S&P Rates Aspen Holdings ‘BBB’

August 10, 2004

Standard & Poor’s Ratings Services announced that it has assigned its ‘BBB’ counterparty credit rating to Bermuda-based Aspen Insurance Holdings Ltd. with a stable outlook.

“The rating on Aspen reflects its position as the holding company of the Aspen group, the principal operating subsidiaries of which are U.K.-based Aspen Insurance U.K. Ltd. (A/Stable/–) and Bermuda-based Aspen Insurance Ltd. (A/Stable/–),” the announcement said.

“The rating also reflects key features of the group’s operating profile, such as its strong competitive position, strong operating performance, and very strong capitalization,” indicated S&P credit analyst Marcus Rivaldi. “These factors are partially offset by risk inherent in the group’s growth strategy and the potential volatility of the business classes it focuses on.”

S&P also noted that the “rating considers the structural subordination of creditors to policyholders of the Aspen group’s operating entities and the regulatory limitations–particularly in the U.K.–on the group’s ability to upstream capital to the holding company to service principal and interest.”

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