AM Best


A.M. Best Assigns Ratings to Wadena Insurance Company; Affirms Ratings of IMT Insurance Company


CONTACTS:

Analyst(s)

Bob Podolski

(908) 439-2200, ext. 5731

bob.podolski@ambest.com

Joseph Burtone

(908) 439-2200, ext. 5125

joseph.burtone@ambest.com

Public Relations

Jim Peavy

(908) 439-2200, ext. 5644

james.peavy@ambest.com

Rachelle Morrow

(908) 439-2200, ext. 5378

rachelle.morrow@ambest.com


FOR IMMEDIATE RELEASE

OLDWICK, N.J. - JULY 31, 2008 12:00 AM (EDT)
A.M. Best Co. has assigned a financial strength rating (FSR) of A (Excellent) and an issuer credit rating (ICR) of "a" to Wadena Insurance Company (Wadena). Concurrently, A.M. Best has affirmed the FSR of A (Excellent) and the ICR of "a" of IMT Insurance Company (IMT) (both of West Des Moines, IA). As of this year, these two companies make up the IMT Insurance Companies. The outlook for all ratings is stable.

IMT's ratings reflect its strong capitalization and favorable operating performance in recent years. The ratings also acknowledge the company's long-standing local market presence and solid agency relationships.

Partially offsetting these positive factors are IMT's above average expense structure and its geographic concentration, primarily in Iowa. Wadena's ratings are based on its affiliation with IMT, as they share common management and support functions. Also, Wadena participates in a pooling agreement with IMT, whereby IMT guarantees Wadena's liabilities to its policyholders.



For Best's Ratings, an overview of the rating process and rating methodologies, please visit Best's Rating Center.

Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.

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