MARCH 07, 2017 03:03 PM (EST)
A.M. Best Assigns Issue Credit Rating to The Hartford Financial Services Group, Inc.’s Junior Subordinated Debentures Offering
|Jonathan Harris, CFA, FRM|
Senior Financial Analyst
+1 908 439 2200, ext. 5771
Jennifer Marshall, CPCU, ARM
+1 908 439 2200, ext. 5327
Manager, Public Relations
+1 908 439 2200, ext. 5159
Director, Public Relations
+1 908 439 2200, ext. 5644
FOR IMMEDIATE RELEASE
OLDWICK - MARCH 07, 2017 03:03 PM (EST)
A.M. Best has assigned a Long-Term Issue Credit Rating of “bbb” to the recently issued $500 million floating rate junior subordinated debentures due 2067 of The Hartford Financial Services Group, Inc. (The Hartford) (headquartered in Hartford, CT) [NYSE: HIG]. The outlook assigned to the Credit Rating is stable.
Proceeds from the offering will be utilized to retire existing junior subordinated notes of $500 million with a coupon rate of 8.125% on its June 2018 call date. Holders of the new junior subordinated notes will receive floating rate interest of 3-month Libor plus 212.5 basis points. The notes will mature on Feb. 12, 2067. Following issuance of the new notes, The Hartford’s financial leverage and coverage metrics will remain within guidelines for the company’s Long-Term Issuer Credit Ratings.
This press release relates to Credit Ratings that have been published on A.M. Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings.
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