New York Life to Sell Surety Bond Operation in Mexico to Global Insurer Ace Group
America’s Largest Mutual Life Insurer to Concentrate on Leading U.S. and Mexican Life Insurance Businesses
Seguros Monterrey New York Life is Mexico’s Second Largest Life Insurer and a Key Part of New York Life’s Strategic Direction Going Forward
NEW YORK, N.Y., September 12, 2012 – New York Life Insurance Company announced today that it has signed a definitive agreement with ACE Group (NYSE: ACE) to sell its wholly-owned surety bond business in Mexico, Fianzas Monterrey, for $285 million in cash. The transaction is subject to customary closing conditions, including regulatory approval, and is expected to close by early next year.
Ted Mathas, chairman and CEO, said, “While Fianzas Monterrey is an extremely well run and profitable business it is non-core for New York Life and outside of our primary focus on the life insurance and investments businesses. In terms of life insurance, our focus is now exclusively on the United States where we have the leading market share, and on Seguros Monterrey New York Life, our wholly-owned Mexican subsidiary and the second-largest life insurer in Mexico*. Additionally, ACE is a well established global insurer.”
New York Life acquired Fianzas Monterrey in 2000 when it purchased Seguros Monterrey from Aetna Inc. and Grupo Financiero Bancomer S.A.
About New York Life
New York Life Insurance Company, a Fortune 100 company founded in 1845, is the largest mutual life insurance company in the United States* and one of the largest life insurers in the world. New York Life has the highest possible financial strength ratings currently awarded to any life insurer from all four of the major credit rating agencies: A.M. Best (A++), Fitch (AAA), Moody’s Investors Service (Aaa), Standard & Poor’s (AA+).** Headquartered in New York City, New York Life's family of companies offers life insurance, retirement income, investments and long-term care insurance. New York Life Investments*** provides institutional asset management and retirement plan services. Other New York Life affiliates provide an array of securities products and services, as well as retail mutual funds. Please visit New York Life's Web site at www.newyorklife.com for more information.
*Ranking based on sales of individual life: AMIS (Mexican Association of Insurance Institutions.
**Based on revenue as reported by “Fortune 500, Ranked within Industries, Insurance: Life, Health (Mutual),” Fortune magazine, May 21, 2011. See http://money.cnn.com/magazines/fortune/fortune500/2011/faq/ for methodology.
***Source: Third Party Ratings Reports as of 6/22/12.
****New York Life Investments is a service mark used by New York Life Investment Management Holdings LLC and its subsidiary, New York Life Investment Management LLC.