AM Best assigns an issue credit rating to the new lower ranking subordinated notes of Globe Life Inc.
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OLDWICK, NJ – (BUSINESS WIRE) –
AM Best has assigned a long-term issue credit rating of “bbb-” (good) to the newly issued $ 325 million subordinated subordinated debentures of $ 325 million, due June 15, 2061, of Globe Life Inc. (Globe Life) (head office in McKinney, TX) [NYSE: GL]. The outlook assigned to this credit rating (rating) is stable. The existing ratings of Globe Life and its insurance subsidiaries remain unchanged.
Globe Life’s leverage and interest coverage ratios remain within AM Best’s rating guidelines. The proceeds of this offering will be used to repay the outstanding $ 300 million principal amount of the lower 6.125% subordinated debentures due 2056, with the remainder to be used for general corporate purposes. Globe Life has consistently generated strong cash flow and maintained significant liquidity, which supports the company’s ability to meet the cash flow needs of the holding company.
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Source: AM Best