Fitch downgrades Aflac

Fitch Ratings said it downgraded the ratings of Aflac Inc. one notch and affirmed the ratings of its insurance subsidiaries. The ratings were removed from negative watch, where they were placed in January 2009.

The outlook is negative.

The downgrade reflects more typical notching following recent changes to the company's capital structure, Fitch said. In the past, Aflac's ratings reflected narrowed notching between the holding company and insurance company issuer default ratings.

The downgrade widens the notching to a more typical level for insurance companies and reflects a belief that Aflac's current profile has weakened given its increased leverage, overall financial sector investment concentration and large single-name, financial securities, the agency said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.