Moody's assigns Ameriprise notes A3

Moody's Investors Service said it assigned an A3 (stable outlook) debt rating to Ameriprise Financial, Inc.'s roughly $600 million issuance of 10-year fixed-rate senior unsecured notes.

The notes are a drawdown from a shelf registration filed in April 2012.

Moody's said Ameriprise plans to use the net proceeds to prefund $200 million of senior debt callable in June 2014, pay down, via optional redemption, a portion of its 5.65% senior debt maturing in June 2015 and for general corporate purposes.

"Ameriprise's debt issuance is primarily for refinancing purposes and will only have a minor effect on adjusted financial leverage (in the 24% range at June 30, 2013). Any make-whole (interest) payments will also modestly increase interest expense in the current period, but we expect fixed charges to decline over time, which will improve financial flexibility," Moody's assistant vice president Shachar Gonen said in a news release.

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