A.M. Best Assigns Debt Rating to CIGNA Corporation

Business Wire, Nov 8, 2006

OLDWICK, N.J. -- A.M. Best Co. has assigned debt ratings of "bbb-" to the $250 million senior unsecured debt issued by CIGNA Corporation (CIGNA) (Philadelphia, PA) [NYSE: CI]. The outlook for this rating is positive. CIGNA's and its subsidiaries' financial strength, issuer credit and remaining debt ratings are unchanged.

The senior note was issued from CIGNA's existing universal shelf registration filed August 17, 2006. The note is being issued in one single tranche due November 15, 2036 at a rate of 6.150%. Proceeds from the offering are expected to be used for general corporate purposes, including working capital, repayment of indebtedness and repurchases of common stock.

As a result of this offering, CIGNA's financial leverage is expected to increase from its current level of 26% to a projected level of 29%. CIGNA's GAAP interest coverage ratio, which is currently 19 times, is projected to remain strong in the near term. CIGNA's financial flexibility is supported by its $1.75 billion credit facility, strong investment portfolio and dividend capacity from its subsidiaries.

CIGNA's health care membership continues to be stable, with some projected growth during the second half of 2006. CIGNA's health care product portfolio is diverse with a larger percentage of low risk business than its peers. Health care earnings are stable but are complemented by favorable returns from the specialty health services, disability and life and international businesses.

For Best's Debt Ratings, all other Best's Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings.> 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.