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
Chystáte se opustit lokální stránky Czech Proto budete přesměrování na celosvětové stránky, které jsou dostupné?
Nezobrazujte znovu tuto zprávu
Ano
Ne
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 changes outlook for six Chinese banks to negative

 The document has been translated in other languages

27 Mar 2020

Hong Kong, March 27, 2020 -- Moody's Investors Service has today changed its outlook to negative from stable and affirmed the ratings of the following banks:

• The Baa3 long-term foreign and local currency deposit ratings of Bank of Nanjing Co., Ltd.

• The Baa2 long-term foreign and local currency deposit ratings of Bank of Ningbo Co., Ltd.

• The Ba1 long-term foreign and local currency deposit ratings for Bank of Suzhou Co., Ltd.

• The Baa2 long-term foreign and local currency deposit ratings of Guangzhou Rural Commercial Bank Co., Ltd.

• The Baa3 long-term foreign and local currency deposit ratings for Shenzhen Rural Commercial Bank Corporation Limited

• The Baa1 long-term foreign and local currency deposit ratings and local currency senior unsecured debt rating of Fubon Bank (China) Co., Ltd. (Fubon China)

A full list of the affected ratings can be found at the bottom of this press release.

RATINGS RATIONALE

The rapid and widening spread of the coronavirus outbreak, deteriorating global economic outlook, falling oil prices, and asset price declines are creating a severe and extensive credit shock across many sectors, regions and markets. The China banking sector has been affected by the shock through its exposure to highly affected regions and industries. At the height of the outbreak in late January and February, government restrictions and consumer caution led to a drop in economic activity in the country. Moody's regards the coronavirus outbreak as a social risk under its environmental, social and governance (ESG) framework, given the substantial implications for public health and safety.

Although economic activity in China has resumed, the recovery is tepid and is expected to remain so, adding to existing strain on Chinese banks' operating environment following two months of slow economic activity. The lifting of many of the restrictions intended to reduce the spread of the virus should aid a rebound in the second quarter as people return to work. However, the significant supply chain disruptions in the first quarter and weak external demand, particularly in the second quarter, will weigh on capacity utilization.

Moody's expects the slow improvement in consumer demand will temper the pace of recovery in the second half of the year. Fiscal easing focused on increasing household spending will likely help lift domestic demand in the second half of the year, but investment growth, particularly in the private sector, will remain soft. At the same time, Moody's expects further substantial fiscal policy easing may be forthcoming after the next National People's Congress meeting, and monetary and fiscal policy will support a steady recovery for 2021.

The change in outlook to negative for the affected banks reflects Moody's view that China's economic growth will slow in 2020 and that the resultant risk of deterioration in the banks' credit quality has heightened, pressuring the banks' baseline credit assessments (BCAs).

Moody's expects credit profiles will weaken especially among banks with less-diversified loan exposures and, for some, with weak financial profiles relative to peer banks at the same BCA level.

Banks whose outlook has been changed to negative are those that have portfolios that are more sensitive to economic downturns, either due to their higher exposure to small and micro enterprises or due to less-diversified portfolios with higher lending exposure to the most affected sectors or regions. In addition, the regional banks operate mainly in cities whose manufacturing and trade-related sectors are vulnerable to a potential global contraction in demand. As a result, these banks will face higher asset quality and profitability pressures as the impact of coronavirus outbreak on the economy continues and intensifies. Some of these banks have also recorded relatively strong growth in recent years, posing unseasoned risk to their loan portfolios and pressuring capital ratios.

The government has announced various relief programs and fiscal and monetary measures to support entities in the real economy, including sectors and small and micro enterprises most affected by the coronavirus outbreak.

These measures aim to reduce the economic shock by providing liquidity, lowering operating expenses and financing costs, alleviating imminent repayment pressure, boosting demand and supporting factories' resumption of production activities. While these measures will help delay the recognition of asset quality deterioration and formation of non-performing loans (NPLs), their effectiveness in curbing materially higher NPLs will depend on the severity and duration of the outbreak and the implications of the outbreak for the global economy.

Rating rationale for individual banks

Bank of Nanjing

Bank of Nanjing has considerable exposure to the manufacturing and wholesale and retail sectors, which are meaningfully affected by the coronavirus outbreak. The bank's exposure to small and micro enterprises is also high, implying potential asset risk if the economic slowdown is prolonged. The bank has allocated 80% of its gross loans in Jiangsu province and 31% in Nanjing at the end of June 2019.

While affirming its deposit ratings and BCA, Moody's continues to factor in a high level of government support, resulting in a two-notch uplift from the bank's ba2 BCA.

Bank of Ningbo

Bank of Ningbo has significant exposures to small and micro enterprises and to the manufacturing and wholesale and retail sectors. It has a relatively concentrated portfolio in Zhejiang Province, which accounted for 63% of its loan book at the end of June 2019. While the bank has managed the risk related to its small and micro enterprises portfolio well historically, Zhejiang Province is a manufacturing hub and the slowing global supply chain will test small and micro enterprises in the region.

While affirming its deposit ratings and BCA, Moody's continues to factor in a high level of government support, resulting in a two-notch uplift from the bank's ba1 BCA.

Bank of Suzhou

Bank of Suzhou's asset quality is sensitive to economic downturns and slowing global supply chains, due to its large exposure to small and micro enterprises and the manufacturing sector, and its relatively concentrated portfolio geographically in the city of Suzhou, a manufacturing hub with many exported-oriented companies. Loan prime rate reform will also pressure the bank's profitability.

While affirming its deposit ratings and BCA, Moody's continues to factor in a moderate level of government support, resulting in a one-notch uplift from the bank's ba2 BCA.

Guangzhou Rural Commercial Bank

Guangzhou Rural Commercial Bank has a large exposure to small and micro enterprises and weak profitability when compared to its rated peers. It also has sizable exposures to wholesale and retail sector, which are more vulnerable to the impact of the coronavirus outbreak. It has a relatively concentrated portfolio in Guangzhou city and Guangdong Province.

The bank's loan growth has also outpaced the industry average, pressuring its asset quality and capital ratios. While affirming the bank's deposit ratings and BCA, Moody's continues to factor in a high level of government support, resulting in a two-notch uplift from the bank's ba1 BCA.

Shenzhen Rural Commercial Bank

Shenzhen Rural Commercial Bank's loan growth has consistently outpaced the industry average over the past 3 years, resulting in unseasoned asset risk. The bank also has large exposures to small and micro enterprises and sizable exposures to the wholesale and retail and commercial real estate sectors, which are more vulnerable to the impact of the coronavirus outbreak.

While affirming the bank's deposit ratings and BCA, Moody's continues to factor in a moderate level of government support, resulting in a one-notch uplift from the bank's ba1 BCA.

Fubon China

Fubon China's credit concentration in large borrowers is high relative to its capital base. The bank's rapid loan growth in 2019 implies unseasoned risk and drags down its capital ratios. The bank also faces expansion risk due to its rapid loan growth in Central China, including Hubei Province, Hunan Province and Henan Province since 2018.

While affirming its deposit ratings and BCA, Moody's continues to factor in a very high level of support from Fubon Financial Holding Co., Ltd. (Baa1 stable) and Taipei Fubon Commercial Bank Co Ltd (A2 stable, BCA baa2), resulting in four-notch uplift from the bank's ba2 BCA.

Moody's does not have particular governance concerns for the affected banks, and their governance practices follow those that are stipulated in the act governing their respective entities.

WHAT COULD MOVE THE RATING UP/DOWN

Given the negative outlook on the affected banks' ratings, their BCAs and deposit ratings are unlikely to be upgraded. However, the outlook could change to stable if macro-economic conditions in China improve and the affected banks maintain sound credit metrics in line with their current ratings and assessments.

The banks' BCAs would face negative pressure should the operating environment weaken materially, for example if China's economic growth moderates further as the impact of the virus prolongs or if corporate financial leverage increases significantly as a result of loose monetary policies.

The banks' BCAs could also experience downward pressure if the banks' (1) asset quality and profitability weaken materially; (2) RWAs grow rapidly and lead to weaker capital positions; or (3) liquidity conditions deteriorate.

For Bank of Nanjing, Bank of Ningbo, Bank of Suzhou, Guangzhou Rural Commercial Bank and Shenzhen Rural Commercial Bank, there could be downward pressure on their ratings should the Chinese government's capability or willingness to support the banks weaken.

For Fubon China, its rating could be downgraded if Fubon Financial Holding and Taipei Fubon Commercial Bank's capacity to support the bank weakens.

Affected ratings and assessment list:

Bank of Nanjing Co., Ltd.

- Affirmed Baa3 long-term foreign and local currency deposit ratings, outlook changed to negative from stable

- Affirmed P-3 short-term foreign and local currency deposit ratings

- Affirmed Baa3(cr)/P-3(cr) long term/ short-term Counterparty Risk Assessment

- Affirmed Baa3/P-3 long-term/short-term local/foreign currency Counterparty Risk Ratings

- Affirmed ba2 BCA and Adjusted BCA

- Outlook changed to negative from stable

Bank of Ningbo Co., Ltd.

- Affirmed ba1 BCA

- Affirmed ba1 Adjusted BCA

- Affirmed Baa2 long-term foreign and local currency deposit ratings, outlook changed to negative from stable

- Affirmed P-2 short-term foreign and local currency deposit ratings

- Affirmed Baa2(cr)/P-2(cr) long term/ short-term Counterparty Risk Assessment

- Affirmed Baa2/P-2 long term/ short-term foreign and local currency Counterparty Risk Ratings

- Outlook changed to negative from stable

Bank of Suzhou Co., Ltd.

- Affirmed ba2 BCA

- Affirmed ba2 Adjusted BCA

- Affirmed Ba1 long-term foreign and local currency deposit ratings, outlook changed to negative from stable

- Affirmed Ba1 long-term foreign and local currency issuer ratings, outlook changed to negative from stable

- Affirmed NP short-term foreign and local currency deposit and issuer ratings

- Affirmed Baa3(cr)/P-3(cr) long term/ short-term Counterparty Risk Assessment

- Affirmed Baa3/P-3 long term/ short-term foreign and local currency Counterparty Risk Ratings

- Outlook changed to negative from stable

Guangzhou Rural Commercial Bank Co., Ltd.

- Affirmed ba1 BCA

- Affirmed ba1 Adjusted BCA

- Affirmed Baa2 long-term foreign and local currency deposit ratings, outlook changed to negative from stable

- Affirmed P-2 short-term foreign and local currency deposit ratings

- Affirmed Baa2(cr)/P-2(cr) long term/ short-term Counterparty Risk Assessment

- Affirmed Baa2/P-2 long term/ short-term foreign and local currency Counterparty Risk Ratings

- Outlook changed to negative from stable

Shenzhen Rural Commercial Bank Corporation Limited

- Affirmed ba1 BCA

- Affirmed ba1 Adjusted BCA

- Affirmed Baa3 long-term foreign and local currency deposit ratings, outlook changed to negative from stable

- Affirmed P-3 short-term foreign and local currency deposit ratings

- Affirmed Baa2(cr)/P-2(cr) long term/ short-term Counterparty Risk Assessment

- Affirmed Baa2/P-2 long term/ short-term foreign and local currency Counterparty Risk Ratings

- Outlook changed to negative from stable

Fubon Bank (China) Co., Ltd.

- Affirmed Baa1 for long-term local and foreign currency deposit ratings, outlook changed to negative from stable

- Affirmed P-2 for short-term local and foreign currency deposit ratings

- Affirmed Baa1 for long-term local currency senior unsecured debt, outlook changed to negative from stable

- Affirmed Baa1 for long-term local and foreign currency Issuer Rating, outlook changed to negative from stable

- Affirmed A3/P-2 for long-term/short-term local and foreign currency Counterparty Risk Ratings

- Affirmed A3(cr)/P-2(cr) for long-term/short-term Counterparty risk assessment

- Affirmed baa1 for Adjusted BCA

- Affirmed ba2 for BCA

- Outlook changed to negative from stable

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Banks Methodology published in November 2019. Please see the Rating Methodologies page on www.moodys.com for a copy of this methodology.

BANK PROFILES

Bank of Nanjing is a city commercial bank headquartered in Nanjing, Jiangsu Province. The bank reported total assets of RMB1,348 billion as of 30 June 2019.

Bank of Ningbo is a city commercial bank headquartered in Ningbo, Zhejiang Province. The bank reported total assets of RMB1,205 billion as of 30 June 2019.

Bank of Suzhou is a city commercial bank headquartered in Suzhou, Jiangsu Province. It reported total assets of RMB341 billion as of the end of June 2019.

Guangzhou Rural Commercial Bank is a rural commercial bank headquartered in Guangzhou city, Guangdong Province. It reported total assets of RMB853 billion as of the end of June 2019.

Shenzhen Rural Commercial Bank is a rural commercial bank headquartered in Shenzhen with reported assets totaled RMB316.9 billion at the end of 2018.

Fubon China is headquartered in Shanghai. It reported total assets of RMB71 billion as of the end of 2018.

The local market analyst for Bank of Nanjing Co., Ltd. is Yan Li, +86.10.6319.6561

The local market analyst for Bank of Ningbo Co., Ltd., Guangzhou Rural Commercial Bank Co., Ltd., Bank of Suzhou Co., Ltd. and Fubon Bank (China) Co., Ltd. ratings is Yulia Wan, +86 (21) 2057 4017.

REGULATORY DISCLOSURES

For ratings issued on a program, series, category/class of debt or security this announcement provides certain regulatory disclosures in relation to each rating of a subsequently issued bond or note of the same series, category/class of debt, security 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.

Moody's considers a rated entity or its agent(s) to be participating when it maintains an overall relationship with Moody's. Unless noted in the Regulatory Disclosures as a Non-Participating Entity, the rated entities are participating and the rated entities or their agent(s) generally provide Moody's with information for the purposes of its ratings process. Please refer to www.moodys.com for the Regulatory Disclosures for each credit rating action under the ratings tab on the issuer/entity page and for details of Moody's Policy for Designating Non-Participating Rated Entities.

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, CFA
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.
© 2020 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/OR ITS CREDIT RATINGS AFFILIATES ARE MOODY'S CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES, AND MATERIALS, PRODUCTS, SERVICES AND INFORMATION PUBLISHED BY MOODY'S (COLLECTIVELY, "PUBLICATIONS") MAY INCLUDE SUCH  CURRENT OPINIONS. MOODY'S INVESTORS SERVICE 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 INVESTORS SERVICE CREDIT RATINGS. CREDIT RATINGS DO NOT ADDRESS ANY OTHER RISK, INCLUDING BUT NOT LIMITED TO: LIQUIDITY RISK, MARKET VALUE RISK, OR PRICE VOLATILITY. CREDIT RATINGS, NON-CREDIT ASSESSMENTS ("ASSESSMENTS"), AND  OTHER 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. AND/OR ITS AFFILIATES. MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS AND PUBLICATIONS DO NOT CONSTITUTE OR PROVIDE INVESTMENT OR FINANCIAL ADVICE, AND MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS AND  PUBLICATIONS ARE NOT AND DO NOT PROVIDE RECOMMENDATIONS TO PURCHASE, SELL, OR HOLD PARTICULAR SECURITIES. MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS AND  PUBLICATIONS DO NOT COMMENT ON THE SUITABILITY OF AN INVESTMENT FOR ANY PARTICULAR INVESTOR. MOODY'S ISSUES ITS CREDIT RATINGS, ASSESSMENTS AND OTHER OPINIONS AND PUBLISHES  ITS 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, ASSESSMENTS, OTHER OPINIONS, AND 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, ASSESSMENTS, OTHER OPINIONS OR  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.

MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS AND 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 its 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, ASSESSMENT, 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 credit rating, agreed to pay to Moody's Investors Service, Inc. for credit ratings opinions and services rendered by it fees ranging from $1,000 to approximately $2,700,000. MCO and Moody's investors Service also maintain policies and procedures to address the independence of Moody's Investors Service credit ratings and credit rating processes. Information regarding certain affiliations that may exist between directors of MCO and rated entities, and between entities who hold credit ratings from Moody's Investors Service 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 credit rating, agreed to pay to MJKK or MSFJ (as applicable) for credit 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.

​​​​​​​​