Moody's gives Lincoln National notes Baa2

Moody's Investors Service said it assigned a Baa2 (negative outlook) debt rating to Lincoln National Corp.'s $300 million of fixed-rate senior unsecured notes maturing February 2015.

The notes are a drawdown from a shelf registration filed in March 2009, and the proceeds are expected to be used for general corporate purposes and to repay $250 million of senior debt that matures in March 2010.

According to Moody's vice president Ann Perry, "LNC's debt issuance is a prudent step in managing upcoming debt maturities while maintaining the company's financial flexibility.

"Since the proceeds from this issuance are expected to be used primarily to pre-fund an upcoming debt maturity, Moody's will analytically treat $250 million of the debt issuance as operating debt, so the issuance only slightly increases the company's financial leverage."

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