A.M. Best Co. announced that it has affirmed the financial strength ratings (FSR) of A- (Excellent) and issuer credit ratings (ICR) of "a-" of Bermuda-based Quanta Reinsurance Ltd. (Quanta Re) and its subsidiaries. Best said all the ratings have been removed from under review and assigned a negative outlook.

In a separate bulletin Best said it has affirmed the financial strength rating of "A-" (Excellent) and issuer credit rating (ICR) of "a-" of Quanta Europe Ltd., which is based in Dublin, Ireland, and removed the ratings from under review. Best noted that Quanta Europe's prospective capitalization is strongly dependent on an explicit 65 percent quota share agreement from Quanta Re, while the company's ratings benefit from "explicit and unlimited parental support."

Concurrently, Best assigned an ICR of "bbb-" to Quanta Re's parent, Quanta Capital Holdings Ltd. and a securities rating of "bb" to the $75 million 10.25 percent Series A non-cumulative perpetual preferred shares Quanta issued yesterday. These ratings also have been assigned a negative outlook.