Standard & Poor's has placed its long-term ratings, including its AA-plus counterparty credit ratings, on insurance group, Allianz AG (Allianz) on creditwatch with negative implications.
S&P said the creditwatch placement follows Allianz's profit warning.
"Over the coming weeks, Standard & Poor's will review in detail the prospects for the combined Allianz group," said Wolfgang Rief, a director at Standard & Poor's insurance group in Frankfurt. "Standard & Poor's review will focus primarily on the restructuring plans for its banking operations, the capital strength and financial flexibility of the Allianz group, as well as the business outlook for Allianz's insurance operations in its key markets."
On resolution of the creditwatch action, S&P does not expect that the ratings on Allianz will fall by more than one or two notches below its current rating.
