|[January 17, 2013]
A.M. Best Assigns Debt Rating to Pacific LifeCorp's New Senior Unsecured Notes
OLDWICK, N.J. --(Business Wire)--
A.M. Best Co. has assigned a debt rating of "a-" to the recently
issued $500 million, 5.125% 30-year senior unsecured notes of Pacific
LifeCorp (PLC) (Newport Beach, CA (News - Alert)). The assigned outlook is stable.
The proceeds from the offering will be utilized to retire a portion
($322.8 million) of the outstanding 9.25% surplus notes, due 2039 of Pacific
Life Insurance Company (Pacific Life) (Omaha, NE). Pacific Life is
PLC's lead life insurance subsidiary.
On an adjusted pro-forma basis, financial leverage remains unchanged at
approximately 24% following the transactions. Financial leverage and
interest coverage are within guidelines for the current raings, and
Pacific Life continues to maintain strong liquidity resources and solid
risk-adjusted capitalization levels.
The methodology used in determining these ratings is Best's Credit
Rating Methodology, which provides a comprehensive explanation of A.M.
Best's rating process and contains the different rating criteria
employed in the rating process. Key criteria utilized include:
"Insurance Holding Company and Debt Ratings." Best's Credit Rating
Methodology can be found at www.ambest.com/ratings/methodology.
Founded in 1899, A.M. Best Company is the world's oldest and most
authoritative insurance rating and information source. For more
information, visit www.ambest.com.
Copyright © 2013 by A.M. Best Company, Inc. ALL RIGHTS
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