Moody's reviews Willis

Moody's Investors Service said it placed Willis Group Holdings Ltd. and its subsidiaries ratings under review for downgrade, including the Baa2 backed senior unsecured debt rating of Willis North America Inc.

The review follows Willis' plans to acquire Hilb Rogal & Hobbs Co.

"The transaction will enhance Willis's business profile, particularly in the U.S. market, but we expect that it will significantly weaken the firm's financial profile for a couple of years - perhaps longer depending on the pace of integration, cost savings, debt reduction and general market conditions," Moody's analyst Bruce Ballentine said in a written statement.

The agency said the acquisition could cause the issuer's adjusted debt-to-EBITDA ratio to rise above 3 times.

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