A.M. Best has assigned Long-Term Issue Credit Ratings of "bbb+" to the $1.250 billion 4.101% 10 year senior unsecured notes and the $850 million 4.55% 30 year senior unsecured notes issued by Anthem, Inc. (Anthem) (Indianapolis, IN) [NYSE:ANTM]. The outlook assigned to these Credit Ratings (ratings) is stable. All other ratings of Anthem and its subsidiaries are unchanged. The proceeds of the 2028 notes will be held in trust as part of the remarking of its 2015 subordinated equity security units, while the 2048 notes will be for working capital and general corporate purposes, including to repay short-term and long-term debt. A.M. Best estimates that in the near term, financial leverage will remain temporarily elevated at approximately 43%. The increase in leverage is due to a combination of Anthem's November 2017 issuance and this most recent issuance, however, based on discussions with management, financial leverage is expected to moderate throughout the year. This will occur through a combination of the elimination of existing debt and increases in equity driven by retained earnings. Anthem's financial leverage was approximately 38% before the November 2017 issuance. Anthem's capitalization levels and operating results at its regulated insurance entities continue to be strong. The organization maintains more-than-adequate EBIT interest coverage. Additionally, holding company cash and liquidity is also considered very good and supportive of the organization's ratings. This press release relates to Credit Ratings 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. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best's Credit Ratings . For information on the proper media use of Best's Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best's Credit Ratings and A.M. Best Rating Action Press Releases . A.M. Best is the world's oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com. Copyright © 2018 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.