Moody's rates Allstate preferreds Baa3

Moody's Investors Service said it assigned a Baa3(hyb) rating to Allstate Corp.'s (senior debt at A3) planned issuance of noncumulative perpetual preferred stock that is expected to be executed on an ongoing basis over the next one to two weeks.

The outlook is stable.

The transactions will constitute drawdowns from Allstate's shelf registration filed on April 30, 2012.

Proceeds are expected to be used for general corporate purposes.

Moody's said Allstate's ratings reflect the intrinsic credit profiles of both its property-casualty and life insurance subsidiaries, particularly its formidable competitive position in the U.S. market for personal insurance of automobiles and homes.

Other strengths include multiple distribution channels, strong operating profitability in its automobile line and good risk-adjusted capital, the agency said.

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