UBI Banca Group

STANDARD & POOR’S
Short-term Counterparty Credit Rating (i) A-2
Long-term Counterparty Credit Rating (i)
Stand Alone Credit Profile (SACP) (ii)
Outlook
RATINGS ON ISSUES
Senior unsecured debt
BBB+
bbb+
Negative
BBB+
Subordinated debt (Lower Tier 2)
BBB
Preference shares (former BPB-CV and
former BPCI)
BB+
French Certificats de Dépôt Programme A-2
(i) The issuer credit rating reflects the agency’s opinion of the
intrinsic creditworthiness of the bank combined with an
assessment of the potential for future support that the bank
might receive in the event of default (from government or from
the group to which it belongs).
Short-term: ability to repay short term debt with a maturity of
less than one year (A-1: best rating – C: worst rating)
Long-term: ability to pay interest and principal on debt with a
maturity of longer than one year (AAA: best rating – C: default)
(ii) The SACP is a rating of the intrinsic creditworthiness of the bank
in the absence of external support (from government or from the
group to which it belongs). It is calculated on the basis of an
“anchor SACP” which summarises economic and industry risk
for the Italian banking sector. This is then adjusted to take
account of bank-specific factors such as capitalisation, market
positioning, exposure to risk and the funding and the liquidity
situation, which are also assessed from a comparative viewpoint.
MOODY'S
Long-term debt and deposit rating (I)
Short-term debt and deposit rating (II)
Bank Financial Strength Rating (BFSR) (III)
Baseline Credit Assessment (BCA) (IV)
RATINGS ON ISSUES
Senior unsecured LT
Lower Tier 2 subordinated
Preference shares
(former BPB-CV and Banca Lombarda)
Euro Commercial Paper Programme
Covered Bond
A3
on review for
possible
downgrade
Prime-2
on review for
possible
downgrade
C-
on review for
possible
downgrade
Baa1
on review for
possible
downgrade
A3
on review for
possible
downgrade
Baa1
on review for
possible
downgrade
Ba1(hyb)
on review for
possible
downgrade
Prime-2
on review for
possible
downgrade
Aa2
on review for
possible
downgrade
(I) The ability to repay long-term debt (maturing after one year) in
local currency. By using the JDA method (Joint Default
Analysis), this rating associates the financial strength rating
(BFSR – Bank Financial Strength Rating) with the probability of
intervention if needed by external support (shareholders, the
group to which it belongs or official institutions) (AAA: best
rating – C: default).
(II) The ability to repay debt in local currency maturing in the short
term (due in less than one year).
(Prime -1: highest quality – not prime: speculative grade)
(III) This rating does not relate to the ability to repay debt, but
considers the bank’s intrinsic financial strength (by analysing
factors such as its geographical market presence, the
diversification of its activities, the financial basics) in the
absence of external support (A: best rating– E: worst rating).
(IV) The Baseline Credit Assessment represents the equivalent of the
Bank Financial Strength Rating on the traditional scale of the
long term rating.
FITCH RATINGS
Short-term Issuer Default Rating (1)
Long-term Issuer Default Rating (2)
Viability Rating (3)
F2
BBB+
bbb+
Support Rating (4) 2
Support Rating Floor (5)
Outlook (Long-term Issuer Default Rating)
RATINGS ON ISSUES
Senior unsecured debt
Lower Tier 2 subordinated
Preference shares
Euro Commercial Paper Programme
Covered Bond
BBB
Negative
BBB+
BBB
BB
F2
AA+
Rating Watch
Negative
(1) The ability to repay debt in the short term (maturity less than 13
months) (F1: best rating – C: worst rating).
(2) The ability to meet financial commitments in the long term,
independently of the maturity of individual obligations. This
rating is an indicator of the probability that an issuer will default
(AAA: best rating – D: default).
(3) An assessment of a bank’s intrinsic strength in the event that it
cannot rely on forms of external support (a: best rating - d:
default). The Viability Rating has replaced the Bank Individual
Rating since 20 th July 2011.
(4) A rating of the possibility of concrete and timely external support
(from the state or large institutional investors) if the bank finds
itself in difficulty (1: best rating – 5: worst rating).
(5) This rating gives additional information, closely linked to the
Support Rating, in that for each level of the Support Rating it
identifies the minimum level which the Issuer Default Rating
could reach if negative events were to occur.
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