Best’s News & Research Service - May 18, 2023 03:14 PM (EDT)
AM Best Assigns Issue Credit Rating to CNA Financial Corporation’s New Senior Unsecured Notes
- May 18, 2023 03:14 PM (EDT)
Oldwick //BestWire// - AM Best has assigned a Long-Term Issue Credit Rating of “bbb+” (Good) to the recently issued $400 million 5.5% senior unsecured notes due 2033 of CNA Financial Corporation (CNAF) (Chicago, IL). The outlook assigned to the Credit Rating (rating) is stable.
Proceeds from the sale of the senior unsecured notes will be utilized to repurchase, redeem, repay or otherwise retire the $243 million outstanding aggregate principal balance of the 7.25% senior unsecured debentures due Nov. 15, 2023, and any remaining net proceeds will be used for general corporate purposes. CNAF maintains financial leverage and coverage measures that are within AM Best’s guidelines for this rating and both are expected to remain so following the new debt issuance. The existing ratings of CNAF and its subsidiaries are unchanged.
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