A.M. Best Co. has affirmed the financial strength rating of A- (Excellent) and issuer credit rating of “a-” of Nissan Global Reinsurance, Ltd. (NGRe) (Hamilton, Bermuda). The outlook for both ratings is stable. The ratings reflect NGRe’s strong capitalization and conservative operating strategy. The ratings also consider NGRe’s critical role and favorable profile as part of the Nissan Motor Co. Ltd. (Nissan) [NASDAQ: NSANY], as well as its excellent operating performance since its inception in 2005. Partially offsetting these positive rating factors are the significant exposures NGRe has to product liability, property and marine cargo claims. NGRe is a single parent captive of Nissan, one of the largest automakers in the world. NGRe operates two distinctive lines of business: (1) global property/casualty programs for Nissan, which include global property (United States, Japan, Europe, Mexico and South Africa), U.S. workers’ compensation, U.S. and Japan product liability and marine transport; and (2) a global platform for extended service contract business. NGRe benefits from the group’s extensive risk management and loss control programs. NGRe operates at conservative underwriting leverage levels; however, it provides coverages with large limits, and as such, its gross exposures per loss occurrence are elevated. Nevertheless, A.M. Best recognizes the quality of the substantial financial resources and support available to the captive. NGRe’s ratings are not expected to be upgraded, nor is its outlook expected to be revised within the next 12-24 months, as its operating performance and capital position already have been considered in A.M. Best’s ratings process. A.M. Best could downgrade NGRe’s ratings and/or revise its outlook if its Best's Capital Adequacy Ratio (BCAR) score declines, operating performance and risk profile deteriorate, its insured losses deplete capital and/or significant changes and turnover occur in its management team, risk management controls and tolerances. 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 Ratings and independent data on the captive and alternative insurance market, please visit www.ambest.com/captive. 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 © 2013 by A.M. Best Company, Inc. ALL RIGHTS RESERVED.