Markel Corp. (NYSE:MKL) Q2 2017 Earnings Conference Call - Final Transcript

Whether it's accelerating, I don't think it's accelerating. The market is sort of zero to flat in most places. Now that's a very general statement, but that is always happening. Standard markets trying to attach or go after this specialty business. So I'd say it's no worse than it's been and market conditions are relatively stable to what they've been for the last several months.

Okay great. Thanks for that. And then Anne, I was wondering if you could remind us what your target level of holding company liquidity is, especially on the heels of the two acquisitions that have been announced. And if you could sort of walk us through how you see that liquidity position moving through the remainder of the year?

Yeah. I would say that liquidity is an important concept around here and something that we are very mindful of on a regular basis. As Tom said, we plan to pay for the deal out of cash, and I would believe that by the time we get to year-end, we will, as Tom also indicated, replenish a fair portion of that.

Okay. So is sort of $1 billion number you like to operate around or something harder than that? I'm looking for the firm number on it.

I probably would not like to put a firm number on it, because firm numbers tend to always be wrong, but I would say we wouldn't expect to go below that number.

Okay. And then last question is on the rating agencies, saw A.M. Best already affirmed, S&P looks like they've downgraded. I was curious if you guys have talked to Moody's and if you have any expectations there?

We have talked to Moody's and they don't believe there will be any change in the ratings, but I don't know that they have confirmed that.

Okay.

And just to put a fun point on it, S&P downgraded the corporate debt rating but they did affirm financial strength rating on the insurance companies.

Yes I saw that. Great. That's it for me. Thank you very much.

Thank you.

And ladies and gentlemen, this will conclude our question-and-answer session. I would like to turn the conference back over to Tom Gayner for his closing remarks.

Thank you very much for joining us. We look forward to catching up with you soon. Thank you. Bye-bye.

And this concludes our conference call for today. Thank you for attending the presentation. At this time, you may disconnect your lines.