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TMCNet:  A.M. Best Assigns Debt Rating to Pacific LifeCorp's New Senior Unsecured Notes

[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

Founded in 1899, A.M. Best Company is the world's oldest and most authoritative insurance rating and information source. For more information, visit

Copyright © 2013 by A.M. Best Company, Inc. ALL RIGHTS RESERVED.

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