S&P assigns A to Korea National Oil bonds

Standard & Poor's said it assigned its A rating to Korea National Oil Corp.'s Swiss franc-denominated 300 million senior unsecured bonds, drawn from its $6 billion global medium-term note program.

The agency said it equalized the ratings on Korea National with the sovereign ratings on the Republic of Korea. This reflects S&P's opinion that there is an almost certain likelihood of the Korean government providing Korea National with timely and sufficient extraordinary support in the event it is to suffer financial distress, the agency said.

In accordance with its criteria for government-related entities, S&P said it bases the rating approach on its view that Korea National plays a critical role for and has an integral link to the government.

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