Lincoln National Corp.'s Proposed Senior Notes Rated 'A-'

NEW YORK (S&P Global Ratings) May 8, 2020--S&P Global Ratings today said it assigned its 'A-' debt rating to Lincoln National Corp.'s (A-/Stable/A-2) proposed issuance of up to $800 million of fixed-rate senior notes. The company intends to use the net proceeds of the offering to redeem its outstanding senior notes due 2021, repay its outstanding $500 million term loan, and for general corporate purposes. Lincoln National Corp. is the nonoperating holding company of Lincoln Financial Group (LFG). After the issuance, we expect LFG's financial leverage and fixed-charge coverage to remain supportive of the ratings. We expect fixed-charge coverage will be above 4x in the longer term but could temporarily dip below 4x if the COVID-19 pandemic and resultant macroeconomic

...May 8, 2020 NEW YORK (S&P Global Ratings) May 8, 2020--S&P Global Ratings today said it assigned its 'A-' debt rating to Lincoln National Corp.'s (A-/Stable/A-2) proposed issuance of up to $800 million of fixed-rate senior notes. The company intends to use the net proceeds of the offering to redeem its outstanding senior notes due 2021, repay its outstanding $500 million term loan, and for general corporate purposes. Lincoln National Corp. is the nonoperating holding company of Lincoln Financial Group (LFG). After the issuance, we expect LFG's financial leverage and fixed-charge coverage to remain supportive of the ratings. We expect fixed-charge coverage will be above 4x in the longer term but could temporarily dip below 4x if the COVID-19 pandemic and resultant macroeconomic stress severely affect 2020 earnings. We estimate financial leverage will remain below 30%....

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