Tag Archives: PFI

PA Attorney General Refuses To Defend Marriage Law

By Breaking News

Marriage SC1 PA Attorney General Refuses to Defend Marriage Law

Editor’s note: Last week, the ACLU filed a federal lawsuit to overturn Pennsylvania’s marriage law. In response, in a stunning move, Pennsylvania’s attorney general refused to defend the law. The Center for Vision & Values contacted Pennsylvania Family Institute President Michael Geer for a battlefront view.

V&V: You had a busy week last week on the legal front. What happened?

Geer: The week began with a phone call from a major national newspaper reporter, from whom I learned that the ACLU was about to file a federal lawsuit seeking to overturn Pennsylvania’s marriage law, and redefine this ageless institution. The week ended with Pennsylvania’s attorney general announcing that she would refuse to fulfill the obligation of her office and defend our state law in court. In between were numerous national, state, and local media interviews, followed by time spent at the capitol organizing a response and crafting legal and cultural strategies to protect and strengthen marriage.

V&V: You’ve been running PFI in Harrisburg for more than 20 years now. Are you surprised by the AG’s refusal to defend Pennsylvania’s marriage law? Do you recall anything similar happening?

Geer: There really is no precedent that matches the blatantly political move by Attorney General [Kathleen] Kane. Even the lead counsel in the ACLU’s lawsuit against our marriage law called her decision “an earthquake moment.” In a television interview during last year’s primary campaign for attorney general, then-candidate Kane stated, “The attorney general does not have the right to pick and choose which laws he or she enforces.” She said doing so injects politics into the job and, “That’s a dangerous proposition.” Even so, I was not surprised at Kane’s action – she is following precedents set by AG’s and other top elected officials in California, Illinois, and elsewhere, and by those in the U.S. Department of Justice on this issue. It really is a dangerous proposition, one that’s very damaging to our political system and the rule of law. I hoped for better from Kathleen Kane, but was not surprised when she did not deliver on her promise

V&V: Is this issue pertinent to people in other states around the nation?

Geer: It is in many ways – most notably because ultimately the ACLU is seeking to not only overturn marriage laws in Pennsylvania, but to impose a redefinition of marriage on the entire country. Such a Roe v.Wade-type sweeping decision would certainly not end the debate on the issue, but would usher in significant restrictions on religious liberty and free speech, not to mention the impact on marriage itself and the well-being of children.

V&V: Is the ACLU filing similar suits in other states. If so, why? Do you detect a political agenda beyond the legal implications of these cases?

Geer: Yes and yes. In addition to the lawsuit in Pennsylvania, the ACLU announced that it was also planning to file constitutional challenges in Virginia and North Carolina. Quite clearly, they are hoping to bring one or all of these cases to the U.S. Supreme Court to have “same-sex …read more

Source: FULL ARTICLE at Western Journalism

A.M. Best Assigns Debt Rating to Prudential Financial, Inc.'s Junior Subordinated Notes

By Business Wirevia The Motley Fool

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A.M. Best Assigns Debt Rating to Prudential Financial, Inc.’s Junior Subordinated Notes

OLDWICK, N.J.–(BUSINESS WIRE)– A.M. Best Co. has assigned a debt rating of “bbb” to the recently issued $500 million 5.20% fixed-to-floating rate junior subordinated notes due 2044 of Prudential Financial, Inc. (PFI) (Newark, NJ) (NYS: PRU) . The assigned outlook is stable. The debt is a drawdown off of an existing shelf registration filed in March 2012. The financial strength, issuer credit and existing debt ratings of PFI and its domestic life/health insurance companies are unchanged.

The assigned rating reflects the notes’ deeply subordinated status within PFI‘s capital structure. Specifically, these securities will rank junior to PFI‘s existing and future senior indebtedness and pari passu with its existing junior subordinated notes.

A.M. Best notes that the newly issued hybrids contain terms similar to the company’s previous junior subordinated issuances. Similarly, PFI may redeem the notes on or after March 15, 2024 or at any time within 90 days after the occurrence of a “tax event,” “a rating agency event” or a “regulatory capital event.” The net proceeds of the hybrid offering are expected to be used primarily for general corporate purposes including the redemption of PFI‘s 9% junior subordinated notes due in 2068.

The rating recognizes PFI‘s very strong liquidity profile, as well as the strong operating performance of its various business segments. The company has repeatedly demonstrated its access to the capital markets and in the past month (inclusive of this offering) has issued $1.2 billion of junior subordinated notes. However, A.M. Best believes that PFI, although consistent with its scale and business mix, continues to utilize significant amounts of total leverage on a consolidated basis. Nevertheless, when incorporating partial equity credit for the new notes, PFI‘s financial leverage remains within A.M. Best’s guidelines for the company’s current ratings.

Although interest coverage is currently below A.M. Best’s guidelines given the company’s reported GAAP results for year-end 2012, PFI currently maintains sufficient liquidity throughout the organization to meet its obligations. A.M. Best anticipates higher earnings and coverage ratios going forward. In addition, the recent issuances have improved the company’s debt maturity profile and will eventually lower overall fixed charges.

The methodology used in determining these ratings is Best’s Credit Rating Methodology, which provides a comprehensive explanation of A.M. Best’s rating process and contains the different rating criteria employed in the rating process. Best’s Credit Rating Methodology can be found at www.ambest.com/ratings/methodology.

…read more
Source: FULL ARTICLE at DailyFinance

A.M. Best Assigns Debt Rating to Prudential Financial, Inc.'s New Junior Subordinated Notes

By Business Wirevia The Motley Fool

Filed under:

A.M. Best Assigns Debt Rating to Prudential Financial, Inc.’s New Junior Subordinated Notes

OLDWICK, N.J.–(BUSINESS WIRE)– A.M. Best Co. has assigned a debt rating of “bbb” to the recently issued $650 million 5.70% fixed rate junior subordinated notes maturing March 15, 2053 of Prudential Financial, Inc. (PFI) (Newark, NJ) [NYSE: PRU]. In addition, A.M. Best notes that the issuance has an additional $97.5 million over-allotment option. The assigned outlook is stable. The financial strength, issuer credit and existing debt ratings of PFI and its domestic life/health insurance companies are unchanged.

The assigned rating reflects the notes’ deeply subordinated status within PFI‘s capital structure. Specifically, these securities will rank junior to PFI‘s existing and future senior indebtedness and pari passu with PFI‘s existing junior subordinated notes.

A.M. Best notes that the newly issued junior subordinated notes contain terms similar to the company’s previous junior subordinated issuances in 2012. (See A.M. Best’s press release dated November 28, 2012 for further information.) Similarly, these notes will allow PFI to redeem the new notes on or after March 15, 2018 or at any time within 90 days after the occurrence of a “tax event,” “a rating agency event” or a “regulatory capital event.” The net proceeds of the hybrid offering are expected to be used primarily for general corporate purposes including the redemption of callable debt in June 2013.

The rating recognizes PFI‘s very strong liquidity profile, as well as the strong operating performance of its various business segments. PFI has repeatedly demonstrated its access to the capital markets, particularly over the past two years. However, A.M. Best notes that PFI, although consistent with its scale and business mix, continues to utilize significant amounts of total leverage on a consolidated basis. Nevertheless, when incorporating partial equity credit for the new notes, financial leverage remains within A.M. Best’s guidelines for the company’s current rating level. Although interest expense coverage is currently below A.M. Best’s guidelines given the company’s reported GAAP results for year-end 2012, Prudential currently maintains sufficient liquidity throughout the organization to enable it to meet its obligations, and A.M. Best anticipates higher earnings and coverage ratios going forward.

The methodology used in determining these ratings is Best’s Credit Rating Methodology, which provides a comprehensive explanation of A.M. Best’s rating process and contains the different rating criteria employed in the rating process. Best’s Credit Rating Methodology can be found at www.ambest.com/ratings/methodology.

Founded in 1899, A.M. Best Company is the world’s oldest and most authoritative insurance rating …read more
Source: FULL ARTICLE at DailyFinance