July 16 - Standard & Poor's Ratings Services said today that it assigned its 'BB+(sf)' preliminary rating to the Series 2012-II Class A notes to be issued by Embarcadero Re Ltd. The notes cover losses in the covered area on an annual aggregate basis. The attachment and exhaustion points for the first loss occurrence period are $6.233 billion and $6.533 billion, respectively. The rating is based on the lower of the rating on the catastrophe risk (BB+) and the rating on the assets in the collateral account (AAAm). Because the California Earthquake Authority (CEA) will deposit at closing 110% of the first quarterly premium into a premium deposit account, we didn't include CEA in our credit analysis. We do not maintain an interactive rating on the CEA. The CEA is a publicly managed, largely privately funded organization that provides catastrophic residential earthquake insurance, and encourages Californians to reduce their risk of earthquake loss. This is the third Embarcadero Re issue we have rated. Series 2011-1 Class A notes were issued in August 2011, have an attachment point of $3.287 billion, and are rated 'BB-(sf)'; Series 2012-1 Class A notes were issued in February 2012, have an attachment point of $2.91 billion, and are rated 'BB-(sf)'. RELATED CRITERIA AND RESEARCH -- Methodology For Rating Non-Catastrophic Property/Casualty Insurance-Linked Securities, May 12, 2009 -- Default Table Used To Rate Insurance-Linked Securitizations Updated, May 8, 2008 RATINGS LIST Embarcadero Re Ltd. Preliminary Rating Series 2012-II Class A Notes BB+(sf) This unsolicited rating(s) was initiated by Standard & Poor's. It may be based solely on publicly available information and may or may not involve the participation of the issuer. Standard & Poor's has used information from sources believed to be reliable based on standards established in our Credit Ratings Information and Data Policy but does not guarantee the accuracy, adequacy, or completeness of any information used.