American National Announces Standard & Poor's Affirms Ratings With a Change in Outlook

• Press Release
• Source: American National Insurance Company
• On 6:52 pm EDT, Wednesday September 30, 2009

GALVESTON, Texas, Sept. 30 /PRNewswire-FirstCall/ -- Standard & Poor's recently affirmed the financial strength ratings of American National Insurance Company (Nasdaq: ANAT - News) and its subsidiaries as follows:

    American National Insurance Company and                 AA-
    American National Life Insurance Company of Texas
    (collectively, ANICO)

    American National Property and Casualty Company         AA-
    and American National General Insurance Company
    (collectively, ANPAC)

    Standard Life and Accident Insurance Company            A
    (SLAICO)

    Garden State Life Insurance Company (GSL)               A-

While the company ratings were affirmed, Standard & Poor's revised its outlook to negative from stable for ANICO, ANPAC and SLAICO. These actions were largely a result of decreased operating performance during 2008 and the first half of 2009.

Over the past eighteen months, our Property and Casualty segment has experienced an unusually high level of catastrophes, particularly in the homeowner's line. Management has made significant progress in its implementation of various actions identified to address the losses related to these events as well as non-catastrophe related losses. Similarly, corrective actions are being implemented in the Health segment. Management remains focused on operating results and anticipates that over the coming year, the actions taken at American National will return the company to its historical profitability. American National is dedicated to maintaining its very strong financial strength ratings.

While Property and Casualty earnings have suffered recently, ANPAC maintains a relatively low expense ratio and a tri-line sales ratio that is one of the best in the industry, clearly core competencies for the company.

American National maintains a strong corporate profile, thriving for more than 104 years, the result of a unique, conservative corporate culture with a strong commitment to its policyholders, shareholders, agents and employees.

American National remains well capitalized with GAAP assets equal to $19.25 billion, or 120% of the company's GAAP liabilities, as of June 30, 2009. At the same time, GAAP Stockholders' equity was $3.25 billion, or $122.62 per basic share.

In this period of unprecedented economic turmoil, American National maintains excellent liquidity, utilizing sound asset/liability management and a capital structure with no corporate debt.

American National Insurance Company is headquartered in Galveston, Texas. American National has over $19.2 billion in assets and is rated A (Excellent) by A.M. Best Company, and AA- (Very Strong) by Standard & Poor's. The American National family of companies offers a broad line of products and services, which include life insurance, annuities, health insurance, credit insurance, pension plan services and property and casualty insurance for personal lines, agribusiness, and targeted commercial exposures. American National's major insurance subsidiaries include American National Life Insurance Company of Texas, Standard Life and Accident Insurance Company, Garden State Life Insurance Company, American National Property and Casualty Company, Farm Family Life Insurance Company, Farm Family Casualty Insurance Company and United Farm Family Insurance Company.

For more information, including company news and investor relations information, visit the company's web site at www.anico.com.

The statements contained in this release that are not historical statements, including statements regarding future performance, plans and projections, are forward-looking statements based on management's current expectations. Such forward-looking statements are made under "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements involve certain risks and uncertainties detailed in the Company's financial statements and in the Company's Form 10 registration statement filed with the Securities and Exchange Commission. Actual results may differ materially from these statements due to changes in business, regulatory, competitive, market, economic, and political factors that are beyond our control. We disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.

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