Fitch to assign PartnerRe notes A+

Fitch Ratings said it assigned an A+ rating to PartnerRe Ltd.'s $250 million 6 7/8% senior unsecured notes due June 1, 2018. PartnerRe has an AA- issuer default rating and A ratings for its preferred stock and junior subordinated notes.

The outlook is stable.

Proceeds will be used to refinance $220 million of senior debt due December and for general corporate purposes.

Ratings reflect the company's strong profitability, conservative investment strategy, reserve strength, low level of reinsurance recoverables and low reliance on retrocessional reinsurance, the agency said.

Fitch said it also believes Partner Reinsurance has modest exposure to legacy issues such as asbestos.

Ratings also consider the company's somewhat high potential earnings volatility - an exposure highlighted by significant hurricane losses in 2005, the agency noted.

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