On Oct. 19, 2004, Standard&Poor's Ratings Services affirmed all ratings on the core operating entities of Switzerland-based composite insurance group Zurich Financial Services (collectively ZFS), including its 'A+/A-1' counterparty credit and insurer financial strength ratings on Zurich Insurance Co. At the same time, Standard&Poor's affirmed its 'A-' long-term counterparty credit rating on the group holding company, Zurich Group Holding. The outlook is stable. The ratings reflect ZFS' very strong competitive position, continued recovery in underlying earnings, and strong management. Restraining factors are the possibility of further reserve additions and the execution risk involved in the restructuring of ZFS' life insurance business. Major rating factors: Very strong competitive position. In general insurance, ZFS benefits from market-shaping positions
