Moody’s rates Santander bond Baa3

Moody’s Investors Service said it assigned a Baa3 long-term local currency subordinated debt rating to Santander Consumer Bank AS’ upcoming NOK 500 million tier 2 bond issuance.

The rating considers SCB’s baa2 adjusted baseline credit assessment that incorporates the bank’s baa3 stand-alone BCA and one notch of uplift from a high probability of affiliate support, Moody’s said. The agency also said it used its advanced loss given failure analysis, which indicates likely high loss severity for these instruments in the event of the bank’s failure, leading to a position one notch below the adjusted BCA.

“The Baa3 local currency rating assigned to the tier 2 notes is also aligned with the (P)Baa3 foreign-currency subordinated rating assigned to SCB’s medium-term note program,” Moody’s said in a press release.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.