Fitch rates Bank Mandiri notes BBB-

Fitch Ratings said it assigned an expected long-term rating of BBB- and an expected short-term rating of F3 to PT Bank Mandiri (Persero) Tbk.'s proposed senior unsecured $2 billion euro medium-term note program.

Fitch also said it assigned an expected rating of BBB- to the proposed first tranche to be issued under the program.

The agency said it rates the bank's proposed program and notes at the same level as its long-term and short-term issuer default ratings as they will constitute its direct, unsubordinated and senior unsecured obligations and rank equally with all its other unsecured and unsubordinated obligations.

The ratings reflect a belief that the Indonesian state has high propensity to provide the bank with extraordinary support in times of need, Fitch said.

This is based on the bank's high systemic importance as the country's second largest commercial bank by assets with about 15% market share and majority state ownership of 60%, the agency said.

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