KUALA LUMPUR:  Standard & Poor's (S&P's) has affirmed its triple 'A' insurer financial strength ratings on American International Assurance Company, Limited (AIA) and American International Assurance Company (Bermuda) Limited (AIAB).

A statement from AIAB yesterday quoted S&P's as saying that the rating reflected a guarantee for policyholder obligations from the company's ultimate parent, American International Group, Inc (AIG, senior debt rated triple 'A').

It also showed the company's unparalled business profile in Southeast Asia and its financial strength, the statement said.

It added that Standard & Poor's expects AIA's business profile, operating performance, and financial profile to remain strong.

Factors partially expected to offset the strengths are the business and investment risks associated with the countries in which AIA operates.

AIA(B)'s 'AAA' rating was affirmed based on a guarantee from a related US company, National Union Fire Insurance Co of Pittsburgh (triple 'A' financial strength).

Edmund Tse, AIG's senior vice-chairman and AIA chairman and chief executive officer said the ratings were proof of the companies' "solid strength."


Extracted from The Sun - December 21, 2001