Fitch Lowers Rating on Lumbermen's Debt

Rating agency Fitch has assigned a `BBB- ' rating to the outstanding surplus notes of Lumbermens Mutual Casualty Co. (Lumbermens), the lead insurer of the Kemper Insurance Companies (KIC) group. The insurer financial strength ratings of KIC remain at `A-'. All ratings are on Rating Watch Negative. The ratings are based on KIC's strong brand name in targeted markets and its focus on underwriting discipline. Further, Fitch favorably views recent management initiatives to focus on core business lines, as reflected by the 1998 divestiture of Kemper Re as well as the decision to abandon business ...