Research Update: PICC Reinsurance Co. Ltd. Assigned 'A-' Ratings; Outlook Stable

We believe PICC Re plays a very important role in PICC Group's internationalization and risk management strategy. The reinsurer is integrated with the parent group and benefits from business referrals from group affiliates. We therefore assess the China-based reinsurer as a highly strategic subsidiary of PICC Group. We also anticipate that PICC Re will benefit from the very high likelihood of extraordinary government support to PICC Group. We assigned our 'A-' local currency long-term issuer credit and financial strength ratings to PICC Re. The stable outlook on PICC Re reflects our expectation that the reinsurer will maintain its importance to PICC Group over the next two years. We also expect PICC Group to sustain its very strong competitive position with

...- We believe PICC Re plays a very important role in PICC Group's internationalization and risk management strategy. The reinsurer is integrated with the parent group and benefits from business referrals from group affiliates. - We therefore assess the China-based reinsurer as a highly strategic subsidiary of PICC Group. We also anticipate that PICC Re will benefit from the very high likelihood of extraordinary government support to PICC Group. - We assigned our 'A-' local currency long-term issuer credit and financial strength ratings to PICC Re. - The stable outlook on PICC Re reflects our expectation that the reinsurer will maintain its importance to PICC Group over the next two years. We also expect PICC Group to sustain its very strong competitive position with modest capitalization over the period....

Research Update