A.M. Best Co. has placed the financial strength rating of A
(Excellent) of Mapfre Empresas Compania de Seguros y Reaseguros S.A.
(Mapfre Empresas) (Spain) under review with negative implications.
The rating action reflects A.M. Best's concerns about the level of
Mapfre Empresas' risk-adjusted capitalisation as a result of stronger
than anticipated premium growth. A.M. Best acknowledges that Mapfre
Mutualidad, the ultimate parent company of Mapfre Empresas, is
currently in a restructuring process (see related press release of 2
June 2006), which includes a review of internal capital requirements
for Mapfre Mutualidad's main subsidiaries.
A.M. Best will discuss with Mapfre Empresas' management the steps
it plans to take to restore capital to a level commensurate with its
current rating. A.M. Best aims to resolve the under review as soon as
possible.
For Best's Ratings, an overview of the rating process and rating
methodologies, please visit www.ambest.com/ratings.
A.M. Best Co., established in 1899, is the world's oldest and most
authoritative insurance rating and information source. For more
information, visit A.M. Best's Web site at www.ambest.com.