Ratings Recap: Nelson Re/Glacier Re

Standard & Poor’s Ratings Services has assigned its “B” senior secured debt rating to the $75 million class A, series 2007-I principal-at-risk variable-rate notes issued under the newly established shelf program, Nelson Re Ltd., sponsored by Glacier Reinsurance AG (Glacier Re). A.M. Best Co. assigned a debt rating of “b-” to the notes, indicating that Nelson Re is a “newly created Cayman Islands exempted company licensed as a restricted Class B insurer.” Both rating agencies said that this is the first of a series of notes to be issued under a $1.5 billion shelf program. The rating outlook is stable. The side car provides retrocession protection against high severity losses incurred from U.S. earthquakes or hurricanes, and windstorms in the United Kingdom, France, Belgium, The Netherlands, Germany, Denmark, Ireland, Sweden, Norway, Austria, Luxembourg, and Switzerland.