FRANKFURT (Standard&Poor's) Sept. 26, 2006--Standard&Poor's Ratings Services said today it affirmed its 'BBB' long-term subordinated debt rating on the €250 million 20-year, noncallable for 10 years (20NC10) unsecured subordinated fixed-to-floating-rate bonds issued by Germany-based non-life insurer, Gothaer Allgemeine Versicherung AG (GA; A-/Stable/--), following receipt of final documentation. "The two-notch differential between the counterparty credit rating on GA and the subordinated debt rating assigned to the notes reflects their subordinated nature and the interest deferral features," said Standard&Poor's credit analyst Ralf Bender. The notes qualify as Category 2 ("strong") capital under Standard&Poor's recently announced classification of hybrid securities, reflecting their long-term nature, subordination, and the ability of GA to defer interest without causing
