On Dec. 20, 2005, Standard&Poor's Ratings Services assigned its preliminary 'BBB-' senior debt, 'BB+' subordinated debt, and 'BB' preferred stock ratings to Argonaut Group Inc.'s (NASDAQ:AGII) recently filed universal shelf. The new shelf has an undesignated notional amount in accordance with the new SEC rules effective Dec. 1, 2005. At the same time, Standard&Poor's affirmed its 'BBB-' counterparty credit rating on Argonaut. The outlook remains stable. The ratings on Argonaut reflect the company's diversified business mix, successful execution of its strategy, improved earnings, strong and improved capitalization, conservative financial leverage, and strong fixed-charge coverage. Partially offsetting these positive factors are the drag on the expense ratio and increased underwriting leverage because of renewal rights acquisitions; underwriting
