AEL's credit losses could be elevated relative to its modest capital redundancy at the 'A' level, based on our incremental asset stress test focused on vulnerable corporate asset classes. We are revising our outlook on AEL to negative from stable and affirming our ratings. The ratings affirmation reflects management's commitment to improve capitalization and our belief that the company can maintain its solid FIA position despite tough market conditions. The negative outlook indicates our expectation for credit deterioration in AEL's general account portfolio and possible challenges to replenish capital in the immediate term under current stressed market conditions. On March 26, 2020, S&P Global Ratings revised its outlook on American Equity Investment Life Insurance Co. and holding company American Equity
