Press Release
April 24, 2020 - N° 9
SCOR welcomes Fitch’s decision to confirm its
Insurer Financial Strength Rating of ‘AA-’
and outlook as stable
SCOR has been informed of Fitch’s decision to affirm the Group’s Financial Strength Rating of ‘AA-‘ (Very Strong) and Long-Term Issuer Default Rating (IDR) at 'A+'. Fitch has also affirmed the ratings of SCOR's core operating subsidiaries. The Outlooks are Stable.
According to Fitch, this decision reflects “Fitch’s current assessment of the impact of the coronavirus pandemic, including its economic impact, under a set of rating assumptions.”
Fitch assesses “SCOR’s capitalisation and leverage as very strong”, both in their “rating and stress cases and versus the last two years. Fitch does not foresee a material weakening of SCOR’s capital strength in the medium-term, assuming a normal level of catastrophe losses.”
The agency concludes that “We expect the assumed pro-forma COVID-19 related losses to be one-off and manageable for SCOR; we expect the resulting weaker profitability to recover to a normalised ROE of around 8% by end-2021.”
Denis Kessler, Chairman & Chief Executive Officer of SCOR, comments: “We welcome Fitch’s decision to affirm SCOR’s Financial Ratings. This decision, which clearly demonstrates the soundness of our strategy as a Tier 1 global reinsurer, testifies to the resilience of the Group’s business model in the current pandemic crisis.”
The Fitch press release is available on the agency’s homepage at the following address:
http://www.fitchratings.com.
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Contact details
Media
Anette Rey
+33 (0)1 58 44 82 82
arey@scor.com
Investor Relations
Ian Kelly
+44 (0)203 207 8561
ikelly@scor.com
LinkedIn: SCOR | Twitter: @SCOR_SE
Forward-looking statements
SCOR does not communicate "profit forecasts" in the sense of Article 2 of (EC) Regulation n°809/2004 of the European Commission. Thus, any forward-looking statements contained in this communication should not be held as corresponding to such profit forecasts. Information in this communication may include "forward-looking statements", including but not limited to statements that are predictions of or indicate future events, trends, plans or objectives, based on certain assumptions and include any statement which does not directly relate to a historical fact or current fact. Forward-looking statements are typically identified by words or phrases such as, without limitation, "anticipate", "assume", "believe", "continue", "estimate", "expect", "foresee", "intend", "may increase" and "may fluctuate" and similar expressions or by future or conditional verbs such as, without limitations, "will", "should", "would" and "could." Undue reliance should not be placed on such statements, because, by their nature, they are subject to known and unknown risks, uncertainties and other factors, which may cause actual results, on the one hand, to differ from any results expressed or implied by the present communication, on the other hand.
Please refer to the 2019 Universal Registration Document filed on March 13, 2020, under number D.20-0127 with the French Autorité des marchés financiers (AMF) posted on SCOR’s website www.scor.com (the “Document d’enregistrement universel”), for a description of certain important factors, risks and uncertainties that may affect the business of the SCOR Group. As a result of the extreme and unprecedented volatility and disruption of the current global financial crisis, SCOR is exposed to significant financial, capital market and other risks, including movements in interest rates, credit spreads, equity prices, and currency movements, changes in rating agency policies or practices, and the lowering or loss of financial strength or other ratings.
The Group’s financial information is prepared on the basis of IFRS and interpretations issued and approved by the European Union. This financial information does not constitute a set of financial statements for an interim period as defined by IAS 34 “Interim Financial Reporting”.
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