DBRS assigns an A (low) rating to Northern Trust Corporation Series C Preferred Stock; Trend Stable

DBRS, Inc. (DBRS) has today assigned a rating of A (low) with a Stable trend to Northern Trust Corporation’s (Northern Trust or the Company) $400 million issuance of Non-Cumulative Perpetual Preferred stock. The ratings are positioned three notches below Northern Trust’s Issuer & Senior Debt rating of AA (low), which also carries a Stable trend. This notching is consistent with DBRS’s base notching policy for preferred shares.

Northern Trust expects to use the net proceeds from the sale of the preferred stock for general corporate purposes.

Northern Trust Corporation, a financial holding company headquartered in Chicago, Illinois, reported $105.8 billion in assets, $6.0 trillion of assets under custody, and $924.4 billion of assets under management at June 30, 2014.

Notes:
All figures are in U.S. dollars unless otherwise noted.

The principal applicable methodology is the Global Methodology for Rating Banks and Banking Organisations (June 2014). Other applicable methodologies include the DBRS Criteria – Support Assessments for Banks and Banking Organisations (January 2014) and DBRS Criteria: Rating Bank Capital Securities – Subordinated, Hybrid, Preferred & Contingent Capital Securities (December 2013). These can be found at: http://www.dbrs.com/about/methodologies.

The primary 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: Michael Driscoll
Rating Committee Chair: Alan G. Reid
Initial Rating Date: 18 March 2010
Most Recent Rating Update: 10 December 2013

For additional information on this rating, please refer to the linking document under Related Research.