This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

A.M. Best Places Ratings Of Protective Life Corporation And Its Subsidiaries Under Review With Negative Implications

A.M. Best has placed under review with negative implications the ratings of Protective Life Corporation (Protective) (headquartered in Birmingham, AL) [NYSE: PL] and its life/health subsidiaries following the announcement that it has entered into a definitive agreement for the sale of 100% of its outstanding stock to The Dai-ichi Life Insurance Company, Limited (Dai-ichi Life) (Tokyo, Japan).

Dai-ichi Life, publicly-traded on the Tokyo Stock Exchange since April 2010, is the second largest private life insurance company in Japan as measured by total assets as of March 31, 2014. Although the majority of Dai-ichi Life’s sales are in Japan, the company continues to seek opportunities to accelerate its overseas life insurance business expansion and enhance international business diversification. Dai-ichi Life intends to utilize Protective as its U.S. platform for selling life insurance and annuity products. The acquisition—with a purchase price of approximately $5.7 billion—is subject to regulatory and shareholder approvals.

The ratings will remain under review pending discussions with Dai-ichi Life’s management team as the new parent does not currently have a relationship with A.M. Best. Nevertheless, in the near to medium term, A.M. Best does not expect Protective’s operating profile, senior management or capitalization to change materially, if at all. It is expected that the transaction will close by year-end 2014 or early 2015.

For a complete listing of Protective’s financial strength, issuer credit and debt ratings, please visit www.ambest.com/press/060406protective.pdf.

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. Best’s Credit Rating Methodology can be found at www.ambest.com/ratings/methodology.

A.M. Best Company is the world's oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.

Copyright © 2014 by A.M. Best Company, Inc. ALL RIGHTS RESERVED.



1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs