Fitch Places MONY Life Rating on Negative Watch Pending Sale
NEW YORK -- April 11, 2013
Fitch Ratings has placed the 'AA-' Insurer Financial Strength (IFS) rating of
MONY Life Ins. Co. (MONY Life) on Rating Watch Negative following the
announcement of its planned sale to Protective Life Corp. (Protective Life).
This rating action has no impact on the ratings of MONY Life's current parent,
AXA Financial, Inc. (AXA Financial) or its other rated subsidiaries. See a
complete list of ratings below.
Key Rating Drivers:
The Rating Watch Negative reflects the planned sale to a lower rated entity.
Protective Life's IFS rating is 'A'. The 'AA-' IFS rating of MONY Life is
based on the strength and support of AXA Financial and is consistent with the
group's core insurance subsidiaries. Per Fitch's rating criteria, if a group
announces that it has reached agreement to sell a previously supported entity
and the buyer is identified, Fitch will likely place the entity's rating on
Rating Watch until the sale is complete.
Fitch expects to lower the IFS rating of MONY Life to Protective Life's 'A'
level when the transaction closes. If the acquisition does not close
reasonably on schedule or otherwise runs into problems, Fitch would likely
move MONY Life to either a stand-alone rating or a stand-alone rating with
some uplift from AXA Financial's ownership, consistent with Fitch's criteria.
Fitch expects to review all of AXA Financial's ratings in conjunction with a
review of AXA SA in the near future.
Fitch places the following rating on Rating Watch Negative:
MONY Life Insurance Co.
--IFS at 'AA-'.
The following ratings are unaffected by this rating action. The Outlook for
all ratings is Negative:
AXA Financial, Inc.
--Long-term IDR 'A';
--Senior unsecured debt 'A-'
--Commercial paper 'F1'.
AXA Equitable Life Insurance Company
--Long-term IFS rating 'AA-';
--Long-term IDR 'A+';
--Surplus notes 'A'.
AXA Equitable Life and Annuity Company
MONY Life Insurance Company of America
US Financial Life Insurance Company
--Long-term IFS rating 'AA-'
Additional information is available at 'www.fitchratings.com'. The ratings
above were solicited by, or on behalf of, the issuer, and therefore, Fitch has
been compensated for the provision of the ratings.
Applicable Criteria and Related Research:
--'Insurance Rating Methodology', Jan. 11, 2013.
Applicable Criteria and Related Research
Insurance Rating Methodology - Amended
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Cynthia J. Crosson, +1-212-908-0863
Fitch Ratings, Inc.
One State Street Plaza
New York, New York 10004
R. Andrew Davidson, CFA, +1-312-368-3144
Julie A. Burke, CPA, CFA, +1-312-368-3158
Stefano Bravi, Milan, +39 02 879 087 1
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