MUMBAI (Thomson Financial) - Standard & Poor's Ratings Services said there will be no rating change on Germany's Hypo Real Estate Bank AG following the rating agency's review of its public sector covered bond program, due to the stability of the program's performance.
S&P said its 'AAA' rating on the public sector covered bond program reflects its comfort in the German covered bond legislation and also the credit quality of the underlying assets and their cash flows.
According to the new strategy of Hypo Real Estate group, future public sector covered bonds will only be issued by Ireland-based public sector finance lenders Depfa ACS.
The existing public sector Pfandbriefe issued by Hypo Real Estate Bank AG and by Hypo Real Estate Bank International AG will be gradually diminished depending on their maturities and the two public sector pools will be merged in the near future. TFN.newsdesk@thomson.com arc/ran COPYRIGHT Copyright Thomson Financial News Limited 2008. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.
S&P said its 'AAA' rating on the public sector covered bond program reflects its comfort in the German covered bond legislation and also the credit quality of the underlying assets and their cash flows.
According to the new strategy of Hypo Real Estate group, future public sector covered bonds will only be issued by Ireland-based public sector finance lenders Depfa ACS.
The existing public sector Pfandbriefe issued by Hypo Real Estate Bank AG and by Hypo Real Estate Bank International AG will be gradually diminished depending on their maturities and the two public sector pools will be merged in the near future. TFN.newsdesk@thomson.com arc/ran COPYRIGHT Copyright Thomson Financial News Limited 2008. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.