PRESS RELEASE: S&P Downgrades Jupiter Insurance Ltd. To 'A'; On Watch Neg

17th Jun 2010 20:50

The following is a press release from Standard & Poor's: -- We are lowering the long- and short-term ratings on Jupiter Insurance Ltd.'s parent BP PLC and keeping them on CreditWatch negative, following an increase in our estimate of the parent company's short- and long-term liabilities. -- As a result, we are lowering the ratings on captive insurer Jupiter to 'A' and keeping them on CreditWatch negative. LONDON (Standard & Poor's) June 17, 2010--Standard & Poor's Ratings Services said today that it lowered its long-term counterparty credit and insurer financial strength ratings on Guernsey-based Jupiter Insurance Ltd. to 'A' from 'AA-'. The ratings remain on CreditWatch with negative implications, where they were originally placed on June 4, 2010. The downgrade and CreditWatch status follow the rating actions today on Jupiter's parent, BP PLC (A/Watch Neg/A-1). The rating actions reflect the challenges and uncertainties that BP continues to face due to the leaking Macondo well in the Gulf of Mexico (for more information, see "BP Downgraded To 'A/A-1' On Ongoing Oil Spill Challenges; Ratings Remain On CreditWatch Negative" published today on RatingsDirect). As Jupiter qualifies as a captive insurer under our rating criteria, we rate it at the same level as its parent. The ratings on Jupiter will therefore move in lock step with those on BP PLC. The CreditWatch status continues to reflect that of the rating on Jupiter's parent. BP's CreditWatch status reflects our intention to continue to fine-tune our assessment of both BP's financial and business risk profiles. RELATED CRITERIA AND RESEARCH -- BP Downgraded To 'A/A-1' On Ongoing Oil Spill Challenges; Ratings Remain On CreditWatch Negative, June 17, 2010 -- Use Of CreditWatch And Outlooks, Sept. 14, 2009 -- Holding Company Analysis, June 11, 2009 -- Interactive Ratings Methodology, April 22, 2009 -- Group Methodology, April 22, 2009 -- Hybrid Capital Handbook: September 2008 Edition, Sept. 15, 2008 Complete ratings information is available to RatingsDirect on the Global Credit Portal subscribers at www.globalcreditportal.com and RatingsDirect subscribers at www.ratingsdirect.com. All ratings affected by this rating action can be found on Standard & Poor's public Web site at www.standardandpoors.com. Use the Ratings search box located in the left column. 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(END) Dow Jones Newswires June 17, 2010 15:50 ET (19:50 GMT)