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FOR IMMEDIATE RELEASE
OLDWICK, N.J. - JANUARY 16, 2008 12:00 AM (EST)
A.M. Best Co. has withdrawn the financial strength rating of B+ (Good) and issuer credit rating of "bbb-" of TIG Specialty Insurance Company (TIG Specialty) (California) and assigned a category NR-5 (Not Formally Followed) to the company. The rating withdrawals are due to the acquisition of TIG Specialty by Ironshore Holdings (US) Inc. (Delaware), effective December 31, 2007.
As a result of the acquisition, TIG Specialty has been removed from A.M. Best's TIG Insurance Group (TIG). All direct premium has been reinsured into TIG's lead company, TIG Insurance Company (California) for many years. TIG and its subsidiaries constitute the U.S. run-off operations of Fairfax Financial Holdings Limited (Fairfax) (Toronto) [NYSE and TSX: FFH]. The sale is reflective of Fairfax's attempts to simplify its run-off operations. TIG Specialty was sold along with its existing high quality investment portfolio and corresponding surplus. Fairfax has guaranteed TIG Specialty's existing liabilities.
For Best's Ratings, an overview of the rating process and rating methodologies, please visit Best's Rating Center.
Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers.