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FOR IMMEDIATE RELEASE
OLDWICK - NOVEMBER 10, 2017 11:24 AM (EST)
A.M. Best has affirmed the Long-Term Issue Credit Ratings of “a-” on the 3.50% 10-year, senior unsecured notes, due 2026 and the 4.50% 30-year, senior unsecured notes, due 2047, of American Financial Group, Inc. (AFG) (Cincinnati, OH) [NYSE: AFG]. The outlook of these Credit Ratings (ratings) is stable. The existing ratings of AFG and its subsidiaries are unchanged.
The ratings apply to the recently issued $125 million 3.50% senior unsecured notes, due 2026, by AFG, and to its existing $300 million 3.50% senior unsecured notes, due 2026, issued Aug. 22, 2016. The ratings also apply to the recently issued $240 million 4.50% senior unsecured notes, due 2047, by AFG, and to its existing $350 million 4.50% senior unsecured notes, due 2047, issued June 2, 2017. The additional notes offered constitute a further issuance of, and are fungible with, the existing notes. These additional notes offer terms identical to the existing notes, with the exception of the issue date and the offering price.
Proceeds of the new notes offered are intended to be used to call $350 million of 9.875% senior unsecured notes due June 2019, plus a make whole premium.
The company’s financial leverage and coverage ratios are within A.M. 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 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. For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.
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