Grisù
Forumer attivo
Fitch keeps ratings of six Greek banks unchanged to 'B-'
The credit rating agency announced that for NBG, Eurobank, Alpha Bank, Piraeus Bank, ATE Bank and T Bank, maintains the L-T Issue Default Ratings (IDR) at 'B-' with a Rating Watch Negative. The decision follows last week’s announcement of the new aid package to Greece. The six banks' L-T IDRs remain on their Support Rating Floors (SRF) and continue to reflect Fitch's assumption that support from the EU, the IMF and the ECB in respect of their liquidity requirements, recapitalization and re-financing will remain in place during Greece's debt refinancing plan. Also, Fitch has downgraded all six Greek banks' Viability Ratings (VR) to 'f' from 'ccc' to reflect the fact that banks would have defaulted if a new aid program had not been agreed, of which banks' continued access to liquidity is of particular relevance. Fitch indicated that will maintain the VR at 'f' for a short period of time. A senior Fitch official said that the agency understands that Greek banks' continued extraordinary access to liquidity, either through BoG or the ECB will remain if the country is downgraded to 'Restricted Default' and that this reduces the risk of bank default. The official noted that the Rating Watch Negative on the banks’ ratings reflect the downside risk if there is no firm and official international commitment to support banks and there are changes to the assumptions underpinning Fitch's judgment on support. Fitch also indicated that the likely deterioration of Greek banks' loan books asset quality and profitability, along with the risk of further deposit outflows and reliance on ECB funding pose as significant challenges for Greek banks and as such, their ratings are likely to remain deeply sub-investment grade for some time.
The credit rating agency announced that for NBG, Eurobank, Alpha Bank, Piraeus Bank, ATE Bank and T Bank, maintains the L-T Issue Default Ratings (IDR) at 'B-' with a Rating Watch Negative. The decision follows last week’s announcement of the new aid package to Greece. The six banks' L-T IDRs remain on their Support Rating Floors (SRF) and continue to reflect Fitch's assumption that support from the EU, the IMF and the ECB in respect of their liquidity requirements, recapitalization and re-financing will remain in place during Greece's debt refinancing plan. Also, Fitch has downgraded all six Greek banks' Viability Ratings (VR) to 'f' from 'ccc' to reflect the fact that banks would have defaulted if a new aid program had not been agreed, of which banks' continued access to liquidity is of particular relevance. Fitch indicated that will maintain the VR at 'f' for a short period of time. A senior Fitch official said that the agency understands that Greek banks' continued extraordinary access to liquidity, either through BoG or the ECB will remain if the country is downgraded to 'Restricted Default' and that this reduces the risk of bank default. The official noted that the Rating Watch Negative on the banks’ ratings reflect the downside risk if there is no firm and official international commitment to support banks and there are changes to the assumptions underpinning Fitch's judgment on support. Fitch also indicated that the likely deterioration of Greek banks' loan books asset quality and profitability, along with the risk of further deposit outflows and reliance on ECB funding pose as significant challenges for Greek banks and as such, their ratings are likely to remain deeply sub-investment grade for some time.
