St. Paul (NYSE:STA)
Historical Stock Chart
From Jul 2019 to Jul 2024
A.M. Best Co. has placed the financial strength ratings (FSR) of
A (Excellent) and the issuer credit ratings (ICR) of “a”
of Mendota Insurance Company (Mendota) and its wholly owned
subsidiary, Mendakota Insurance Company (Mendakota), under review
with negative implications. Both companies are domiciled in St. Paul,
MN, and currently participate in the TNC Insurance Group seven
member, inter-company pool, a sub-group of The St. Paul
Travelers Companies, Inc. (St. Paul Travelers) (St. Paul, MN) [NYSE:STA].
These rating actions are a result of St. Paul Travelers having reached a
definitive agreement to sell its dedicated non-standard automobile
subsidiaries, Mendota and Mendakota, to Kingsway Financial Services
Inc. (Kingsway) (Mississauga, Ontario) [TSX/NYSE:KFS].
The placing of the ratings under review primarily reflects that upon the
completion of the sale of these companies, they will no longer be part
of the TNC Insurance Group pool and St. Paul Travelers, and will be
evaluated based upon their strategic positioning within Kingsway. The
FSRs of A (Excellent) and the ICRs of “a”
of TNC Insurance Group are unchanged by this planned transaction.
The ratings of Mendota and Mendakota will remain under review pending
regulatory approval and completion of the transaction, which is expected
in second quarter 2007.
For Best’s Ratings, an overview of the rating
process and rating methodologies, please visit www.ambest.com/ratings.
Founded in 1899, A.M. Best Company is a full-service credit rating
organization dedicated to serving the financial services industries,
including the banking and insurance sectors. For more information, visit www.ambest.com.