OLDWICK, N.J.--(Business Wire)--
A.M. Best Co. has assigned a debt rating of "bbb+" to the 40-year $500 million
5.10% fixed-to-floating subordinated debentures recently issued by The Allstate
Corporation (Allcorp) (Northbrook, IL) [NYSE: ALL]. The assigned outlook is
stable. All existing ratings of Allcorp and its subsidiaries are unchanged.
The assigned rating recognizes Allstate Insurance Group`s (Allstate) solid
risk-adjusted capitalization, generally favorable operating performance and
significant market presence. The rating also is indicative of A.M. Best`s view
of the group`s near-term earnings prospects when considering its strong overall
business profile as the second-largest personal lines writer in the United
States. As of third quarter 2012, Allcorp`s debt-to-capital and debt-to-tangible
capital ratios were 25.4% and 26.7%, respectively, and the company continues to
maintain a fixed interest coverage ratio that is supportive of its ratings.
The methodology used in determining these ratings is Best`s Credit Rating
Methodology, which provides a comprehensive explanation of A.M. Best`s rating
process and contains the different rating criteria employed in the rating
process. Key criteria utilized include: "Understanding BCAR for
Property/Casualty Insurers"; "Insurance Holding Company and Debt Ratings";
"Catastrophe Analysis in A.M. Best Ratings"; "Rating Members of Insurance
Groups"; "Equity Credit for Hybrid Securities"; and "Risk Management and the
Rating Process for Insurance Companies." Best`s Credit Rating Methodology can be
found at www.ambest.com/ratings/methodology.
Founded in 1899, A.M. Best Company is the world's oldest and most authoritative
insurance rating and information source. For more information, visit
Copyright © 2013 by A.M. Best Company, Inc.ALL RIGHTS RESERVED.
A.M. Best Co.
Michael T. Venezia
Senior Financial Analyst
(908) 439-2200, ext. 5034
Assistant Vice President
(908) 439-2200, ext. 5665
Senior Manager, Public Relations
(908) 439-2200, ext. 5378
Assistant Vice President, Public Relations
(908) 439-2200, ext. 5644
Copyright Business Wire 2013