The rating on Sompo Japan Insurance Co. (Asia) Pte. Ltd. (Sompo Japan Asia) reflects its strategic importance to its parent company, Sompo Japan Insurance Inc. (Sompo Japan; AA-/Stable/--). In addition, Sompo Japan Asia benefits from explicit strong support in the form of a net worth maintenance agreement that is enforceable by policyholders. The parent company has influence over important business aspects such as planning, investment philosophy, reinsurance, claims, information technology, and staff. On March 23, 2004, Standard&Poor's Ratings Services revised the outlook on Sompo Japan to stable from negative, following the revision of the outlook on Japan's 'AA-' sovereign credit ratings to stable from negative. At the same time, Standard&Poor's revised the outlooks on Sompo Japan's
