May 28 -
Summary analysis -- Hitachi Capital Insurance Corp. --------------- 28-May-2012
CREDIT RATING: None. Please see issue list. Country: Japan
Primary SIC: Fire, marine, and
Financial Strength Rating History:
The rating on Hitachi Capital Insurance Corp. (Hitachi Capital Insurance; A-/Stable/--) reflects explicit support from its parent company Hitachi Capital Corp. (Hitachi Capital; A-/Stable/A-2) in the form of guarantees on claim payments. Standard & Poor’s Ratings Services believes that Hitachi Capital Insurance is a strategically important subsidiary of Hitachi Capital Corp. The parent company says it aims to establish a new revenue base by developing “function-oriented businesses.” Hitachi Capital Corp. is shifting from generating sales through creating products to businesses that provide various functions, including credit insurance. Therefore, we believe the importance of its credit insurance business is growing. The parent company positions credit insurance as one of the new businesses that will allow Hitachi Capital Insurance to utilize its technological know-how and expertise in the leasing and credit businesses to expand in the area.