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FOR IMMEDIATE RELEASE
OLDWICK - MAY 16, 2017 09:56 AM (EDT)
A.M. Best has assigned a Long-Term Issue Credit Rating of “a+” to the $700 million 4.00% senior unsecured notes, due May 30, 2047, recently issued by The Travelers Companies, Inc. (Travelers) (headquartered in New York, NY) [NYSE: TRV]. The outlook assigned to the Credit Rating (rating) is stable.
The proceeds from the sale of the notes will be used to retire Travelers’ existing $450 million of 5.75% senior unsecured notes, due Dec. 15, 2017, as well as to help fund a portion of the previously announced acquisition of Simply Business, a digital provider of insurance policies to small businesses in the United Kingdom. While Travelers’ financial leverage will modestly increase in the near term, it will remain well within A.M. Best’s guidelines to support this rating. A.M. Best anticipates Travelers’ coverage ratios to remain strong and well supportive of the current rating.
This press release relates to Credit Ratings that have been published on A.M. 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 A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings.
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