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
Você está prestes a deixar o site local do Brasil e será direcionado ao site global. Deseja continuar?
Não exibir esta mensagem novamente
Sim
Não
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 downgrades BP's rating to A2, stable outlook

23 Mar 2021

NOTE: On April 9, 2021, the press release was corrected as follows: In the debt list, under Downgrades, removed “Calhoun (County of) TX, Nav. Ind. Dev. Auth., BACKED Other Short-Term Senior Unsecured Revenue Bonds, Downgraded to VMIG 2 from VMIG 1”; “California Pollution Control Financing Auth., BACKED Other Short-Term Senior Unsecured Revenue Bonds, Downgraded to P-2 from P-1”; “Delaware County Industrial Dev. Auth., PA, BACKED Other Short-Term Senior Unsecured Revenue Bonds, Downgraded to P-2 from P-1”; ” Mississippi Business Finance Corporation, BACKED Other Short-Term Senior Unsecured Revenue Bonds, Downgraded to P-2 from P-1”; “Ohio (State of), BACKED Other Short-Term Senior Unsecured Revenue Bonds, Downgraded to VMIG 2 from VMIG 1”; “Port of Bellingham Industrial Dev. Corp., WA, BACKED Other Short-Term Senior Unsecured Revenue Bonds, Downgraded to P-2 from P-1”; and “Whiting (City of) IN, BACKED Other Short-Term Senior Unsecured Revenue Bonds, Downgraded to P-2 from P-1 and BACKED Other Short-Term Senior Unsecured Revenue Bonds, Downgraded to VMIG 2 from VMIG 1.” In the debt list, under Affirmations, added “Calhoun (County of) TX, Nav. Ind. Dev. Auth., BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed VMIG 1”; “California Pollution Control Financing Auth., BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed P-1”; “Delaware County Industrial Dev. Auth., PA, BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed P-1”; ” Mississippi Business Finance Corporation, BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed P-1”; “Ohio (State of), BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed VMIG 1”; “Port of Bellingham Industrial Dev. Corp., WA, BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed P-1;” and “Whiting (City of) IN, BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed P-1 and BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed VMIG 1.” Revised release follows.

London, 23 March 2021 -- Moody's Investors Service ("Moody's") has today downgraded to A2 from A1 the issuer rating of oil and gas company BP p.l.c. (BP) and the long-term debt ratings of its guaranteed subsidiaries. At the same time, Moody's downgraded to A3 from A2 the issuer rating of BP's wholly-owned subsidiary, BP Corporation North America, Inc. (BPCNAI). Concurrently, Moody's affirmed the Prime-1 commercial paper ratings of BP Capital Markets p.l.c. and BP Corporation North America, Inc. The outlook on all ratings was changed to stable from negative.

"The downgrade of BP's rating to A2 reflects our expectation that BP would struggle to meet our quantitative requirements for the previous A1 rating under mid-cycle conditions. Nevertheless, we believe that BP's financial profile will recover from the 2020 downturn over the next 12-18 months supported by improving market conditions and BP's measures to protect its cash flow generation and balance sheet initiated in 2020, thereby positioning it solidly in the A2 rating." says Sven Reinke, a Moody' Senior Vice President.

A full list of affected ratings can be found at the end of this Press Release.

RATINGS RATIONALE

Today's rating downgrade to A2 with stable outlook reflects Moody's view that BP's balance sheet suffered materially from the 2020 industry downturn which was driven by weak oil and gas prices and demand dislocation caused by the global pandemic. BP entered the pandemic already relatively weakly positioned in the previous A1 rating due to past high dividend payments and cash funded acquisitions. Nevertheless, the rating agency expects that BP's operating performance will improve notably in 2021-22. In addition to improving oil and gas prices, measures implemented by the company to protect earnings and cash flow generation and to strengthen its financial profile will support some recovery of BP's credit profile. BP has (i) materially reduced its organic capital expenditure to $12.0 billion in 2020 from $15.2 billion in 2019 and guides for combined inorganic and organic capital expenditure of around $13 billion in 2021; (ii) lowered its cash cost by 12% in 2020 and plans to achieve a pre-tax cost savings run rate of $2.5 billion in 2021 and $3-4 billion in 2023, relative to 2019, supported by its efficiency program 'Reinvent' which foresees 10,000 headcount reductions over 2020 -- 2022; (iii) introduced a $35 billion net debt target which compares to $38.9 billion at the end of 2020; and (iv) materially reduced its shareholder remuneration.

BP reduced its quarterly dividend by 50% to $0.0525 per share, which lowers the annual dividend payment to around $4.5 billion compared with around $9 billion previously. BP stated that it plans to keep the dividend at this lower fixed level going forward. In addition, BP achieved $6.6 billion of divestment proceeds during 2020 and expects further $4-6 billion of disposal proceeds in 2021 as part of its $25 billion H2 2020 -- 2025 disposal program.

These measures have lowered BP's cost base and should increase BP's cash flow generation in 2021-22. The company's actions alongside the improving oil and gas price environment should enable BP to regain some of its previous financial strength so that it should be solidly positioned in the A2 rating over the next 12-18 months. Moody's expect that BP's Moody's adjusted retained cash flow (RCF) to net debt metric will rise from an estimated 9% in 2020 to around 22% in 2021 under a $50/bbl Brent oil price scenario. The metric is projected to further improve to around 26% in 2022 under Moody's $55/bbl Brent oil price 2022 base case scenario. While the projected 2022 RCF/net debt metric could have been sufficient in the past to justify an A1 rating, Moody's believes that the longer-term risks of the energy transition require that even the largest and most diversified integrated oil and gas companies need to have stronger financial profiles to mitigate these risks to retain their overall credit quality.

In addition, based on BP's financial policy to return at least 60% of surplus cash flow to shareholders via share buybacks once the $35 billion net debt target has been reached, key credit metrics are unlikely to improve quickly in a more supportive oil and gas price environment. It is also worth noting that BP's forecasted 2021-22 key credit metrics remain impacted by material Moody's debt adjustments. These adjustments relate to the 2020 $11.9 billion hybrid issuance, Deepwater Horizon liabilities and the pension deficit, which increases the company's Moody's adjusted net debt by around $25 billion in total compared to BP's reported net debt.

Despite the decision to downgrade, the A2 rating also incorporates the rating agency's assessment that BP's updated strategy, the decisions to target lower net debt and to rebase the dividend should enable the company to balance different priorities including restoring its strong financial profile, continued shareholder remuneration, ongoing investments into its core oil and gas operations and rising investment need for its low-carbon operations. While investing increasingly substantial capital in order to gradually but decisively change the company's business mix towards low carbon operations is credit positive in the longer term in Moody's view, the rating agency also considers the meaningful execution risk.

ESG CONSIDERATIONS

The environmental considerations incorporated into the rating agency's credit analysis of BP are primarily related to potential CO2 regulations, and also include natural and man-made hazards. Social risks are primarily related to demographic and societal trends, and responsible production. These risks could influence regional moves towards less carbon-intensive sources of energy, which could reduce demand for oil, gas and refined products. The oil and gas sector is exposed to rising litigation risk, which is an event risk related to climate change and related disclosures. Future laws and regulations that could accelerate the pace of energy transition or changes in technology that affect demand for hydrocarbons represent growing risks for the company.

BP's A2 rating recognises that the company has materially changed its strategy for energy transition, with and increasing capital budget for investments into low carbon businesses. BP already has an established and profitable lower carbon business centred around its convenience & mobility segment and now further expands into low carbon electricity and energy. However, with the accelerating energy transition and increasing uncertainties about the future demand for fossil fuels, the business risk for BP and the industry is increasing. These environmental and social risks require a prudent and conservative financial policy and BP's lower dividend payments and newly introduced net debt target mitigate these emerging risks to a degree.

LIQUIDITY

BP has strong liquidity, supported by a large, although volatile, base of internally generated cash flow, sizeable cash balances and committed borrowing facilities. The company reported $31.1 billion in cash and cash equivalents and disclosed that its total liquidity was around $44 billion (including undrawn revolving credit facilities) as of the end of December 2020. BP's liquidity position as strong despite material debt maturities and executed debt repurchases of around $9.4 billion in 2021 considering not only the large cash balance but also expected disposal proceeds of $4 -- $6 billion in 2021 of which around $4 billion have already been announced or completed.

RATIONALE FOR STABLE OUTLOOK

The stable outlook reflects the company's improved resilience due to the efficiency and cash flow protection measures taken in 2020 and its stated commitment to maintain strong financial credit metrics and Moody's expectation that BP's credit metrics will improve notably in 2021-22. The stable outlook also reflects the rating agency's assessment that at this point the company's strategy sufficiently mitigates the emerging threat to its profitability and cash flow generation from growing efforts by many nations to mitigate the impacts of climate change through tax and regulatory policies that are intended to shift global demand towards low carbon sources of energy.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS

BP's rating is unlikely to be upgraded in the short-term considering today's rating decision. However, positive rating pressure would build should BP make progress towards successfully establishing a large-scale and profitable low carbon business and improve its cash flow generation, with RCF/net debt solidly positioned above 30%.

A deterioration of BP's financial profile, with RCF/net debt remaining sustainably below 20% as a result of a combination of lower oil prices, high shareholder remuneration and a failure to reduce its net debt level, could exert negative pressure on BP's stable outlook and A2 rating. The rating could also be under negative pressure should the material capital investments into the expansion of low carbon operations over the next decade, not result in meaningful profit and cash flow generation growth of BP's convenience & mobility and low carbon electricity and energy segments.

LIST OF AFFECTED RATINGS

Downgrades:

..Issuer: BP Corporation North America, Inc.

....Long-Term Issuer Rating, Downgraded to A3 from A2

..Issuer: BP p.l.c.

....Long-Term Issuer Rating, Downgraded to A2 from A1

..Issuer: Atlantic Richfield Company

....BACKED Long-Term Senior Unsecured Regular Bond/Debenture, Downgraded to A2 from A1

..Issuer: BP Capital Markets America Inc

....BACKED Long-Term Senior Unsecured Regular Bond/Debenture, Downgraded to A2 from A1

....BACKED Long-Term Senior Unsecured Shelf, Downgraded to (P)A2 from (P)A1

..Issuer: BP Capital Markets B.V.

....BACKED Long-Term Senior Unsecured Medium-Term Note Program, Downgraded to (P)A2 from (P)A1

....BACKED Long-Term Senior Unsecured Regular Bond/Debenture, Downgraded to A2 from A1

..Issuer: BP Capital Markets p.l.c.

....BACKED Long-Term Junior Subordinated Regular Bond/Debenture, Downgraded to Baa1 from A3

....BACKED Long-Term Medium-Term Note Program, Downgraded to (P)A2 from (P)A1

....BACKED Long-Term Senior Unsecured Regular Bond/Debenture, Downgraded to A2 from A1

....BACKED Long-Term Senior Unsecured Shelf, Downgraded to (P)A2 from (P)A1

..Issuer: Calhoun (County of) TX, Nav. Ind. Dev. Auth.

....BACKED Long-Term Senior Unsecured Revenue Bonds, Downgraded to A2 from A1

..Issuer: California Pollution Control Financing Auth.

....BACKED Long-Term Senior Unsecured Revenue Bonds, Downgraded to A2 from A1

..Issuer: Delaware County Industrial Dev. Auth., PA

....BACKED Long-Term Senior Unsecured Revenue Bonds, Downgraded to A2 from A1

..Issuer: Mississippi Business Finance Corporation

....BACKED Long-Term Senior Unsecured Revenue Bonds, Downgraded to A2 from A1

..Issuer: Ohio (State of)

....BACKED Long-Term Senior Unsecured Revenue Bonds, Downgraded to A2 from A1

..Issuer: Port of Bellingham Industrial Dev. Corp., WA

....BACKED Long-Term Senior Unsecured Revenue Bonds, Downgraded to A2 from A1

..Issuer: Standard Oil Company

....BACKED Long-Term Senior Unsecured Regular Bond/Debenture, Downgraded to A2 from A1

..Issuer: Whiting (City of) IN

....BACKED Long-Term Senior Unsecured Revenue Bonds, Downgraded to A2 from A1

Affirmations:

..Issuer: BP Capital Markets p.l.c.

....BACKED Short-Term Commercial Paper, Affirmed P-1

....BACKED Other Short Term, Affirmed (P)P-1

..Issuer: BP Corporation North America, Inc.

....BACKED Short-Term Commercial Paper, Affirmed P-1

..Issuer: Calhoun (County of) TX, Nav. Ind. Dev. Auth.

....BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed VMIG 1

..Issuer: California Pollution Control Financing Auth.

....BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed P-1

..Issuer: Delaware County Industrial Dev. Auth., PA

....BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed P-1

..Issuer: Mississippi Business Finance Corporation

....BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed P-1

..Issuer: Ohio (State of)

....BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed VMIG 1

..Issuer: Port of Bellingham Industrial Dev. Corp., WA

....BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed P-1

..Issuer: Whiting (City of) IN

....BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed P-1

....BACKED Other Short-Term Senior Unsecured Revenue Bonds, Affirmed VMIG 1

Outlook Actions:

..Issuer: Atlantic Richfield Company

....Outlook, changed to Stable from Negative

..Issuer: BP Capital Markets America Inc

....Outlook, changed to Stable from Negative

..Issuer: BP Capital Markets B.V.

....Outlook, changed to Stable from Negative

..Issuer: BP Capital Markets p.l.c.

....Outlook, changed to Stable from Negative

..Issuer: BP Corporation North America, Inc.

....Outlook, changed to Stable from Negative

..Issuer: BP p.l.c.

....Outlook, changed to Stable from Negative

..Issuer: Standard Oil Company

....Outlook, changed to Stable from Negative

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Integrated Oil and Gas Methodology published in September 2019 and available at https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_1172345. Alternatively, please see the Rating Methodologies page on www.moodys.com for a copy of this methodology.

REGULATORY DISCLOSURES

For further specification of Moody's key rating assumptions and sensitivity analysis, see the sections Methodology Assumptions and Sensitivity to Assumptions in the disclosure form. Moody's Rating Symbols and Definitions can be found at: https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_79004.

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.

The ratings have been disclosed to the rated entity or its designated agent(s) and issued with no amendment resulting from that disclosure.

These ratings are solicited. Please refer to Moody's Policy for Designating and Assigning Unsolicited Credit Ratings available on its website www.moodys.com.

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

Moody's general principles for assessing environmental, social and governance (ESG) risks in our credit analysis can be found at https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_1243406.

At least one ESG consideration was material to the credit rating action(s) announced and described above.

The Global Scale Credit Rating on this Credit Rating Announcement was issued by one of Moody's affiliates outside the EU and is endorsed by Moody's Deutschland GmbH, An der Welle 5, Frankfurt am Main 60322, Germany, in accordance with Art.4 paragraph 3 of the Regulation (EC) No 1060/2009 on Credit Rating Agencies. Further information on the EU endorsement status and on the Moody's office that issued the credit rating is available on www.moodys.com.

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.

Sven Reinke
Senior Vice President
Corporate Finance Group
Moody's Investors Service Ltd.
One Canada Square
Canary Wharf
London E14 5FA
United Kingdom
JOURNALISTS: 44 20 7772 5456
Client Service: 44 20 7772 5454

Peter Firth
Associate Managing Director
Corporate Finance Group
JOURNALISTS: 44 20 7772 5456
Client Service: 44 20 7772 5454

Releasing Office:
Moody's Investors Service Ltd.
One Canada Square
Canary Wharf
London E14 5FA
United Kingdom
JOURNALISTS: 44 20 7772 5456
Client Service: 44 20 7772 5454

No Related Data.
© 2021 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 CREDIT RATINGS AFFILIATES ARE THEIR 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 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 APPLICABLE MOODY’S RATING SYMBOLS AND DEFINITIONS PUBLICATION FOR INFORMATION ON THE TYPES OF CONTRACTUAL FINANCIAL OBLIGATIONS ADDRESSED BY MOODY’S 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 $5,000,000. 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 JPY550,000,000.

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