S&P affirms ACE

Standard & Poor's said it affirmed the A- counterparty credit rating on ACE Ltd.

The outlook is stable.

According to S&P, the affirmations followed the company's recent announcement that it expects to report lower operating income at $1.44 to $1.48 per common share and that its net realized and unrealized losses will total $1.5 billion during the third quarter.

Ratings are based on the group's very strong competitive position as a global and diversified property/casualty group and its strong financial flexibility, capitalization and operating performance, the agency said.

Concerns are ACE's changing and increasing risk profile into new lines and geographic locations, high reinsurance utilization in certain lines and high amounts of recoverables, runoff reserves and intangibles, the agency noted.

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