Moodys.com
Close
Please Note
We brought you to this page based on your search query. If this isn't what you are looking for, you can continue to Search Results for ""
The maximum number of items you can export is 3,000. Please reduce your list by using the filtering tool to the left.
Close
Close
Email Research
Recipient email addresses will not be used in mailing lists or redistributed.
Recipient's
Email

Use semicolon to separate each address, limit to 20 addresses.
Enter the
characters you see
Close
Email Research
Thank you for your interest in sharing Moody's Research. You have reached the daily limit of Research email sharings.
Close
Thank you!
You have successfully sent the research.
Please note: some research requires a paid subscription in order to access.
Already a customer?
LOG IN
Don't want to see this again?
REGISTER
OR
Accept our Terms of Use to continue to Moodys.com:

PLEASE READ AND SCROLL DOWN!

By clicking “I AGREE” [at the end of this document], you indicate that you understand and intend these terms and conditions to be the legal equivalent of a signed, written contract and equally binding, and that you accept such terms and conditions as a condition of viewing any and all Moody’s inform​ation that becomes accessible to you [after clicking “I AGREE”] (the “Information”).   References herein to “Moody’s” include Moody’s Corporation, Inc. and each of its subsidiaries and affiliates.

Terms of One-Time Website Use

1.            Unless you have entered into an express written contract with Moody’s to the contrary, you agree that you have no right to use the Information in a commercial or public setting and no right to copy it, save it, print it, sell it, or publish or distribute any portion of it in any form.               

2.            You acknowledge and agree that Moody’s credit ratings: (i) are current opinions of the future relative creditworthiness of securities and address no other risk; and (ii) are not statements of current or historical fact or recommendations to purchase, hold or sell particular securities.  Moody’s credit ratings and publications are not intended for retail investors, and it would be reckless and inappropriate for retail investors to use Moody’s credit ratings and publications when making an investment decision.  No warranty, express or implied, as the accuracy, timeliness, completeness, merchantability or fitness for any particular purpose of any Moody’s credit rating is given or made by Moody’s in any form whatsoever.          

3.            To the extent permitted by law, Moody’s and its directors, officers, employees, representatives, licensors and suppliers disclaim liability for: (i) any indirect, special, consequential, or incidental losses or damages whatsoever arising from or in connection with use of the Information; and (ii) any direct or compensatory damages caused to any person or entity, including but not limited to by any negligence (but excluding fraud or any other type of liability that by law cannot be excluded) on the part of Moody’s or any of its directors, officers, employees, agents, representatives, licensors or suppliers, arising from or in connection with use of the Information.

4.            You agree to read [and be bound by] the more detailed disclosures regarding Moody’s ratings and the limitations of Moody’s liability included in the Information.     

5.            You agree that any disputes relating to this agreement or your use of the Information, whether sounding in contract, tort, statute or otherwise, shall be governed by the laws of the State of New York and shall be subject to the exclusive jurisdiction of the courts of the State of New York located in the City and County of New York, Borough of Manhattan.​​​

I AGREE
Rating Action:

MOODY'S CONFIRMS THE Aa3/Prime-1/B RATINGS OF BANCO SANTANDER AND REVIEWS FOR POSSIBLE UPGRADE THE A1/C+ RATINGS OF BCH FOLLOWING THE ANNOUNCEMENT OF THE TWO BANKS? INTENTION TO MERGE

18 Jan 1999
Moody's Investors Service confirmed Banco Santander's Aa3/Prime-1 deposit and senior debt ratings and its B financial strength rating. A negative outlook is maintained for the Aa3 and B ratings. At the same time, Moody's placed under review for possible upgrade the A1 long-term deposit and senior debt ratings and the C+ financial strength rating of BCH. According to Moody's, these rating actions follow the announcement on Friday, January 15, of Santander's and BCH's intention to merge later in 1999 and thus to create Spain's largest financial institution.


Moody's commented that the expected merger between the Santander Group (including Banesto) and BCH would give the new group, Banco Santander Central Hispanoamericano, S.A. (BSCH), impressive market shares in Spain across all business segments and a strong competitive position. Domestically, the merger should provide opportunities for economies of scale and, though to a lesser extent, revenue enhancements from cross-selling between the two merging banks. Economies of scale, presently targeted at Ptas. 100 billion (Euro 601 million) by management, should come mainly from the rationalization of back-office operations and the domestic branch networks. In this respect however, Moody's noted that the rapid realization of the expected cost savings represents a major management challenge over the medium-term. Moody's added that the smooth integration of the two groups' banking cultures would also require heightened attention.


Moody's noted that, as a result of the merger, the weight of Santander's Latin American exposure will be diluted because BCH's own involvement in the region is far more limited. Nevertheless, the rating agency said that it remains concerned about the new banking group's vulnerability to a further downturn in Latin America considering the size of its aggregated investments in the region. Continuing instability in the region could weigh on the performance of the new banking group's Latin American affiliates. In addition, despite its future strong market position in Spain, BSCH, like the other Spanish banks, will be under pressure from rising domestic competition, which is pressuring lending margins. However, Moody's added that it expects BSCH to maintain solid fundamentals - including good profitability, high asset quality and ample economic capitalization - and to pursue a conservative strategy both at home and abroad.


The rating agency concluded by saying that, longer term, the full realization of all the potential benefits of the merger could strengthen considerably BSCH's credit fundamentals.


The following ratings were confirmed:


Banco Santander, S.A. - long-term bank deposits at Aa3, short-term bank deposits at Prime-1, bank financial strength rating at B, long-term senior unsecured debt at Aa3, long-term subordinated debt at A1 and issuer rating at Aa3;


Santander Finance (Delaware) Inc. - commercial paper program guaranteed by Banco Santander at Prime-1;


Banco Santander (Chile) - long-term bank deposits at Baa1, short-term bank deposits at Prime-2, bank financial strength rating at C+ and backed subordinated notes at Aaa;


Banco Santander Mexicano, S.A. - long-term bank deposits at B1, short-term bank deposits at Non-Prime, bank financial strength rating at D and long-term subordinated debt at Ba2;


Banco Santander Puerto Rico - long-term bank deposits at A1, short-term bank deposits at Prime-1, bank financial strength rating at C, long-term senior unsecured debt at A1, commercial paper at Prime-1, issuer rating at A1 and preferred stock at "a2";


Santander Overseas Bank, Inc. - preferred stock guaranteed by Banco Santander at "a1";


Santander International Ltd. - commercial paper at Prime-1 and long-term senior debt at Aa3, both guaranteed by Banco Santander;


Santander Finance BV - long-term subordinated debt guaranteed by Banco Santander at A1;


Santander Finance Ltd. - preferred stock guaranteed by Banco Santander at "a1";


Santander Financial Issuances Ltd. - long-term subordinated debt at A1 and perpetual debt at A2, both guaranteed by Banco Santander;


Banco Espa¤ol de Credito, S.A. - long-term bank deposits at A1, short-term bank deposits at Prime-1 and bank financial strength rating at C+;


Banesto Delaware, Inc. - long-term subordinated debt guaranteed by Banesto at A2;


Banesto Finance Ltd. - long-term subordinated debt at A2 and junior subordinated debt at A3, both guaranteed by Banesto;


Banesto Holdings, Ltd. -- preferred stock guaranteed by Banesto at "a2";


Banesto Issuances Ltd. - long-term senior unsecured debt at A1 and short-term debt and commercial paper at Prime-1, all guaranteed by Banesto;


Banco Central Hispanoamericano, S.A. - short-term bank deposits at Prime-1 and commercial paper at Prime-1;


BCH International Finance Limited - short-term debt guaranteed by BCH at Prime-1;


BCH North American Capital Corp. - commercial paper guaranteed by BCH at Prime-1.


The following ratings were placed under review for possible upgrade:


Banco Central Hispanoamericano, S.A. - long-term bank deposits at A1, long-term subordinated debt at A2 and bank financial strength rating at C+;


BCH Financial Services Limited - long-term subordinated debt guaranteed by BCH at A2;


BCH International Finance Limited - long-term senior unsecured debt guaranteed by BCH at A1;


BCH Cayman Islands Ltd. - long-term subordinated debt guaranteed by BCH at A2;


BCH Eurocapital Limited - preferred stock guaranteed by BCH at "a2";


BCH Capital Limited - preferred stock guaranteed by BCH at "a2";


Central Hispano International, Inc. - preferred stock guaranteed by BCH at "a2".


Banco Santander, S.A., headquartered in Santander, Spain, had total assets of Ptas. 26.5 trillion (approx. US$ 187 billion) at end-September 1998. Banco Espa¤ol de Credito, S.A., headquartered in Madrid, Spain, had total assets of Ptas. 5.9 trillion (approx. US$ 41 billion) at end-September 1998. Also headquartered in Madrid, Spain, Banco Central Hispanoamericano had Ptas. 12.9 trillion (about US$ 91 billion) in total assets at end-September 1998.
MOODY'S CONFIRMS THE Aa3/Prime-1/B RATINGS OF BANCO SANTANDER AND REVIEWS FOR POSSIBLE UPGRADE THE A1/C+ RATINGS OF BCH FOLLOWING THE ANNOUNCEMENT OF THE TWO BANKS? INTENTION TO MERGE
No Related Data.
© 2019 Moody’s Corporation, Moody’s Investors Service, Inc., Moody’s Analytics, Inc. and/or their licensors and affiliates (collectively, “MOODY’S”). All rights reserved.

CREDIT RATINGS ISSUED BY MOODY'S INVESTORS SERVICE, INC. AND ITS RATINGS AFFILIATES (“MIS”) ARE MOODY’S CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES, AND MOODY’S PUBLICATIONS MAY INCLUDE MOODY’S CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES. MOODY’S DEFINES CREDIT RISK AS THE RISK THAT AN ENTITY MAY NOT MEET ITS CONTRACTUAL FINANCIAL OBLIGATIONS AS THEY COME DUE AND ANY ESTIMATED FINANCIAL LOSS IN THE EVENT OF DEFAULT OR IMPAIRMENT. SEE MOODY’S RATING SYMBOLS AND DEFINITIONS PUBLICATION FOR INFORMATION ON THE TYPES OF CONTRACTUAL FINANCIAL OBLIGATIONS ADDRESSED BY MOODY’S RATINGS. CREDIT RATINGS DO NOT ADDRESS ANY OTHER RISK, INCLUDING BUT NOT LIMITED TO: LIQUIDITY RISK, MARKET VALUE RISK, OR PRICE VOLATILITY. CREDIT RATINGS AND MOODY’S OPINIONS INCLUDED IN MOODY’S PUBLICATIONS ARE NOT STATEMENTS OF CURRENT OR HISTORICAL FACT. MOODY’S PUBLICATIONS MAY ALSO INCLUDE QUANTITATIVE MODEL-BASED ESTIMATES OF CREDIT RISK AND RELATED OPINIONS OR COMMENTARY PUBLISHED BY MOODY’S ANALYTICS, INC. CREDIT RATINGS AND MOODY’S PUBLICATIONS DO NOT CONSTITUTE OR PROVIDE INVESTMENT OR FINANCIAL ADVICE, AND CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT AND DO NOT PROVIDE RECOMMENDATIONS TO PURCHASE, SELL, OR HOLD PARTICULAR SECURITIES. NEITHER CREDIT RATINGS NOR MOODY’S PUBLICATIONS COMMENT ON THE SUITABILITY OF AN INVESTMENT FOR ANY PARTICULAR INVESTOR. MOODY’S ISSUES ITS CREDIT RATINGS AND PUBLISHES MOODY’S PUBLICATIONS WITH THE EXPECTATION AND UNDERSTANDING THAT EACH INVESTOR WILL, WITH DUE CARE, MAKE ITS OWN STUDY AND EVALUATION OF EACH SECURITY THAT IS UNDER CONSIDERATION FOR PURCHASE, HOLDING, OR SALE.

MOODY’S CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT INTENDED FOR USE BY RETAIL INVESTORS AND IT WOULD BE RECKLESS AND INAPPROPRIATE FOR RETAIL INVESTORS TO USE MOODY’S CREDIT RATINGS OR MOODY’S PUBLICATIONS WHEN MAKING AN INVESTMENT DECISION. IF IN DOUBT YOU SHOULD CONTACT YOUR FINANCIAL OR OTHER PROFESSIONAL ADVISER.

ALL INFORMATION CONTAINED HEREIN IS PROTECTED BY LAW, INCLUDING BUT NOT LIMITED TO, COPYRIGHT LAW, AND NONE OF SUCH INFORMATION MAY BE COPIED OR OTHERWISE REPRODUCED, REPACKAGED, FURTHER TRANSMITTED, TRANSFERRED, DISSEMINATED, REDISTRIBUTED OR RESOLD, OR STORED FOR SUBSEQUENT USE FOR ANY SUCH PURPOSE, IN WHOLE OR IN PART, IN ANY FORM OR MANNER OR BY ANY MEANS WHATSOEVER, BY ANY PERSON WITHOUT MOODY’S PRIOR WRITTEN CONSENT.

CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT INTENDED FOR USE BY ANY PERSON AS A BENCHMARK AS THAT TERM IS DEFINED FOR REGULATORY PURPOSES AND MUST NOT BE USED IN ANY WAY THAT COULD RESULT IN THEM BEING CONSIDERED A BENCHMARK.

All information contained herein is obtained by MOODY’S from sources believed by it to be accurate and reliable. Because of the possibility of human or mechanical error as well as other factors, however, all information contained herein is provided “AS IS” without warranty of any kind. MOODY'S adopts all necessary measures so that the information it uses in assigning a credit rating is of sufficient quality and from sources MOODY'S considers to be reliable including, when appropriate, independent third-party sources. However, MOODY’S is not an auditor and cannot in every instance independently verify or validate information received in the rating process or in preparing the Moody’s publications.

To the extent permitted by law, MOODY’S and its directors, officers, employees, agents, representatives, licensors and suppliers disclaim liability to any person or entity for any indirect, special, consequential, or incidental losses or damages whatsoever arising from or in connection with the information contained herein or the use of or inability to use any such information, even if MOODY’S or any of its directors, officers, employees, agents, representatives, licensors or suppliers is advised in advance of the possibility of such losses or damages, including but not limited to: (a) any loss of present or prospective profits or (b) any loss or damage arising where the relevant financial instrument is not the subject of a particular credit rating assigned by MOODY’S.

To the extent permitted by law, MOODY’S and its directors, officers, employees, agents, representatives, licensors and suppliers disclaim liability for any direct or compensatory losses or damages caused to any person or entity, including but not limited to by any negligence (but excluding fraud, willful misconduct or any other type of liability that, for the avoidance of doubt, by law cannot be excluded) on the part of, or any contingency within or beyond the control of, MOODY’S or any of its directors, officers, employees, agents, representatives, licensors or suppliers, arising from or in connection with the information contained herein or the use of or inability to use any such information.

NO WARRANTY, EXPRESS OR IMPLIED, AS TO THE ACCURACY, TIMELINESS, COMPLETENESS, MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE OF ANY CREDIT RATING OR OTHER OPINION OR INFORMATION IS GIVEN OR MADE BY MOODY’S IN ANY FORM OR MANNER WHATSOEVER.

Moody’s Investors Service, Inc., a wholly-owned credit rating agency subsidiary of Moody’s Corporation (“MCO”), hereby discloses that most issuers of debt securities (including corporate and municipal bonds, debentures, notes and commercial paper) and preferred stock rated by Moody’s Investors Service, Inc. have, prior to assignment of any rating, agreed to pay to Moody’s Investors Service, Inc. for ratings opinions and services rendered by it fees ranging from $1,000 to approximately $2,700,000. MCO and MIS also maintain policies and procedures to address the independence of MIS’s ratings and rating processes. Information regarding certain affiliations that may exist between directors of MCO and rated entities, and between entities who hold ratings from MIS and have also publicly reported to the SEC an ownership interest in MCO of more than 5%, is posted annually at www.moodys.com under the heading “Investor Relations — Corporate Governance — Director and Shareholder Affiliation Policy.”

Additional terms for Australia only: Any publication into Australia of this document is pursuant to the Australian Financial Services License of MOODY’S affiliate, Moody’s Investors Service Pty Limited ABN 61 003 399 657AFSL 336969 and/or Moody’s Analytics Australia Pty Ltd ABN 94 105 136 972 AFSL 383569 (as applicable). This document is intended to be provided only to “wholesale clients” within the meaning of section 761G of the Corporations Act 2001. By continuing to access this document from within Australia, you represent to MOODY’S that you are, or are accessing the document as a representative of, a “wholesale client” and that neither you nor the entity you represent will directly or indirectly disseminate this document or its contents to “retail clients” within the meaning of section 761G of the Corporations Act 2001. MOODY’S credit rating is an opinion as to the creditworthiness of a debt obligation of the issuer, not on the equity securities of the issuer or any form of security that is available to retail investors.

Additional terms for Japan only: Moody's Japan K.K. (“MJKK”) is a wholly-owned credit rating agency subsidiary of Moody's Group Japan G.K., which is wholly-owned by Moody’s Overseas Holdings Inc., a wholly-owned subsidiary of MCO. Moody’s SF Japan K.K. (“MSFJ”) is a wholly-owned credit rating agency subsidiary of MJKK. MSFJ is not a Nationally Recognized Statistical Rating Organization (“NRSRO”). Therefore, credit ratings assigned by MSFJ are Non-NRSRO Credit Ratings. Non-NRSRO Credit Ratings are assigned by an entity that is not a NRSRO and, consequently, the rated obligation will not qualify for certain types of treatment under U.S. laws. MJKK and MSFJ are credit rating agencies registered with the Japan Financial Services Agency and their registration numbers are FSA Commissioner (Ratings) No. 2 and 3 respectively.

MJKK or MSFJ (as applicable) hereby disclose that most issuers of debt securities (including corporate and municipal bonds, debentures, notes and commercial paper) and preferred stock rated by MJKK or MSFJ (as applicable) have, prior to assignment of any rating, agreed to pay to MJKK or MSFJ (as applicable) for ratings opinions and services rendered by it fees ranging from JPY125,000 to approximately JPY250,000,000.

MJKK and MSFJ also maintain policies and procedures to address Japanese regulatory requirements.

​​​​
Moodys.com