Flagstone Reinsurance Holdings Ltd. (FSR) and its subsidiaries have been affirmed the 'A-' Insurer Financial Strength (IFS) ratings and 'BBB+' Issuer Default Ratings (IDRs) by Fitch Ratings.

Fitch's rating action follows completion of its review of FSR's restructuring plan which the company announced on August 8, 2008. The rating outlook is stable. A complete list of ratings follows the end of the press release.

Under the restructuring plan, FSR plans to merge its two wholly-owned subsidiaries; Flagstone Reinsurance Ltd. (Flagstone Bermuda) and Flagstone Reassurance Suisse SA (Flagstone Suisse) with Flagstone Suisse being the surviving entity. Flagstone Bermuda's obligations at the time of the merger will become obligations of Flagstone Suisse.