DBRS Withdraws FFPP Ratings; Debt Assumed by Spanish Treasury

DBRS, Inc. (DBRS) has today withdrawn its ratings on the Fondo para la Financiación de los Pagos a Proveedores (FFPP), including its Senior Unsecured Debt rating of A (low) and Short-Term Instruments rating of R-1 (low). This rating action follows the absorption of the FFPP into the ledger of the general government in July 2014. The Spanish Treasury has now assumed all financial obligations that were previously associated with the FFPP and it no longer exists as a separate legal entity. These debt instruments remain rated at the same level as the Kingdom of Spain (DBRS rating of A (low), Negative trend) given the legal transfer.

Notes:
All figures are in EUR unless otherwise noted.

The principal applicable methodology is the Global Methodology for Rating Banks and Banking Organisations (June 2014). Other methodologies used include the DBRS Criteria: Support Assessment 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 can be found at: http://www.dbrs.com/about/methodologies

The primary sources of information used for this rating include company documents, SNL Financial and the Bank of Spain. 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: Lisa Kwasnowski
Rating Committee Chair: Elisabeth Rudman
Initial Rating Date: February 25, 2013
Most Recent Rating Update: May 9, 2014

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