...NEW YORK (S&P Global Ratings) May 3, 2017--S&P Global Ratings said today that it has assigned its '##-' debt rating to the proposed fixed-rate surplus notes to be issued by Teachers Insurance & Annuity Assn. of America (TIAA). We do not expect this issuance to have an impact on our ratings on TIAA. Our ratings on these surplus notes are two notches lower than our financial strength rating on TIAA because they are subordinated to policyholder obligations and payments may be extended due to regulatory restrictions. Additionally, we will provide intermediate equity credit to these surplus notes, as well as TIAA's outstanding surplus notes, subject to a limit of 15% of total adjusted capital (TAC) and as long as they have at least 20 years until maturity. These new surplus notes will be issued in accordance with Section 1307 of the New York Insurance Law, will rank pari passu with TIAA's existing surplus notes ($4 billion currently outstanding), and will be subordinated to policyholder obligations....
