and flexibility, as this is its first subordinated debenture offering. The company intends to use the net proceeds for general corporate use. As a result of the new issuance, AM Best expects the company’s financial leverage to increase but remain within tolerable levels. While pro-forma year-end 2019 GAAP coverage is low based, it is expected to increase for 2020, as the first nine months of 2020 of earnings have been more favorable. The company provides an estimated combined risk-based capital ratio of 428% as of third-quarter 2020, an improvement from the end of 2019.
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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.