Fitch ups UnitedHealth notes

Fitch Ratings said it upgraded UnitedHealth Group Inc.'s senior unsecured notes to A from A- and affirmed the company's long-term issuer default rating at A. The outlook is stable.

“The upgrade of UNH's senior unsecured debt recognizes the magnitude of unregulated cash flows from UNH's Optum operating segments and specifically reflects a change in recovery assumptions from those used by Fitch for insurance holding companies to those used for non-insurance corporate entities. Fitch expects that the majority of UNH's cash flows will be non-regulated going forward,” said Fitch in a press release.

The new recovery assumption for the company's unsecured senior debt is RR4 (average), up from RR5 (below average).

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.