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16th of May 2012

Kroger’s captive rated

Matthew Broomfield 16/01/2012

The US retailer has had its Vermont-based captive rated. Vine Court Assurance Incorporated was assigned a financial strength rating of A (excellent) and issuer credit rating of “a” by AM Best.  The outlook assigned to both ratings is stable.
 
The captive exhibits strong risk-adjusted capitalisation, “positive overall net income, a growing capital base, conservative investment results and a strong adherence to Kroger’s risk controls and the overall risk culture of Kroger,” said AM Best.
 
Key rating triggers that could result in a downgrading of Vine Court’s ratings include a precipitous decline in risk-adjusted capital strength, said the rating agency.
 
Key rating triggers that could result in an upgrading of Vine Court’s ratings include consistent profitable operating performance coupled with a substantial increase in risk-adjusted capitalisation, said Best.

Tags: AM Best, Captive ratings, Kroger

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