Global Header | Moody's
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
Related Issuers
Agricultural Bank of China Limited
Agricultural Bank of China Limited, NY Branch
Agricultural Bank of China Ltd, Dubai Branch
Agricultural Bank of China Ltd., HK Branch
Bank of China Limited
Bank of China Limited, Dubai Branch
Bank of China Limited, Frankfurt Branch
Bank of China Limited, Hong Kong Branch
Bank of China Limited, London Branch
Bank of China Limited, Luxembourg Branch
Bank of China Limited, Macau Branch
Bank of China Limited, New York Branch
Bank of China Limited, Paris Branch
Bank of China Limited, Singapore Branch
Bank of China Limited, Sydney Branch
Bank of China Limited, Taipei Branch
Bank of China Limited, Tokyo Branch
Bank of Communications Co., Ltd.
Bank of Communications Co., Ltd. HK Branch
Bank of Nanjing Co., Ltd.
Bank of Ningbo Co., Ltd.
Bank of Shanghai Co., Ltd.
Bank of Suzhou Co., Ltd.
China CITIC Bank Corporation Limited
China Construction Bank Corp., Frankfurt Br.
China Construction Bank Corp., Hong Kong Br.
China Construction Bank Corp., New York Br.
China Construction Bank Corporation
China Everbright Bank Company Limited
China Guangfa Bank Co., Ltd.
China Merchants Bank Co Ltd, Hong Kong Branch
China Merchants Bank Co Ltd, Luxembourg Br.
China Merchants Bank Co Ltd, New York Branch
China Merchants Bank Co Ltd, Singapore Branch
China Merchants Bank Co., Ltd.
China Zheshang Bank Co., Ltd.
Fubon Bank (China) Co., Ltd.
Guangzhou Rural Comm Bank Co., Ltd.
Hang Seng Bank (China) Limited
HSBC Bank (China) Company Limited
Ind'l and Comm'l Bank of China Ltd., Tokyo
Indust'l and Comm'l Bank of China Ltd., Ldn
Industrial & Commercial Bank of China Ltd
Industrial & Comm'l Bank of China Ltd, Sydney
Industrial & Comm'l Bank of China Ltd., Doha
Industrial & Comm'l Bank of China Ltd., Dubai
Industrial & Comm'l Bank of China, Singapore
Industrial and Comm'l Bank of China Ltd., HK
Industrial and Comm'l Bank of China Ltd., Lux
Industrial and Comm'l Bank of China Ltd., NY
Industrial Bank Co., Ltd.
Industrial Bank Co., Ltd., Hong Kong branch
MUFG Bank (China), Ltd.
Ping An Bank Co., Ltd
Postal Savings Bank of China Co., Ltd.
Shanghai Pudong Dev. Bk Co., Ltd., HK Branch
Shanghai Pudong Development Bank Co., Ltd.
Rating Action:

Moody's assigns Counterparty Risk Ratings to 19 Chinese commercial banks and 4 Chinese subsidiaries of international banks

 The document has been translated in other languages

26 Jun 2018

Hong Kong, June 26, 2018 -- Moody's Investors Service has today assigned Counterparty Risk Ratings (CRRs) to 19 Chinese commercial banks and their branches as applicable and 4 Chinese subsidiaries of international banks.

The Chinese commercial banks affected are: 1) Agricultural Bank of China Limited (ABC), 2) Bank of China Limited (BOC), 3) China Construction Bank Corporation (CCB), 4) Industrial and Commercial Bank of China Ltd (ICBC), 5) Postal Savings Bank of China Co., Ltd. (PSBC), 6) Bank of Communications Co., Ltd. (BoCom), 7) China CITIC Bank Corporation Limited (CITICB), 8) China Everbright Bank Company Limited (CEB), 9) China Guangfa Bank Co., Ltd. (CGB), 10) China Merchants Bank Co., Ltd. (CMB), 11) Industrial Bank Co., Ltd. (CIB), 12) Ping An Bank Co., Ltd (PAB), 13) Shanghai Pudong Development Bank Co., Ltd. (SPDB); 14) Bank of Ningbo Co., Ltd. (BONB), 15) Bank of Nanjing Co., Ltd. (BONJ), 16) Bank of Shanghai Co., Ltd. (BOSC), 17) Bank of Suzhou Co., Ltd. (BOSZ), 18) China Zheshang Bank Co., Ltd. (CZBANK), and 19) Guangzhou Rural Comm Bank Co., Ltd. (GZRCB).

The Chinese subsidiaries of international banks affected are: 1) Bank of Tokyo-Mitsubishi UFJ (China) Limited (BTCN), 2) Fubon Bank (China) Co., Ltd. (FBCN), 3) Hang Seng Bank (China) Limited (HSCN), and 4) HSBC Bank (China) Company Limited (HBCN).

The full list of assigned ratings is provided at the end of this press release.

Moody's Counterparty Risk Ratings are opinions of the ability of entities to honour the uncollateralized portion of non-debt counterparty financial liabilities (CRR liabilities) and also reflect the expected financial losses in the event such liabilities are not honoured. CRR liabilities typically relate to transactions with unrelated parties. Examples of CRR liabilities include the uncollateralized portion of payables arising from derivatives transactions and the uncollateralized portion of liabilities under sale and repurchase agreements. CRRs are not applicable to funding commitments or other obligations associated with covered bonds, letters of credit, guarantees, servicer and trustee obligations, and other similar obligations that arise from a bank performing its essential operating functions.

RATINGS RATIONALE

The CRRs assigned to the 19 rated Chinese commercial banks and 4 Chinese subsidiaries of international banks are in line with the Counterparty Risk Assessments (CRA) already assigned.

Because Moody's considers China not to have an operational resolution regime, in assigning CRRs to the Chinese banks subject to this rating action, the rating agency applies its basic Loss Given Failure (LGF) approach. Moody's basic LGF analysis positions CRRs in line with the banks' CRAs, one notch above their adjusted BCAs, prior to government support.

Furthermore, the CRRs also incorporate between 1 and 3 notches of uplift due to Moody's assessment of government support for the 19 rated Chinese commercial banks in times of need, based on the banks' systemic importance to China. The uplifts are in line with that applied to the CRAs.

For the Chinese banks, except for subsidiaries of international banks, the CRR also benefit from government support, broadly in line with Moody's support assumptions on deposits. This reflects Moody's view that any support provided by governmental authorities to a bank, which benefits deposits, is very likely to benefit CRR liabilities as well, consistent with Moody's belief that governments are likely to maintain such operations as a going-concern in order to reduce contagion and preserve a bank's critical functions.

As a result, the CRR for Chinese banks could be positioned at one notch higher than their deposit ratings. However, for Chinese banks whose deposit ratings already incorporate a very high or high level of government support, their CRRs are positioned at the deposit ratings, reflecting Moody's view that the probability of default on their CRR liabilities would not be materially different from that of deposits after government support and in the event of bank resolution. In arriving at this view, Moody's has taken into account the fact that China does not have a transparent operational resolution regime that creates confidence that CRR liabilities have a lower probability of default for banks whose deposit ratings also benefit from a material amount of government support. Also, Moody's judgment is that supporting deposits is likely to be one of the Chinese government's highest priorities when it provides extraordinary support to prevent a bank failure. The rating agency takes a similar view for operating activities and obligations reflected by CRA.

By contrast, in the case of seven banks where there is lower probability of government support, Moody's has positioned the long term CRR one notch higher than the long term deposit rating. These banks are: China Guangfa Bank Co., Ltd., Ping An Bank Co., Ltd, Bank of Suzhou Co., Ltd., Bank of Tokyo-Mitsubishi UFJ (China) Limited, Fubon Bank (China) Co., Ltd., Hang Seng Bank (China) Limited and HSBC Bank (China) Company Limited. Most of these bank ratings benefit from affiliate support in their ratings, from their foreign bank parents in the case of the four Chinese subsidiaries of international banks, from the Ping An Insurance (Group) Co of China, Ltd. in the case of Ping An Bank Co., Ltd, from China Life Insurance Co Ltd, in the case of China Guangfa Bank Co., Ltd. In the case of Bank of Suzhou Co., Ltd., its long term CRR benefits from one notch of government support, in line with our support assumptions for its long term deposit ratings. This treatment reflects our view that any support provided by government authorities to a bank, which benefits deposits, is very likely to benefit CRR liabilities as well.

OUTLOOK

CRRs do not carry outlooks.

FACTORS THAT COULD LEAD TO AN UPGRADE/DOWNGRADE

The CRR of ABC, BOC, CCB, ICBC and PSBC are at the same level of the sovereign rating after factoring in a very high level of government support. Hence, there could be upward pressure on the CRR and other long term ratings should the Chinese government's capability, as reflected in the Chinese sovereign rating, to support the banks strengthen.

In addition to ABC, BOC, CCB, ICBC and PSBC, other banks -- with the exception of the Chinese subsidiaries of the four international banks -- have ratings incorporating various levels of government support. There could be upward or downward pressure on their CRR should the Chinese government's capability or willingness to support the banks strengthen or weaken.

Furthermore, should the operating environment weaken materially, for example, if China's economic growth moderates or corporate financial leverage continues to increase, then there would be negative pressure on the banks' BCAs and hence pressure on CRR.

As BCA is one of the main inputs that drive CRRs, the CRRs could be upgraded following an upgrade of rated banks' respective BCAs. However potential upgrades could be constrained by China's local and foreign currency ceilings. Conversely, the CRRs could be downgraded following a downgrade of the banks' respective BCAs.

More bank-specific rating triggers are summarized below.

ABC

The bank's BCA could experience upward pressure if (1) it continues to show improvements in its asset-quality trends and profitability; and/or (2) its capital strengthens as a result of the announced private placement of common shares and sound growth of risk-weighted assets (RWAs), with an improvement in its tangible common equity (TCE) capital ratio.

The bank's BCA could experience downward pressure if (1) its asset quality and profitability weaken materially; and/or (2) its capital weakens, with a deterioration in the TCE capital ratio because of a failure to raise capital as planned or excessive growth of RWAs.

BOC

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of the formation of problem loans, continues to improve; (2) its profitability, as measured by the return on assets, improves; and/or (3) its capital strengthens, with an improvement in its TCE capital ratio.

The bank's BCA could experience downward pressure if (1) its asset quality and profitability weaken materially; and/or (2) its capital weakens, with a deterioration in its TCE capital ratio.

CCB

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, continues to improve; (2) its profitability, as measured by the return on assets, remains resilient; and/or (3) its capital continues to strengthen, with an improvement in its TCE capital ratio.

The bank's BCA could experience downward pressure if (1) its asset quality and profitability weaken materially; and/or (2) its capital weakens, with a deterioration in its TCE capital ratio.

ICBC

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, continues to improve; (2) its profitability, as measured by the return on assets, remains resilient; and/or (3) its capital continues to strengthen, with an improvement in its TCE capital ratio.

The bank's BCA could experience downward pressure if (1) its asset quality and profitability weaken materially; and/or (2) its capital weakens, with a deterioration in its TCE capital ratio.

PSBC

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, remains healthy as its rapidly growing loan portfolio seasons; and/or (2) its capital strengthens, as a result of its A-share listing and the sound growth of its risk-weighted assets (RWAs), with an improvement in its TCE capital ratio.

PSBC's CRR could be downgraded if China Post Group significantly dilutes its stake in the bank. The bank's BCA could also experience downward pressure if (1) its asset quality deteriorates, owing to operational risks; (2) profitability weakens materially; and/or (3) its capital weakens, with a deterioration in its TCE capital ratio because of a failure to raise capital as planned or excessive growth of RWAs.

BoCom

The bank's BCA could experience upward pressure if (1) its funding profile improves, with its market funds/tangible banking assets ratio declining to below 25%; (2) its profitability, as measured by return on assets, improves; and/or (3) its asset quality, capital and liquid resources ratios remain stable.

The bank's BCA could experience downward pressure if (1) its reliance on market funds increases rapidly; and/or (2) asset quality, profitability and capitalization weaken materially.

CITICB

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, remains healthy while its asset mix adjusts to the regulatory reform of the shadow banking and interbank activities; (2) its profitability, as measured by the return on assets, remains resilient; (3) its capital strengthens, as a result of capital-raising and restrained growth of RWAs, with an improvement in it TCE capital ratio; and/or (4) its reliance on market funding continues to decrease, with an improvement in its market funds/tangible banking assets ratio.

The bank's CRR could be downgraded if CITIC Group Corporation (A3 stable) significantly dilutes its stake in the bank. The bank's BCA could experience downward pressure if (1) its asset quality and profitability weaken materially; (2) its capital weakens, with a deterioration in its TCE capital ratio; and/or (3) its reliance on market funding increases, with a deterioration in its market funds/tangible banking assets ratio.

CEB

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, remains healthy, while its asset mix adjusts to the regulatory reform of shadow banking and interbank activities; (2) its profitability, as measured by the return on assets, remains resilient; (3) its capital strengthens, as a result of restrained growth in risk-weighted assets (RWAs), with an improvement in its TCE capital ratio; and/or (4) its reliance on market funding continues to decrease, with an improvement in its market funds/tangible banking assets ratio.

The bank's CRR could be downgraded if China Everbright Group significantly dilutes its stake in the bank. The bank's BCA could experience downward pressure if (1) its asset quality and profitability weaken materially; (2) its capital weakens, with a deterioration in its TCE capital ratio; and/or (3) its reliance on market funding increases, with a deterioration in its market funds/tangible banking assets ratio.

CGB

The bank's CRR incorporates a high level of affiliate support. Consequently, an increase in the bank's strategic importance to the China Life Group could exert upward pressure on its ratings. The bank's BCA could experience upward pressure if its asset quality, profitability and funding profile improve while its capital position strengthens.

A reduction in the bank's strategic importance to the China Life Group could pressure downward the bank's ratings. The bank's BCA could experience downward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, deteriorates; (2) its capital position weakens owing to rapid asset growth; and/or (3) its reliance on market funding continues to increase.

CMB

The bank's BCA could experience upward pressure if its asset quality and capitalization continue to improve while profitability and liquidity remain resilient.

The bank's BCA could experience downward pressure if (1) its asset quality and profitability weaken; (2) its capital weakens materially because of rapid asset growth; (3) its reliance on market funding increases; and/or (4) its off-balance sheet wealth-management product exposures impact negatively on its liquidity position.

CIB

The bank's BCA could experience upward pressure if (1) its funding structure improves significantly; (2) its asset quality, as measured by the rate of formation of problem loans, and profitability, as measured by return on assets, remain resilient; and/or (3) its capital strengthens, with an improvement in its TCE capital ratio.

The bank's BCA could experience downward pressure if (1) its asset quality, capitalization and profitability weaken materially; and/or (2) its funding structure deteriorates.

PAB

The bank's BCA could experience upward pressure if the bank's (1) asset quality, as measured by new problem loan formation, and profitability, as measured by return on average assets, remain resilient; and/or (2) capital strengthens.

The bank's CRR incorporates a very high level of parental support. Consequently, any weakening in the parent's capacity to provide support to the bank or a decrease in the bank's strategic importance to the parent would put negative pressure on the bank's ratings.

The bank's BCA could also experience downward pressure if (1) its asset-quality deteriorates; (2) its capital position weakens owing to rapid asset growth; and/or (3) its reliance on wholesale funding increases.

SPDB

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, improves; (2) its profitability, as measured by the return on assets, remains resilient; (3) its capital further strengthens, as a result of capital-raising and sound growth of RWAs, with an improvement in its TCE capital ratio; and/or (4) its reliance on market funding decreases, with an improvement in its market funds/tangible banking assets ratio.

The bank's BCA could experience downward pressure if (1) its asset quality deteriorates; (2) its capital position weakens owing to rapid asset growth; and/or (3) its reliance on market funding increases.

BONB

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, remains healthy; (2) its capital position remains robust while profitability strengthens; and/or (3) its liquidity profile improves.

The bank's BCA could experience downward pressure if (1) its asset quality deteriorates; (2) its capital position weakens owing to rapid asset growth; and/or (3) its reliance on market funding increases.

BONJ

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, and profitability, as measured by the return on assets, remain resilient; (2) its capital position strengthens materially; and/or (3) its liquidity profile remains stable.

The bank's BCA could experience downward pressure if (1) its solvency or liquidity indicators weaken while adjusting to tighter regulations on shadow banking and interbank activities; (2) its asset quality and profitability weaken materially; (3) its RWAs grow fast and lead to a weaker capital position; and/or (4) its liquidity condition deteriorates.

BOSC

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, remains healthy; (2) its capital position remains robust while profitability strengthens; and/or (3) its liquidity profile improves.

The bank's BCA could experience downward pressure if (1) its asset quality deteriorates; (2) its capital position weakens owing to rapid asset growth; and/or (3) its reliance on market funding increases.

BOSZ

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, and profitability, as measured by return on assets, remain resilient; and/or (2) its capital strengthens, with an improvement in its TCE capital ratio.

The bank's BCA could experience downward pressure if (1) its asset quality deteriorates; (2) its capital position weakens owing to rapid asset growth; and/or (3) its reliance on market funding increases.

CZBANK

The bank's BCA could experience upward pressure if (1) its asset quality remains stable while profitability improves; (2) its capital position strengthens with RWA growth slowing to around 15%; and/or (3) its deposit base continues to grow and the maturity profiles of its funding and investments are better aligned.

The bank's BCA could experience downward pressure if (1) its asset quality, profitability and capital weaken materially; and/or (2) its liquidity position deteriorates significantly.

GZRCB

The bank's BCA could experience upward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, and profitability, as measured by the return on assets, improve; and/or (2) capital strengthens, with an improvement in its TCE capital ratio.

The bank's BCA could experience downward pressure if (1) its asset quality and profitability weaken materially; and/or (2) its capital position weakens.

BTCN

The bank's CRR incorporates a very high level of parental support. Hence, the bank's ratings could be upgraded if the parent's BCA is upgraded. The bank's BCA could experience upward pressure if it maintains sound financial metrics and its business diversification improves.

The bank's ratings could be downgraded if its parent's rating is downgraded. The bank's BCA could experience downward pressure if (1) its asset quality, as measured by the rate of formation of problem loans, deteriorates; and/or (2) its capitalization weakens, with the TCE capital ratio falling below 12%.

FBCN

The bank's CRR incorporates a very high level of parental support. Hence, the bank's ratings could be upgraded if the parent's BCA is upgraded. The bank's BCA could experience upward pressure if (1) its asset quality, profitability and liquidity profile remains stable while its capital position strengthens; and/or (2) its deposit franchise improves with a lowering of cost of liabilities.

The bank's ratings could be downgraded if the parent's rating is downgraded. The bank's BCA could experience downward pressure if (1) its capital position weakens, with the TCE capital ratio falling below 10%; (2) its asset quality, as measured by the rate of formation of problem loans, deteriorate; and/or (3) its net income falls below 0.2% of tangible assets.

HSCN

The bank's CRR incorporates a very high level of parental support. Hence, the bank's ratings could be upgraded if the parent's BCA is upgraded. The bank's BCA could experience upward pressure if (1) its funding structure improves, with solid growth in core deposits; (2) its profitability, as measured by the return on assets, improves; and/or (3) its asset quality and capital adequacy improve further.

The bank's CRR could be downgraded if its parent's rating is downgraded. The bank's BCA could experience downward pressure if (1) its funding structure, as measured by market funds/tangible banking assets, deteriorates; (2) its asset quality and profitability weaken materially; and/or (3) its capital position weakens significantly.

HBCN

The bank's CRR incorporates a very high level of parental support. Hence, the bank's ratings could be upgraded if the parent's BCA is upgraded. The bank's BCA could experience upward pressure if its asset quality, profitability, and capital position improve further.

The bank's CRR could be downgraded if its parent's rating is downgraded. The bank's BCA could experience downward pressure if (1) its asset quality and profitability weaken materially; and/or (2) its capital position weakens significantly.

The principal methodology used in these ratings was Banks published in June 2018. Please see the Rating Methodologies page on www.moodys.com for a copy of this methodology.

The Local Market analyst for Agricultural Bank of China Limited, Agricultural Bank of China Limited, NY Branch, Agricultural Bank of China Ltd, Dubai Branch, Agricultural Bank of China Ltd., HK Branch, Bank of China Limited, Bank of China Limited, Dubai Branch, Bank of China Limited, Frankfurt Branch, Bank of China Limited, Hong Kong Branch, Bank of China Limited, London Branch, Bank of China Limited, Luxembourg Branch, Bank of China Limited, Macau Branch, Bank of China Limited, New York Branch, Bank of China Limited, Paris Branch, Bank of China Limited, Singapore Branch; Bank of China Limited, Sydney Branch, Bank of China Limited, Taipei Branch, Bank of China Limited, Tokyo Branch, China CITIC Bank Corporation Limited, China Construction Bank Corporation, China Construction Bank Corp., Frankfurt, China Construction Bank Corp., HK Branch, China Construction Bank Corp., NY Branch, China Everbright Bank Company Limited, Industrial & Commercial Bank of China Ltd, Industrial & Comm'l Bank of China Ltd., Doha, Industrial & Comm'l Bank of China Ltd., Dubai, Industrial and Comm'l Bank of China Ltd., HK, Indust'l and Comm'l Bank of China Ltd., Ldn, Industrial and Comm'l Bank of China Ltd., Lux, Industrial and Comm'l Bank of China Ltd., NY, Industrial & Comm'l Bank of China, Singapore, Industrial & Comm'l Bank of China Ltd, Sydney, Ind'l and Comm'l Bank of China Ltd., Tokyo, and Postal Savings Bank of China Co., Ltd. is Nicholas Zhu, VP - Senior Analyst, Financial Instiutions Group, +852 3758 1350, +852 3551 3077.

The Local Market analyst for Bank of Communications Co., Ltd., Bank of Communications Co., Ltd. HK Branch, Bank of Nanjing Co., Ltd, Bank of Ningbo Co., Ltd., Bank of Tokyo-Mitsubishi UFJ (China) Limited, Bank of Shanghai Co., Ltd, Bank of Suzhou Co., Ltd., China Guangfa Bank Co., Ltd., China Merchants Bank Co., Ltd., China Merchants Bank Co Ltd, Hong Kong Branch, China Merchants Bank Co Ltd, Luxembourg Br., China Merchants Bank Co Ltd, New York Branch, China Merchants Bank Co Ltd, Singapore Branch, China Zheshang Bank Co., Ltd., Fubon Bank (China) Co., Ltd., Guangzhou Rural Comm Bank Co., Ltd., Hang Seng Bank (China) Limited, HSBC Bank (China) Company Limited, Industrial Bank Co., Ltd., Industrial Bank Co., Ltd., Hong Kong branch, Ping An Bank Co., Ltd, Shanghai Pudong Development Bank Co., Ltd., and Shanghai Pudong Dev. Bk Co., Ltd., HK Branch is Yulia Wan, AVP Analyst, Financial Institutions Group, +852 3758 1350, +852 3551 3077.

LIST OF ASSIGNED RATINGS

Agricultural Bank of China Limited; Agricultural Bank of China Limited, NY Branch; Agricultural Bank of China Ltd, Dubai Branch; Agricultural Bank of China Ltd., HK Branch

Local and foreign currency long-term Counterparty Risk ratings of A1 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-1 is assigned

Bank of China Limited; Bank of China Limited, Dubai Branch; Bank of China Limited, Frankfurt Branch; Bank of China Limited, Hong Kong Branch; Bank of China Limited, London Branch; Bank of China Limited, Luxembourg Branch; Bank of China Limited, Macau Branch; Bank of China Limited, New York Branch; Bank of China Limited, Paris Branch; Bank of China Limited, Singapore Branch; Bank of China Limited, Sydney Branch; Bank of China Limited, Taipei Branch; Bank of China Limited, Tokyo Branch

Local and foreign currency long-term Counterparty Risk ratings of A1 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-1 is assigned

Bank of Communications Co., Ltd.; Bank of Communications Co., Ltd. HK Branch

Local and foreign currency long-term Counterparty Risk ratings of A2 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-1 is assigned

Bank of Nanjing Co., Ltd.

Local and foreign currency long-term Counterparty Risk ratings of Baa3 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-3 is assigned

Bank of Ningbo Co., Ltd.

Local and foreign currency long-term Counterparty Risk ratings of Baa2 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

Bank of Shanghai Co., Ltd.

Local and foreign currency long-term Counterparty Risk ratings of Baa2 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

Bank of Suzhou Co., Ltd.

Local and foreign currency long-term Counterparty Risk ratings of Baa3 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-3 is assigned

Bank of Tokyo-Mitsubishi UFJ (China) Limited

Local and foreign currency long-term Counterparty Risk ratings of A2 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-1 is assigned

China CITIC Bank Corporation Limited

Local and foreign currency long-term Counterparty Risk ratings of Baa2 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

China Construction Bank Corporation; China Construction Bank Corp., Frankfurt; China Construction Bank Corp., HK Branch; China Construction Bank Corp., NY Branch

Local and foreign currency long-term Counterparty Risk ratings of A1 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-1 is assigned

China Everbright Bank Company Limited

Local and foreign currency long-term Counterparty Risk ratings of Baa2 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

China Guangfa Bank Co., Ltd.

Local and foreign currency long-term Counterparty Risk ratings of Baa2 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

China Merchants Bank Co., Ltd.; China Merchants Bank Co Ltd, Hong Kong Branch; China Merchants Bank Co Ltd, Luxembourg Br.; China Merchants Bank Co Ltd, New York Branch; China Merchants Bank Co Ltd, Singapore Branch

Local and foreign currency long-term Counterparty Risk ratings of A3 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

China Zheshang Bank Co., Ltd.

Local and foreign currency long-term Counterparty Risk ratings of Ba1 is assigned

Local and foreign currency short-term Counterparty Risk ratings of NP is assigned

Fubon Bank (China) Co., Ltd.

Local and foreign currency long-term Counterparty Risk ratings of A3 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

Guangzhou Rural Comm Bank Co., Ltd.

Local and foreign currency long-term Counterparty Risk ratings of Baa2 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

Hang Seng Bank (China) Limited

Local and foreign currency long-term Counterparty Risk ratings of A1 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-1 is assigned

HSBC Bank (China) Company Limited

Local and foreign currency long-term Counterparty Risk ratings of Aa3 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-1 is assigned

Industrial Bank Co., Ltd.; Industrial Bank Co., Ltd., Hong Kong branch

Local and foreign currency long-term Counterparty Risk ratings of Baa2 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

Industrial & Commercial Bank of China Ltd; Industrial & Comm'l Bank of China Ltd., Doha; Industrial & Comm'l Bank of China Ltd., Dubai; Industrial and Comm'l Bank of China Ltd., HK; Indust'l and Comm'l Bank of China Ltd., Ldn; Industrial and Comm'l Bank of China Ltd., Lux; Industrial and Comm'l Bank of China Ltd., NY; Industrial & Comm'l Bank of China, Singapore; Industrial & Comm'l Bank of China Ltd, Sydney; Ind'l and Comm'l Bank of China Ltd., Tokyo

Local and foreign currency long-term Counterparty Risk ratings of A1 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-1 is assigned

Ping An Bank Co., Ltd

Local and foreign currency long-term Counterparty Risk ratings of Baa1 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

Postal Savings Bank of China Co., Ltd.

Local and foreign currency long-term Counterparty Risk ratings of A1 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-1 is assigned

Shanghai Pudong Development Bank Co., Ltd.; Shanghai Pudong Dev. Bk Co., Ltd., HK Branch

Local and foreign currency long-term Counterparty Risk ratings of Baa2 is assigned

Local and foreign currency short-term Counterparty Risk ratings of P-2 is assigned

ABC is a state-owned commercial bank headquartered in Beijing. It reported total assets of RMB21.0 trillion as of the end of 2017. The bank is a global systemically important bank, as identified by the Financial Stability Board.

BOC is a state-owned commercial bank headquartered in Beijing. It reported total assets of RMB19.5 trillion as of the end of 2017. The bank is a global systemically important bank, as identified by the Financial Stability Board.

CCB is a state-owned commercial bank headquartered in Beijing. It reported total assets of RMB22.1 trillion as of the end of 2017. The bank is a global systemically important bank, as designated by the Financial Stability Board.

ICBC is a state-owned commercial bank headquartered in Beijing. It reported total assets of RMB26.0 trillion as of the end of 2017. The bank is a global systemically important bank, as designated by the Financial Stability Board.

PSBC is a state-owned commercial bank headquartered in Beijing. It reported total assets of RMB9.0 trillion as of the end of 2017.

BoCom is a state-owned commercial bank headquartered in Shanghai. It reported total assets of RMB9.0 trillion as of the end of 2017.

CITICB is a joint-stock commercial bank headquartered in Beijing. It reported total assets of RMB5.7 trillion as of the end of 2017.

CEB is a joint-stock commercial bank headquartered in Beijing. It reported total assets of RMB4.1 trillion as of the end of 2017.

CGB is a joint-stock commercial bank headquartered in Guangzhou city, Guangdong province. It reported total assets of RMB2.1 trillion as of the end of 2017.

CMB is a joint-stock commercial bank headquartered in Shenzhen. It reported total assets of RMB6.3 trillion as of the end of 2017.

CIB is a joint-stock commercial bank headquartered in Fuzhou city, Fujian province. It reported total assets of RMB6.4 trillion as of the end of 2017.

PAB is a joint-stock commercial bank headquartered in Shenzhen. It reported total assets of RMB3.2 trillion as of the end of 2017.

SPDB is a joint-stock commercial bank headquartered in Shanghai. It reported total assets of RMB6.1 trillion as of the end of 2017.

BONB is a city commercial bank headquartered in Ningbo city, Zhejiang province. It reported total assets of RMB1.0 trillion as of the end of 2017.

BONJ is a city commercial bank headquartered in Nanjing city, Jiangsu Province. It reported total assets of RMB1.1 trillion as of the end of 2017.

BOSC is a city commercial bank headquartered in Shanghai. It reported total assets of RMB1.8 trillion as of the end of 2017.

BOSZ is a city commercial bank headquartered in Suzhou city, Jiangsu Province. It reported total assets of RMB284 billion as of the end of 2017.

CZBANK is a joint-stock commercial bank headquartered in Hangzhou city, Zhejiang province. It reported total assets of RMB1.5 trillion as of the end of 2017.

GZRCB is a rural commercial bank headquartered in Guangzhou city, Guangdong Province. It reported total assets of RMB736 billion as of the end of 2017.

BTCN is headquartered in Shanghai. It reported total assets of RMB185 billion as of the end of 2017.

FBCN is headquartered in Shanghai. It reported total assets of RMB72 billion as of the end of 2017.

HSCN is headquartered in Shanghai. It reported total assets of RMB98 billion as of the end of 2017.

HBCN is headquartered in Shanghai. It reported total assets of RMB468 billion as of the end of 2017.

REGULATORY DISCLOSURES

For ratings issued on a program, series or category/class of debt, this announcement provides certain regulatory disclosures in relation to each rating of a subsequently issued bond or note of the same series or category/class of debt or pursuant to a program for which the ratings are derived exclusively from existing ratings in accordance with Moody's rating practices. For ratings issued on a support provider, this announcement provides certain regulatory disclosures in relation to the credit rating action on the support provider and in relation to each particular credit rating action for securities that derive their credit ratings from the support provider's credit rating. For provisional ratings, this announcement provides certain regulatory disclosures in relation to the provisional rating assigned, and in relation to a definitive rating that may be assigned subsequent to the final issuance of the debt, in each case where the transaction structure and terms have not changed prior to the assignment of the definitive rating in a manner that would have affected the rating. For further information please see the ratings tab on the issuer/entity page for the respective issuer on www.moodys.com.

For any affected securities or rated entities receiving direct credit support from the primary entity(ies) of this credit rating action, and whose ratings may change as a result of this credit rating action, the associated regulatory disclosures will be those of the guarantor entity. Exceptions to this approach exist for the following disclosures, if applicable to jurisdiction: Ancillary Services, Disclosure to rated entity, Disclosure from rated entity.

Regulatory disclosures contained in this press release apply to the credit rating and, if applicable, the related rating outlook or rating review.

The below contact information is provided for information purposes only. Please see the ratings tab of the issuer page at www.moodys.com, for each of the ratings covered, Moody's disclosures on the lead rating analyst and the Moody's legal entity that has issued the ratings.

Please see www.moodys.com for any updates on changes to the lead rating analyst and to the Moody's legal entity that has issued the rating.

Please see the ratings tab on the issuer/entity page on www.moodys.com for additional regulatory disclosures for each credit rating.

The first name below is the lead rating analyst for this Credit Rating and the last name below is the person primarily responsible for approving this Credit Rating.

Ray Heung
Senior Vice President
Financial Institutions Group
Moody's Investors Service Hong Kong Ltd.
24/F One Pacific Place
88 Queensway
Hong Kong
China (Hong Kong S.A.R.)
JOURNALISTS: 852 3758 1350
Client Service: 852 3551 3077

Minyan Liu
Associate Managing Director
Financial Institutions Group
JOURNALISTS: 852 3758 1350
Client Service: 852 3551 3077

Releasing Office:
Moody's Investors Service Hong Kong Ltd.
24/F One Pacific Place
88 Queensway
Hong Kong
China (Hong Kong S.A.R.)
JOURNALISTS: 852 3758 1350
Client Service: 852 3551 3077

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.

​​​​
Global Footer | Moody's