Moody’s upgrades Alleghany’s outlook

Rating agency Moody's has revised the outlook of Alleghany’s issuer rating to positive, from stable, to reflect the anticipated reduced structural subordination of Alleghany’s debt relative to that of subsidiary Transatlantic Holdings.

Alan Murray, lead analyst at Moody's for Alleghany, said: "The present refinancing, and the expected redemption of the remainder of TRH's 2015 senior notes in December of next year is expected to result in approximately 75 percent or more of consolidated debt for the group residing at Alleghany.

“Together with the liquidity available to the ultimate holding company both from internal liquidity resources, as well as the dividend capacity of RSUI and its property and casualty affiliates, we expect that a continuation of this debt capital management process could lead to a harmonisation of Alleghany's senior debt rating with that of TRH's."