Press Release
DBRS Places Citigroup’s “A” Rating Under Review With Negative Implications
Banking OrganizationsDBRS, Inc. (DBRS) has today placed the long and short-term ratings of Citigroup Inc. (Citigroup or the Company), including its Issuer & Senior Debt Rating of “A”, its R-1 (middle) Short-Term Instruments Rating and Citibank, N.A.’s A (high) Deposits & Senior Debt and its R-1 (middle) Short-Term Instruments Rating Under Review with Negative Implications.
This rating action follows DBRS’s announcement that it has removed the Bank Holding Company “A” rating floor, and the related A (high) operating bank rating floor, for banks that were designated as critically important banking organizations (CIBs) in the United States (see “DBRS Removes U.S. Rating Floor”, published September 4, 2013 for further details).
With the removal of the rating floor, DBRS will review the Company’s fundamentals and intrinsic rating level. DBRS’s review will also incorporate any improvements at Citigroup and its subsidiaries in its assessment. Previously, DBRS has indicated that both Citigroup’s final debt ratings as well as the final debt ratings of its primary banking subsidiaries each incorporated one notch of uplift from DBRS’ intrinsic assessments due to the application of the rating floor in the U.S.
The review is expected to be completed within 90 days.
Notes:
All figures are in U.S. dollars unless otherwise noted.
The principal applicable methodology is the Global Methodology for Rating Banks and Banking Organizations. Other applicable methodologies include the DBRS Criteria – Intrinsic and Support Assessments, DBRS Criteria: Bank and Bank Holding Company Trust Preferred Securities, DBRS Criteria: Rating Bank Subordinated Debt & Hybrid Instruments with Discretionary Payments and DBRS Criteria: Rating Bank Preferred Shares & Equivalent Hybrids. These can be found at: http://www.dbrs.com/about/methodologies
[Amended on September 4, 2014 to reflect actual methodologies used.]
The sources of information used for this rating include company documents and SNL Financial. DBRS considers the information available to it for the purposes of providing this rating was of satisfactory quality.
This rating is endorsed by DBRS Ratings Limited for use in the European Union.
Lead Analyst: William Schwartz
Rating Committee Chair: Alan G. Reid
Initial Rating Date: 24 July 2001
Most Recent Rating Update: 13 March 2013
For additional information on this rating, please refer to the linking document under Related Research.
Ratings
Adam Capital Trust III
Adam Statutory Trust III
Adam Statutory Trust IV
Adam Statutory Trust V
Associates Corporation of North America
Associates First Capital Corporation
CitiFinancial Credit Company
Citibank Canada
Citibank International Limited
Citibank, N.A.
Citigroup Capital III
Citigroup Capital IX
Citigroup Capital X
Citigroup Capital XI
Citigroup Finance Canada Inc.
Citigroup Global Markets Holdings Inc.
Citigroup Inc.
ALL MORNINGSTAR DBRS RATINGS ARE SUBJECT TO DISCLAIMERS AND CERTAIN LIMITATIONS. PLEASE READ THESE DISCLAIMERS AND LIMITATIONS AND ADDITIONAL INFORMATION REGARDING MORNINGSTAR DBRS RATINGS, INCLUDING DEFINITIONS, POLICIES, RATING SCALES AND METHODOLOGIES.
Download This Press Release
Related Documents
Methodology Used:
Press Release:
Other:
Contacts
Michael Driscoll
Credit Rating Officer - Global Financial Institution Ratings
+(1) 212 806 3243
michael.driscoll@morningstar.com- Alan G. Reid
Group Managing Director, Global Head of Fundamental Ratings - Credit Ratings Leadership
+(1) 212 806 3232
alan.reid@morningstar.com - William Schwartz
Associate Credit Rating Officer - Global Fundamental Ratings, Rating Practices
+(1) 212 806 3233
william.schwartz@morningstar.com