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

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

PLEASE READ AND SCROLL DOWN!

 

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

 

Terms of One-Time Website Use

 

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

 

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

 

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

 

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

 

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

I AGREE
Rating Action:

Moody's puts ICBCA on negative outlook; reviews HKMC

03 Jun 2009

Hong Kong, June 03, 2009 -- Moody's Investors Service has changed to negative from stable the outlook of the C- bank financial strength rating (BFSR) and the A2 local and foreign currency deposit ratings of Industrial & Commercial Bank of China (Asia) (ICBCA). There is no change to the bank's short-term local and foreign currency deposit ratings of Prime-1 (P-1). Meanwhile, Moody's has changed to negative from stable the outlook of the A2 foreign currency backed senior unsecured debt rating of the bank's wholly-owned subsidiary, ICBCA (C.I.) Limited.

In addition, Moody's has placed on review for possible downgrade the Aaa long-term local and foreign currency senior unsecured bond ratings, Aa1 long-term foreign currency issuer rating, and Aaa long-term local currency issuer rating of the Hong Kong Mortgage Corporation (HKMC). There is no change to its P-1 short-term local and foreign currency senior unsecured bond ratings and short-term local and foreign currency issuer ratings.

The rating actions follow a comprehensive review of all rated banks in Hong Kong that addressed both (i) scenario analysis that tested the banks' sensitivity to various credit loss assumptions and (ii) the potential for the closer alignment of bank and sovereign credit risk as a result of the global financial crisis. No other bank ratings in Hong Kong have been affected, underlining their generally resilient financial profiles, even in the face of a severe economic downturn.

Leo Wah, a Moody's Vice President and Senior Analyst, explains the rating actions:

ICBCA ON NEGATIVE OUTLOOK

The change in the outlook on the BFSR reflects Moody's concern that ICBCA's core capital level, which is low by the standard of the banks in Hong Kong, could be further weakened by the expected deterioration in credit quality and other impairment charges. In determining the BFSR, Moody's assesses the bank's capital level after incorporating expected losses on its risky assets using scenario analysis. The application of a forward-looking view on the bank's capital ratio is in line with Moody's reports "Calibrating Bank Ratings in the Context of the Global Financial Crisis" and "Moody's Approach to Estimating Bank Credit Losses and their Impact on Bank Financial Strength Ratings", published in February and May respectively this year. Both are available on www.moodys.com.

To determine the further rating action on ICBCA's BFSR, Moody's will examine its success in strengthening its capital base -- either by capital market activities or internal capital generation -- and its performance amid current challenging banking conditions. While its total CAR was solid at 13.6% as of the end of 2008, its Tier-1 ratio of 7.3% ranked last among Moody's rated banks in Hong Kong (after adjustments for capital injections by other banks, if any).

An estimate of credit losses shows that its capital would deteriorate to a level under which its current C- BFSR would not be justified. ICBCA's capital ratio could also be adversely affected by the increase in loan growth, the impairment charges of its investment portfolio, and other impairment charges. The earnings outlook is also underscored by weak wealth management and fee income, very low interest rates, and keen competition for good quality loans, making it possible that its capital base could be eroded.

A failure to increase its capital base, in particular core capital, could result in a rating downgrade. An increase in tier-1 capital close to the average of the small and medium sized banks, about 11%, and a sustained improvement in profitability could result in a change in outlook back to stable.

Possible rating actions on the bank's deposit and debt ratings would hinge on potential changes in the BFSR and the probability of systemic and parental support, which could act as offsetting factors.

REVIEW OF HKMC

The review is due to the consideration that financial Government Related Issuers (GRIs) -- with policy roles -- would usually be rated at or below the government level. There is a strong intrinsic economic relationship between HKMC and the Hong Kong Government, given its status as a mortgage product provider and the importance of land and property in the Hong Kong economy. Such a situation means it is unlikely a rating would be assigned below the Aa2 local currency government bond rating of Hong Kong.

The rating review will focus on the role that HKMC plays in the local economy, government support, and an evaluation of whether HKMC could be supported with priority over the government's own debt obligations. Moody's believes financial GRIs that play a unique and critical role in the economy may benefit from additional uplift because the governments can make use of their non-fiscal measures to support these institutions.

For more information, see Moody's recent report "Financial Crisis More Closely Aligns Bank Credit Risk and Government Ratings in Non-Aaa Countries," available on www.moodys.com.

HKMC is considered a Government Related Issuer ("GRI") because it is 100% owned by the Hong Kong Government.

Moody's expects to conclude its review of the ratings of HKMC over the next few weeks.

BFSRs OF OTHER HONG KONG BANKS REMAIN RESILIENT IN THE FACE OF ASSET QUALITY DETERIORATION

Moody's bank financial strength ratings (BFSRs) address the stand-alone credit profile of a bank and do not incorporate the potential for third-party support or transfer risk. As the global financial crisis has continued, increasing the potential for multi-period asset quality losses and uncertain access to capital, Moody's has increasingly focused on scenario analysis that focuses on the ability of banks to absorb potential credit costs from internal resources. The rating agency's approach has been outlined in the February 2009 report "Calibrating Bank Ratings in the Context of the Global Financial Crisis".

As a result of a review of the Hong Kong banking system, Moody's has concluded that, with the exception of ICBCA, BFSRs remain resilient in the face of the agency's loan loss assumptions. This outcome is a reflection of their generally strong capital bases and sound risk-adjusted earnings. The banks also enjoy very strong liquidity positions by international standards.

As an open economy which places emphasis on highly cyclical industries, Hong Kong is inevitably exposed to the current global economic shock. The operating environment, such as the credit cycle and earnings outlook, will in the short term continue to be difficult, as indicated by the negative outlook on the Hong Kong banking system. However, Moody's expects the banks in Hong Kong to be in a much better position to survive this acute test than most of their counterparts, thanks mainly to their experience in dealing with several crises after 1997 and their solid financials. They also receive help from the financially-strong Hong Kong Government as mentioned above.

The banking system in Hong Kong is solid, as indicated by the rated banks' weighted average B BFSR, which is among the highest globally. Asset quality remains good. Indicators have shown signs of weakness since 4Q08. The NPL ratio increased to 1.24% in 2008 from 0.85% in 2007. While asset quality should further deteriorate in 2009, the level should not exceed the highest level recorded since the Asia financial crisis in 1997. The banks tightened their credit controls rather early, with a particular focus on identifying, and subsequently cutting exposures to, risky customers. The capital adequacy ratio remains sound, at 14.8% as of the end of 2008 (Tier-1 ratio: 11.2%), versus 13.4% a year ago. The rated banks' balance sheets remain liquid with a loan-to-deposit ratio of about 56% as of the end of 2008.

CREDIT RATINGS OF OTHER HONG KONG BANKS NOT AFFECTED BY SYSTEMIC SUPPORT REVIEW

Moody's credit ratings incorporate a building block approach that start with the assignment of a BFSR and then layer on the potential for third-party support and transfer risk. The rating agency has previously commented that it is conducting a global review of how the global financial crisis may have affected the support capacity of governments and central banks for their banking systems in the Special Comment titled "Financial Crisis More Closely Aligns Bank Credit Risk and Government Ratings in Non-Aaa Countries".

Consistent with the analytical criteria specified in that report and in light of Hong Kong's current situation and future prospects, Moody's has concluded that the systemic support input for Hong Kong bank ratings should remain at the previous Aaa level, which is two notches above Hong Kong's local currency government debt rating of Aa2.

Accordingly, Hong Kong banks' debt and deposit ratings will not be affected by the reassessment of the systemic support level.

Moody's assesses Hong Kong to be a low support country, which reflects a market discipline-led approach during periods of normal financial market conditions. However, during the current crisis, the Hong Kong government has clearly demonstrated its willingness, capability, and thoroughness in supporting the banking sector, to maintain financial system stability. Actions taken include 1) in September 2008, five temporary measures were announced to increase liquidity in the interbank market; 2) in October 2008, it announced its guarantee of the repayment of all qualified customer deposits held with the authorized institutions until the end of 2010; 3) in October 2008, a Contingent Bank Capital Facility to make capital available to locally incorporated licensed banks was set up; and 4) in 2008, loan guarantee schemes to encourage banks to lend to small- to medium-sized enterprises were enhanced.

In the Special Comment, Moody's points out that the appropriate reference rating for the capacity of a national government to provide support to banks typically would be the government's own debt rating -- at Aa2 for Hong Kong. Moody's also believes that, for the purpose of determining systemic support capacity, this rating should be adjusted, usually positively, to reflect the non-fiscally dependent measures that both central banks and governments can deploy to support banks.

In deciding whether the local currency-denominated deposit of a bank can be rated higher than the local currency-denominated debt issued by the national government due to systemic support, Moody's considers a number of factors for each banking system. These are the size of the banking sector relative to the government's resources, the level of stress in the banking system and in the economy, the foreign currency obligations of the banking system relative to the government's own foreign currency resources, political and historical patterns, and the possibility of any drastic shift in government priorities.

Hong Kong banking assets equal around 641% of GDP, a high level, mainly attributable to Hong Kong being an international finance centre. The Hong Kong Government has very strong financial strength, with little debt outstanding. This allows the government a high degree of flexibility in extending support to the banking system through liquidity and capital assistance. The banking system does not rely substantially on the supply of foreign currency to fund its operations, with most of the loans in local currency.

With regard to political and historical patterns, necessary procedures and policy instruments to enhance the healthiness of the financial system problems have been established and periodically modified. In Moody's view, in case of need, support is likely to be provided especially for the financial system's deposit-taking banks. The support framework for problematic banks aims to maintain the stability of the banking and payment systems.

Moody's also takes into consideration potential support from China, which possesses substantial foreign exchange reserves.

PREVIOUS RATING ACTIONS AND PRINCIPAL METHODOLOGIES

The last rating actions for Bank of China (Hong Kong) (BOCHK), Chiyu Banking Corporation (CBC), ICBCA, and Nanyang Commercial Bank (NCB) were on May 30, 2007 when the outlooks on their long-term local and foreign currency deposit ratings were changed to stable from positive.

The last rating action for Bank of East Asia (BEA) was on March 9, 2009 when its BFSR was downgraded to C-.

The last rating action for China Construction Bank (Asia) (CCBA) was on July 27, 2007, when it was assigned a BFSR of C and its long-term local and foreign currency deposit ratings were downgraded.

The last rating action for Chong Hing Bank (CHB) was on December 1, 2006, when it was assigned a BFSR of C-, local and foreign currency deposit ratings of Baa2/P-2, and foreign currency subordinated debt rating of Baa3.

The last rating action for CITIC Ka Wah Bank (CKWB) was on November 18, 2008 when the outlook on its local and foreign currency deposit ratings and debt ratings were changed to negative from stable.

The last rating action for Dah Sing Bank (DSB) was on January 6, 2006, when its BFSR rating was upgraded to C.

The last rating actions for DBS Bank (Hong Kong) (DBSHK) and Standard Chartered Bank (Hong Kong) (SCBHK) were on May 4, 2007, when DBSHK's BFSR was upgraded to C+ and SCBHK's BFSR was upgraded to B-.

The last rating actions for Hang Seng Bank (HSB) and Hongkong and Shanghai Banking Corporation (HBAP) were on July 26, 2007, when their long-term foreign currency deposit ratings were upgraded to Aa2.

The last rating action for Public Bank (Hong Kong) (PBHK) was on July 11, 2008, when it was assigned a BFSR of C-, and local and foreign currency deposit ratings of A3/P-1.

The last rating action for Shanghai Commercial Bank (SCB) was on February 9, 2006, when its BFSR was upgraded to C+.

The last rating action for Wing Hang Bank (WHB) was on September 1, 2008, when it was assigned a subordinated debt rating of A3.

The last rating action for Wing Lung Bank (WLB) was on January 13, 2006, when its BFSR rating was upgraded to C+.

The last rating action for HKMC was July 26, 2007, when its long-term foreign currency senior unsecured MTN rating was upgraded to Aaa.

The principal methodologies used in rating these banks were "Bank Financial Strength Ratings: Global Methodology" (February 2007) and "Incorporation of Joint-Default Analysis into Moody's Bank Ratings: A Refined Methodology" (March 2007), both of which can be found at www.moodys.com in the Credit Policy & Methodologies directory, in the Ratings Methodologies subdirectory.

The principal methodologies used in rating HKMC were "The Application of Joint Default Analysis to Government Related Issuers" and "Piercing the Country Ceiling: An Update", both of which can be found at www.moodys.com in the Credit Policy & Methodologies directory, in the Ratings Methodologies subdirectory.

Other methodologies and factors that may have been considered in the process of rating these issuers can also be found in the Credit Policy & Methodologies directory.

The following ratings were placed on review for possible downgrade:

HKMC -- Local and foreign currency senior unsecured bond ratings of Aaa; local and foreign currency senior unsecured MTN ratings of Aaa; local currency issuer rating of Aaa; foreign currency issuer rating of Aa1. HKMC's Aaa long-term foreign currency senior unsecured bond rating pierces the country ceiling for Hong Kong's foreign currency debt rating. The piercing is determined by the corporation's Aaa local currency rating, Hong Kong's Aa2 foreign currency government bond rating, Hong Kong's Aa1 country ceiling for foreign currency bonds and the debt's eligibility to pierce the ceiling.

The outlook of the following ratings was changed to negative from stable:

ICBCA -- BFSR of C-; local and foreign currency deposit ratings of A2

ICBCA (C.I.) Limited -- Foreign currency backed senior unsecured rating of A2

The following ratings were not affected by today's action:

BOCHK -- BFSR of C+; local currency deposit ratings of Aa3/P-1; foreign currency deposit ratings of Aa3/P-1

BEA -- BFSR of C-; local currency deposit ratings of A2/P-1; foreign currency deposit ratings of A2/P-1; foreign currency subordinated debt rating of A3

CCBA -- BFSR of C; local currency deposit ratings of A2/P-1; foreign currency deposit ratings of A2/P-1

CBC -- BFSR of C; local currency deposit ratings of Aa3/P-1; foreign currency deposit ratings of Aa3/P-1

CHB -- BFSR of C-; local currency deposit ratings of Baa/P-2; foreign currency deposit ratings of Baa2/P-2; foreign currency subordinated debt rating of Baa3

CKWB -- BFSR of D+; local currency deposit ratings of Baa2/P-2; foreign currency deposit ratings of Baa2/P-2; foreign currency senior unsecured debt rating of Baa2; foreign currency subordinated debt rating of Baa3

DSB -- BFSR of C; local currency deposit ratings of A3/P-1; foreign currency deposit ratings of A3/P-1; foreign currency senior unsecured debt rating of A3; foreign currency subordinated debt rating of Baa1

DBSHK -- BFSR of C+; local currency deposit ratings of Aa3/P-1; foreign currency deposit ratings of Aa3/P-1

HSB -- BFSR of B+; local currency deposit ratings of Aa1/P-1; foreign currency deposit ratings of Aa2/P-1; local and foreign currency subordinated debt rating of Aa2

HBAP -- BFSR of B+; local currency deposit ratings of Aa1/P-1; foreign currency deposit ratings of Aa2/P-1; foreign currency issuer rating of Aa1; foreign currency senior unsecured debt rating of Aa1; foreign currency subordinated debt rating of Aa2

ICBCA -- Short term local and foreign currency deposit ratings of P-1

NCB -- BFSR of C+; local currency deposit ratings of Aa3/P-1; foreign currency deposit ratings of Aa3/P-1

PBHK -- BFSR of C-; local currency deposit ratings of A3/P-1; foreign currency deposit ratings of A3/P-1

SCB -- BFSR of C+; local currency deposit ratings of A2/P-1; foreign currency deposit ratings of A2/P-1

SCBHK -- BFSR of B-; local currency deposit ratings of Aa3/P-1; foreign currency deposit ratings of Aa3/P-1; foreign currency issuer rating of Aa3; foreign currency senior unsecured debt rating of Aa3; local and foreign currency subordinated debt ratings of A1

WHB -- BFSR of C+; local currency deposit ratings of A2/P-1; foreign currency deposit ratings of A2/P-1; local and foreign currency subordinated debt ratings of A3

WLB -- BFSR of C+; local currency deposit ratings of A2/P-1; foreign currency deposit ratings of A2/P-1

HKMC -- Short-term local and foreign currency senior unsecured bond ratings of P-1; short-term local and foreign currency issuer ratings of P-1

All 17 banks and HKMC are headquartered in Hong Kong.

BOCHK had total assets of HK$ 1,118 billion as of end-December 2008.

BEA had total assets of HK$ 415 billion as of end-December 2008.

CCBA had total assets of HK$ 69 billion as of end-December 2008.

CBC had total assets of HK$ 39 billion as of end-December 2008.

CHB had total assets of HK$ 68 billion as of end-December 2008.

CKWB had total assets of HK$ 122 billion as of end-December 2008.

DSB had total assets of HK$ 109 billion as of end-December 2008.

DBSHK had total assets of HK$ 217 billion as of end-December 2008.

HSB had total assets of HK$ 762 billion as of end-December 2008.

HBAP had total assets of HK$ 4,260 billion as of end-December 2008.

ICBCA had total assets of HK$ 195 billion as of end-December 2008.

NCB had total assets of HK$ 122 billion as of end-December 2008.

PBHK had total assets of HK$ 32 billion as of end-December 2008.

SCB had total assets of HK$ 110 billion as of end-December 2008.

SCBHK had total assets of HK$ 599 billion as of end-December 2008.

WHB had total assets of HK$ 134 billion as of end-December 2008.

WLB had total assets of HK$ 101 billion as of end-December 2008.

HKMC had total assets of HK$ 66 billion as of end-December 2008.

Hong Kong
Leo Wah, CFA
Vice President - Senior Analyst
Financial Institutions Group
Moody's Asia Pacific Ltd.
JOURNALISTS: (852) 2916-1150
SUBSCRIBERS: (852) 3551-3077

Sydney
Patrick Winsbury
Senior Vice President
Financial Institutions Group
Moody's Investors Service Pty Ltd
JOURNALISTS: (612) 9270-8102
SUBSCRIBERS: (612) 9270-8100

Moody's puts ICBCA on negative outlook; reviews HKMC
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.

​​​​​​​​
Moodys.com