Fitch affirms Marsh & McLennan

Fitch Ratings said it affirmed Marsh & McLennan Cos., Inc.'s issuer default rating at BBB, its short-term issuer default rating and commercial paper at F2 and the following notes at BBB: $550 million 5.15% notes due 2010, $260 million 6.25% notes due 2012, $250 million 4.85% notes due 2013, $650 million 5.375% notes due 2014, $750 million 5.75% notes due 2015, $400 million 9.25% notes due 2019 and $300 million 5.875% notes due 2033.

The outlook is stable.

The agency said Marsh & McLennan's financial flexibility and net debt have improved significantly over the past several years and that this flexibility remains a key factor supporting its existing ratings given the deterioration in the company's debt-to-EBITDA and operating earnings-based interest coverage ratios during 2008.

Fitch said it recognizes that Marsh & McLennan's earnings have recently been pressured by restructuring expenses, a softening insurance pricing cycle and the global economic downturn and expects these metrics to improve in 2009 as restructuring charges diminish and the resulting expense savings fall to the bottom line.

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