NEW YORK (Standard&Poor's) Feb. 12, 2003--Standard&Poor's Ratings Services said today that it lowered its counterparty credit rating on Fairfax Financial Holdings Ltd. (Fairfax) to 'BB' from 'BB+' because of concerns about Fairfax's ability to maintain adequate liquidity at the holding company. Standard&Poor's also said that it lowered its counterparty credit rating on TIG Holdings Inc., which is Fairfax's subsidiary, to 'BB-' from 'BB'. The outlook on both of these companies is negative. These rating actions follow Fairfax's earnings announcement for the fourth quarter of 2002. The results for the quarter were mixed: underwriting results (excluding runoff operations) improved significantly, but there is the potential for liquidity strain in 2003. Historically, the counterparty credit and
