Citing improved capitalisation and focused execution of its business plan, among other factors, Standard & Poor's yesterday assigned Bermuda-based Annuity and Life Reassurance Ltd. higher counterparty credit and financial strength ratings.

Annuity and Life Re and Annuity & Life Re America both improved from single-'A'-minus to single-'A', with a stable outlook. The companies were also removed from credit watch, on which they were placed on August 3.

"The ratings on Annuity and Life Re reflect its very strong capital position, strong market acceptance, focused execution of its business plan, conservative investment portfolio, very strong operating results and lean, high-quality management team," a press release stated.

The release said that Annuity & Life Re America's ratings were improved because the business is core to Annuity and Life Re's strategy because it is primarily involved in the same business, life reinsurance, with some overlap in customer base.