Rating agency Standard & Poor's has clarified its position on Swiss-based insurer Allianz Risk Transfer (ART) placing it on creditwatch with negative implications.
The creditwatch placement followed the recent announcement by ART's parent, Allianz AG (Allianz; AA+/Watch Neg/A-1+), of a profit warning in relation to the operating performance of both Allianz and its related banking subsidiary Dresdner Bank AG (AA-/Watch Neg/A-1+).
The AA insurer financial strength and insurer financial enhancement ratings on ART's two subsidiaries, Allianz Risk Transfer (Bermuda) Ltd. and Allianz Risk Transfer N.V., were also placed on creditwatch with negative implications.
S&P said the creditwatch placement reflects "ART's wider strategic dependence on Allianz and recent changes to the Standard & Poor's group rating methodology, and is not a reflection of the current contribution to group profit from ART, which has continued to be positive in 2001".
