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FOR IMMEDIATE RELEASE
OLDWICK - FEBRUARY 05, 2016 03:34 PM (EST)
A.M. Best has placed under review with negative implications the financial strength rating of B (Fair) and the issuer credit rating of “bb” of Sorford Surety Insurance Co. Ltd. (Sorford) (Hamilton, Bermuda).
The rating action reflects the uncertainty of the company’s fundamental business strategies and management’s lack of communication and silence relating to the interactive rating process.
The company is a subsidiary of IBT Group, LLC (IBT), which is a subsidiary of Eurofinsa S.A. (Eurofinsa). Eurofinsa and IBT are members of a multinational group of companies that specialize in the development, design, construction, equipment and finance of public infrastructure projects around the world.
The under review status with negative implications reflects A.M. Best’s concern with the implementation and execution risk of its business plans and the uncertainty as to the final outcome of the ratings.
The ratings will remain under review for up to 30 days (from date of this release), while A.M. Best attempts to meet with management to collate the necessary information required to assess the company’s rating fundamentals, including further clarity around its execution plan, new business initiatives, its defined role within the IBT Group, any synergies to be garnered and the implicit and explicit support to be provided by its parent and member affiliates. The ratings will be withdrawn if management fails to engage in the interactive rating process.
A.M. Best remains the leading rating agency of alternative risk transfer entities, with more than 200 such vehicles rated in the United States and throughout the world. For current Best’s Credit Ratings and independent data on the captive and alternative risk transfer insurance market, please visit www.ambest.com/captive.
This press release relates to rating(s) 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.
A.M. Best is the world’s oldest and most authoritative insurance rating and information source.