Under our revised group methodology criteria, we are lowering our counterparty credit rating on BRK to 'AA' from 'AA+'. At the same time, we are affirming our 'AA+' counterparty credit and financial strength ratings on BRK's core operating insurance companies. The ratings reflect our view of the group's excellent business risk profile and very strong financial risk profile based on an extremely strong competitive position and very strong capital and earnings. The negative outlook reflects the U.S. sovereign ratings cap and our view that the group's capital adequacy per our capital adequacy model could deteriorate relative to its risk profile. On May 16, 2013, Standard&Poor's Ratings Services lowered its counterparty credit rating on Berkshire Hathaway Inc. (NYSE:BRK; AA/Negative/A-1+)
