AM Best has assigned a Long-Term Issue Credit Rating of "a-" to the new $300 million 5.25% 10-year senior unsecured notes due April 2030 recently issued by American Financial Group, Inc. (AFG) (Cincinnati, OH) [NYSE: AFG]. The outlook assigned to this Credit Rating (rating) is stable. The existing ratings of AFG and its subsidiaries are unchanged.
AFG intends to use the net proceeds of the offering for general corporate purposes. Following the completion of the transaction discussed above, AFG’s adjusted financial leverage ratio will increase modestly, while its interest coverage ratio will remain largely unchanged. AFG’s adjusted and unadjusted financial leverage ratios and interest coverage measures all remain well within AM Best’s guidelines for AFG’s current ratings and are expected to remain so over the near term.
This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.
AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in New York, London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.
Copyright © 2020 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.
Senior Financial Analyst
+1 908 439 2200, ext. 5603
+1 908 439 2200, ext. 5161
Manager, Public Relations
+1 908 439 2200, ext. 5159
Director, Public Relations
+1 908 439 2200, ext. 5644