A.M. Best Assigns Rating to Axis Capital Holdings Limited Senior Notes

A.M. Best Co. has assigned a debt rating of "bbb+" to the recently issued $500 million 5.875% senior unsecured notes due 2020 of Axis Specialty Finance LLC (Wilmington, DE). The senior notes are unconditionally and irrevocably guaranteed by Axis Capital Holdings Limited (Axis) (Bermuda) [NYSE: AXS]. The assigned outlook is stable.

The proceeds from the debt offering will be used for general corporate purposes, which may include the repurchase of common shares. The debt-to-adjusted capital ratio and fixed charge coverage remain comfortably within the range that is commensurate with the assigned rating for Axis.

Axis is a diversified specialty insurance and reinsurance company with operating subsidiaries in Bermuda, Europe and the United States. As of December 31, 2009, reported GAAP shareholders' equity was slightly over $5.5 billion.

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The principal methodologies used in determining these ratings, including any additional methodologies and factors that may have been considered, can be found at www.ambest.com/ratings/methodology. Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.