Promerica Financial Corporation Rated 'B+/B', Outlook Stable

Panama-based PFC's exposure to countries with high economic risk, such as Ecuador, Nicaragua, El Salvador, and others, limits the ratings on the company. This exposure is reflected in a weak capitalization level, according to our projected risk-adjusted capital (RAC) ratio, which is about 4% for the next two years. PFC's business stability, business line diversification, good market share in the region, and stable asset quality metrics support the ratings. We're assigning our 'B+' long-term and 'B' short-term issuer credit ratings to PFC. The stable outlook primarily reflects our expectation that PFC will maintain its RAC ratio around 4% for the next two years. This should result from manageable credit growth and stable asset quality metrics despite Central America's challenging economic

...+ Panama-based PFC's exposure to countries with high economic risk, such as Ecuador, Nicaragua, El Salvador, and others, limits the ratings on the company. This exposure is reflected in a weak capitalization level, according to our projected risk-adjusted capital (RAC) ratio, which is about 4% for the next two years. + PFC's business stability, business line diversification, good market share in the region, and stable asset quality metrics support the ratings. + We're assigning our 'B+' long-term and 'B' short-term issuer credit ratings to PFC. + The stable outlook primarily reflects our expectation that PFC will maintain its RAC ratio around 4% for the next two years. This should result from manageable credit growth and stable asset quality metrics despite Central America's challenging economic conditions. MEXICO CITY (S&P Global Ratings) Oct. 24, 2018--S&P Global Ratings assigned its long-term 'B+' and short-term 'B' issuer credit ratings to Promerica Financial Corporation (PFC). The...

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