Getin Noble Bank (GNB)
+ 1.18% 17:00
Current report 28/201009.06.2010
Change of Getin Noble Bank’s rating by Fitch Ratings
Getin Noble Bank S.A. (the “Issuer”, the „Bank”) hereby informs that on 9 June 2010 Fitch Ratings-London/Warsaw („Fitch Ratings”, the „Agency”) announced the Bank’s rating, in which the Agency confirmed rating affirmed on 7 January 2010 (the Bank’s Current report 5/2010), i.e. Long-term Issuer Default (IDR) “BB”, Short-term IDR “B”, Individual “'D”, Support “5” and National Long-term “BBB”(pol) and simultaneously changed the IDR, the National Long-term rating and the Individual Rating by removing them from Rating Watch Evolving (RWE). The Agency changed the Outlooks of the Long-term Issuer Default (IDR) and the National Long-term rating from Negative to Stable.
As a reason of the abovementioned change Fitch Ratings gives elevated loan impairment charges (LICs), large, albeit falling, exposure to foreign currency-denominated mortgages, reliance on the interbank market to hedge structural currency mismatches and moderate liquidity. The factors which also influence rating are stable funding source based almost entirely on deposits and diversified income streams.
In the Agency’s opinion pre-impairment financial performance improved as the cost of funding subsided, new lending picked up and a rebound in financial intermediary business strengthened fee-related earnings. Fitch Ratings expects that asset quality will continue to weaken, as the loan book seasons following rapid credit growth in recent years, and is likely to translate into further LICs, which could start bottoming out only in late 2010, assuming no economic stress.
Rating definitions are available on the agency's public website: www.fitchratings.com. Published ratings, criteria and methodologies are available from this site at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance policies and procedures as well as other relevant documents are also available from the “Code of Conduct” section of this site. In accordance with the Agency’s comment, ratings decisions reflect application of the following criteria: “Master Global Financial Institutions Rating Criteria” dated 29 December 2009 and „National Ratings – Update of Methodologies”, which are available on the agency's public website: www.fitchratings.com.
Legal basis: Article 56 (1)(2a) of the Polish Act of 25 July 2005 on public offerings and the conditions for introducing financial instruments into an organized trading system and on public companies (Journal of Laws of 2005, No. 184, item 1539 with later amendments) read with §5 (1)(26) of the Minister of Finance Regulation of 19 February 2009 on current and periodic reporting by issuers of securities and the rules of equal treatment of the information required by the laws of non-member states (Journal of Laws of 2009 No. 33, item 259 with later amendments).