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PRESS RELEASE: Paid content from Business Wire
Press release content from Business Wire. The AP news staff was not involved in its creation.

AM Best Assigns Issue Credit Rating to Sammons Financial Group, Inc.’s Senior Unsecured Notes

April 19, 2021 GMT

OLDWICK, N.J.--(BUSINESS WIRE)--Apr 19, 2021--

AM Best has assigned a Long-Term Issue Credit Rating of “a-” to the $850 million 3.35% 10-year senior unsecured notes issued by Sammons Financial Group, Inc. (SFG, Inc.) (Delaware), an intermediate holding company indirectly owned by Sammons Enterprises, Inc. (SEI). The outlook assigned to this Credit Rating (rating) is stable. All other ratings of SEI and its subsidiaries are unchanged.

The proceeds from this debt issuance are expected to be used for general corporate purposes, including financing business growth at SFG, Inc.’s two insurance operating subsidiaries—Midland National Life Insurance Company and North American Company for Life and Health Insurance. AM Best notes that SFG’s financial leverage will increase to approximately 17%, which is well within AM Best’s guidelines for its current rating. AM Best views SFG Inc.’s debt-servicing capabilities favorably, with sufficient liquidity to service its debt, a well-laddered debt maturity structure and strong interest coverage.

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This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.

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AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2021 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

View source version on businesswire.com:https://www.businesswire.com/news/home/20210419005915/en/

CONTACT: Michael Adams

Associate Director

+1 908 439 2200, ext. 5133

michael.adams@ambest.com

Rosemarie Mirabella

Director

+1 908 439 2200, ext. 5892

rosemarie.mirabella@ambest.com

Christopher Sharkey

Manager, Public Relations

+1 908 439 2200, ext. 5159

christopher.sharkey@ambest.com

Jim Peavy

Director, Communications

+1 908 439 2200, ext. 5644

james.peavy@ambest.com

KEYWORD: NEW JERSEY EUROPE UNITED STATES NORTH AMERICA

INDUSTRY KEYWORD: INSURANCE PROFESSIONAL SERVICES

SOURCE: AM Best

Copyright Business Wire 2021.

PUB: 04/19/2021 05:30 PM/DISC: 04/19/2021 05:31 PM

http://www.businesswire.com/news/home/20210419005915/en