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 UPGRADES OMANI BANKS' RATINGS

10 Oct 2005
MOODY'S UPGRADES OMANI BANKS' RATINGS

Limassol, October 10, 2005 -- Moody's Investors Service has upgraded the long- and short-term foreign currency deposit ratings of BankMuscat (BM), National Bank of Oman (NBO), Oman International Bank (OIB) and Oman Arab Bank (OAB) to Baa1/Prime-2 (P-2) from Baa3/P-3, of Alliance Housing Bank (AHB) to Baa2/P-3 from Baa3/P-3, and the foreign currency senior unsecured debt rating of BM to Baa1 from Baa3. At the same time, Moody's has also upgraded the local currency senior debt ratings of BM to Baa1 from Baa3, and the long- and short-term local currency deposit ratings of AHB to Baa2/P-3 from Baa3/P-3. These rating actions follow Moody's recent upgrade of Oman's foreign and local currency country ceiling for bonds and bank deposits to Baa1/P-2 from Baa2/P-2. The outlook for the local and foreign currency deposit and debt ratings of all five banks is stable.

By the same action, Moody's has also changed the outlook on the D+ Financial Strength Rating (FSR) of BM from stable to positive, and on the D- FSR of NBO from negative to stable. The FSRs of OAB, OIB and AHB all carry stable outlooks and are unaffected by this action.

The upgrading of the deposit ratings for the five Omani banks and the senior unsecured debt rating of BM is based on the strong likelihood of support from the Omani authorities, should the need arise, combined with the improved capacity of the government to provide such support, as a result of the significant improvement in Oman's economic fundamentals over the past several years. Moody's believes that the four commercial banks -- BM, NBO, OAB and OIB -- are all very important institutions for the domestic banking system, and that a possible failure of any of them would lead to a systemic crisis. For this reason these banks' deposit ratings are placed at the ceiling for such deposits in Oman. Moody's believes that although AHB does not fall within the "too important to fail" category from a systemic perspective, the authorities would nevertheless provide support to the bank in the event of need, and thus a high degree of support is imputed in the ratings. However, we believe that such support might not be as timely or as certain as in the case of the larger commercial banks, resulting in the bank's ratings remaining one notch below the country ceiling for such deposits in Oman.

In the past, the Omani authorities have supported domestic banks in difficulty although there is no explicit guarantee to do so, and Moody's does not anticipate any change in that policy over the medium term. Nevertheless, any future upgrade of the rating ceiling for Omani bank deposits would not automatically result in a corresponding increase in any of the banks' ratings for deposits.

With respect to the local currency debt and deposit ratings, as well as senior unsecured debt ratings, Moody's notes that the respective ratings do not take into consideration Moody's Joint Default Analysis (JDA) methodology which has not yet been rolled out for deposit-taking institutions. According to the rating agency, the banks' prominent role as deposit-takers, both in the local and interbank market, together with various degrees of government ownership, and their relative importance for their national economy would probably imply a very high level of support, particularly in the case of the commercial banks. Consequently, higher ratings than those announced today could be envisaged for some Omani banks once JDA has been implemented for deposit-taking institutions.

The decision to change the outlook on BM's D+ FSR from stable to positive recognises the bank's substantially enhanced financial fundamentals over the past few years. Specific credit improvements include its growing recurring earning power, its improving asset quality underscored by declining levels of problem loans and rising loan loss reserves which more than fully cover non-performing loans, and moderately improved liquidity position.

An upgrade in BM's D+ FSR is likely to be heavily dependent on further improvements in the bank's liquidity position, as well as a continued trend of improving asset quality metrics. Further development in the domestic economic environment would also place upward pressure on the bank's FSR. At the same time, any significant deterioration in BM's financial fundamentals, particularly its asset quality, liquidity metrics or capital position, could lead to a lower FSR.

Moody's decision to change the outlook on NBO's D- FSR from negative to stable mainly reflects the bank's enhanced capital position following the injection of OMR44 million via a private placement by Commercial Bank of Qatar (CBQ). The change in outlook further reflects our expectation that the new strategic shareholder, which now controls nearly 35% of NBO and has managerial control through a three-year management agreement, will materially improve the bank's credit risk profile through a combination of recoveries, write-offs and provisioning, as well as put in place the necessary risk management culture, policies and procedures to prevent a recurrence of such large-scale deterioration in the bank's credit quality. NBO's new CEO was previously with CBQ, which also has four seats on NBO's Board. Any upgrade in the bank's FSR will be highly dependent on substantial improvements in its asset quality, as well as on the specific strategy developed and implemented for the bank by its new management team.

The ratings changes (by bank) are as follows:

- Alliance Housing Bank: The long- and short-term foreign currency deposit ratings upgraded to Baa2/P-3 from Baa3/P-3. The long- and short-term local currency deposit ratings upgraded to Baa2/P-3 from Baa3/P-3. The D- financial strength rating remains unchanged.

- BankMuscat: The long- and short-term foreign currency deposit ratings upgraded to Baa1/P-2 from Baa3/P-3. The long-term foreign currency senior unsecured rating upgraded to Baa1 from Baa3. The long-term local currency senior debt ratings upgraded to Baa1 from Baa3. The outlook on the D+ financial strength rating changed from stable to positive.

- National Bank of Oman: The long- and short-term foreign currency deposit ratings upgraded to Baa1/P-2 from Baa3/P-3. The outlook on the D- financial strength rating changed from negative to stable.

- Oman Arab Bank: The long- and short-term foreign currency deposit ratings upgraded to Baa1/P-2 from Baa3/P-3. The D+ financial strength rating remains unchanged.

- Oman International Bank: The long- and short-term foreign currency deposit ratings upgraded to Baa1/P-2 from Baa3/P-3. The D financial strength rating remains unchanged.

At the end of June 2005, Alliance Housing Bank had total assets of OMR138.3 million (USD359.9 million); BankMuscat had total assets of OMR1.815 billion (USD4.721 billion); National Bank of Oman had total assets of OMR761.6 million (USD1.981 billion); Oman Arab Bank had total assets of OMR421.3 million (USD1.095 billion); and Oman International Bank had total assets of OMR847.4 million (USD2.204 billion). All banks are headquartered in Muscat, Oman.

Limassol
Mardig Haladjian
Financial Institutions Group
Moody's Investors Service Cyprus Limited
JOURNALISTS: 44 20 7772 5456
SUBSCRIBERS: 44 20 7772 5454

Limassol
Boyd Anderson
Analyst
Financial Institutions Group
Moody's Investors Service Cyprus Limited
JOURNALISTS: 44 20 7772 5456
SUBSCRIBERS: 44 20 7772 5454

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