A.M. Best Assigns Indicative Rating to Hartford Life's Shelf Securities

Business Wire, May 16, 2001

Business Editors

OLDWICK, N.J.--(BUSINESS WIRE)--May 16, 2001

A.M. Best Co. has assigned an indicative "a " senior debt rating, an indicative "a" subordinated debt rating and an indicative "a-" preferred securities rating to the shelf securities registered by Hartford Life, Inc. Simsbury, Connecticut, an indirect wholly owned subsidiary of Hartford Financial Services Group, Inc. The existing financial strength and debt ratings of Hartford Life, Inc. remain unchanged.

The shelf registration statement provides for the issuance of up to $1 billion in any combination of debt securities, preferred stock, depositary shares, warrants, stock purchase contracts, stock purchase units and junior subordinated deferrable interest debentures. Proceeds from any issued securities will be used for general corporate purposes. This shelf registration effectively replenishes the capacity used from the existing shelf to finance the recent Fortis transaction.

The ratings reflect the overall financial stability and operational excellence of Hartford Life and its parent company Hartford Financial Services. Also, reflected is the quality leadership and the proven ability to execute sound business fundamentals and strategic direction. The recent Fortis acquisition of retail broker/dealer, mutual fund companies and assumption of the annuity and life business will add considerable scale to the individual life business, add retail distribution as an important strategic expansion and enlarge Hartford Life's already sizeable variable annuity assets.

While the Fortis transaction increased the financial leverage of Hartford Life and Hartford Financial Services on a consolidated basis, the operating companies' ability to generate quality earnings and consistent cash flow mitigates any question of fixed charge coverage - both on an earnings or cash cover basis. Although A.M. Best believes that the vagaries of the stock market will likely cause negative pressure on the annuity business, Hartford Life is strategically well positioned to weather some adverse earnings impact. In addition, both Hartford Life and Hartford Financial Services enjoy a considerable amount of financial flexibility in the capital markets.

The following indicative debt ratings were assigned:

Hartford Life, Inc. - senior unsecured debt rating of "a "; subordinated debt rating of "a"; preferred stock rating of "a-".

Hartford Life Capital III, IV, and V - preferred securities rating of "a-".

The following debt ratings remain unchanged:

Hartford Life Inc. - "a " rating on senior debt.

Hartford Life Capital I and II - "a-" rating on preferred securities.

A.M. Best Co., established in 1899, is the world's oldest and most authoritative insurance rating and information source. For more information, visit A.M. Best's Web site at www.ambest.com.