We view that Genworth Australia's constrained business diversity and challenging market conditions make it increasingly susceptible to competitive pressures, as reflected in a decline in revenue and earnings over recent years. We are lowering our ratings on Genworth Australia to 'A', following the application of our new Insurers Rating Methodology and in assessing the risks associated with its concentrated product offering. We are also revising the rating on Genworth Australia's subordinated debt to 'BBB+'. The ratings on Genworth Australia will continue to be driven by its stand-alone credit profile as we assess it as delinked from its major shareholder, GFI, under our revised Group Rating Methodology. The stable outlook reflects our expectation that Genworth Australia's competitive position and earnings will
