S&P Affirms SCOR Global ‘A-‘ Ratings

June 5, 2006

Standard & Poor’s Ratings Services has affirmed its “A-” long-term insurer financial strength rating on Paris-based non-life reinsurer SCOR Global P&C S.A. following the completion of its legal incorporation with a stable outlook.

S&P explained that SCOR Global P&C is a wholly owned subsidiary of SCOR S.A. (also rated ‘A-‘ /Stable outlook). “The rating on SCOR Global P&C is underpinned by a parental guarantee, and is consequently driven by the ratings on SCOR,” stated S&P credit analyst Peter Grant.

S&P said: “The ratings on SCOR reflect its strong competitive position, appropriate corporate strategy, strong prospective capital adequacy, and strong financial flexibility. These positive factors are partially offset by the low barriers to entry that characterize the non-life reinsurance industry, dampened life and accident embedded value growth, and less strong quality of capital.

“The stable outlook reflects Standard & Poor’s expectation that SCOR will be able to achieve and maintain significant improvements in the level of its operating performance within the non-life segment, underpinned by proactive cycle management,” Grant added. “Consequently, capital adequacy is expected to move comfortably into the ‘A’ (strong) range, offsetting concerns surrounding the quality of the group’s capital.”

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