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Fitch affirms California Earthquake Authority

Fitch Ratings affirmed the issuer default rating ofCalifornia EarthquakeAuthority at A with a stable outlook.

Fitch said the rating is based on its view that CaliforniaEarthquake Authority's financial flexibility is considerably stronger thansimilarly rated private insurers of catastrophe risk.

The rating takes into account the company's strategy tosustain minimum aggregate claims-paying levels to 1-in-450-year and maximumaggregate levels to 1-in-550-year return loss periods, Fitch said.