Morningstar DBRS Assigns First-Time Ratings to BNP Paribas Issuance B.V., LT Issuer Rating at AA (low), Stable Trend

DBRS Ratings GmbH (Morningstar DBRS) assigned first-time ratings to BNP Paribas Issuance B.V. (BNPP B.V. or the Issuer), including the Long-Term Issuer Rating of AA (low) and the Short-Term Issuer Rating of R-1 (middle). All credit ratings have a Stable trend. The Support Assessment is SA1. A full list of rating actions is included at the end of this press release.

KEY CREDIT CONSIDERATIONS
The Long-Term and Short-Term Issuer Ratings assigned to BNPP B.V. are aligned with those of BNP Paribas SA, (the parent or BNPP) reflecting that Morningstar DBRS considers BNPP BV to be a critical subsidiary for BNPP given its role. BNPP BV is a fully owned subsidiary of BNPP under Dutch law, and issuer of warrants, certificates and notes used to enter into hedging agreements with other BNPP subsidiaries to hedge against various risks.

The Support Assessment is SA1, reflecting Morningstar DBRS's view that, in case of need, the Issuer is highly likely to receive support from its parent. BNPP provides a full, unconditional and irrevocable guarantee to all instruments (notes, warrants and certificates) issued by BNPP B.V.

CREDIT RATING DRIVERS
Given the SA1 designation, BNP Paribas Issuance B.V.'s credit ratings will generally move in tandem with BNP Paribas SA's credit ratings. An upgrade would follow an upgrade of the parent BNP Paribas SA's credit ratings.

Similarly, a downgrade would result from a downgrade of BNP Paribas SA's credit ratings or should BNP Paribas Issuance B.V. become a non-core subsidiary for the Group or if BNP Paribas SA's materially decreases its level of support.

ENVIRONMENTAL, SOCIAL, AND GOVERNANCE CONSIDERATIONS

There were no Environmental/Social/Governance factor(s) that had a significant or relevant effect on the credit analysis.

A description of how Morningstar DBRS considers ESG factors within the Morningstar DBRS analytical framework can be found in the Morningstar DBRS Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings (13 August, 2024) https://dbrs.morningstar.com/research/437781

Notes:
All figures are in euros unless otherwise noted.

The principal methodology is the Global Methodology for Rating Banks and Banking Organisations (04 June, 2024) https://dbrs.morningstar.com/research/433881 In addition Morningstar DBRS uses the Morningstar DBRS Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings (13 August, 2024) https://dbrs.morningstar.com/research/437781 in its consideration of ESG factors.

The following methodology has also been applied:

Morningstar DBRS Global Corporate Criteria (15 April, 2024)
https://dbrs.morningstar.com/research/431186

The credit rating methodologies used in the analysis of this transaction can be found at: https://dbrs.morningstar.com/about/methodologies.

The sources of information used for these credit ratings include Morningstar Inc. and company documents, BNP Paribas Issuance B.V. Annual Report 2023. Morningstar DBRS considers the information available to it for the purposes of providing these credit ratings to be of satisfactory quality.

These credit ratings concern a newly rated issuer. These are the first Morningstar DBRS credit ratings on this issuer.

Morningstar DBRS does not audit the information it receives in connection with the credit rating process, and it does not and cannot independently verify that information in every instance.

The conditions that lead to the assignment of a Negative or Positive trend are generally resolved within a 12-month period. Morningstar DBRS's outlooks and credit ratings are under regular surveillance.

For further information on Morningstar DBRS historical default rates published by the European Securities and Markets Authority (ESMA) in a central repository, see: https://registers.esma.europa.eu/cerep-publication. For further information on Morningstar DBRS historical default rates published by the Financial Conduct Authority (FCA) in a central repository, see https://data.fca.org.uk/#/ceres/craStats.

The sensitivity analysis of the relevant key credit rating assumptions can be found at: https://dbrs.morningstar.com/research/441937

These credit ratings are endorsed by DBRS Ratings Limited for use in the United Kingdom.

Lead Analyst: Sonja Forster, Senior Vice President - European Financial Institution Ratings
Rating Committee Chair: Vitaline Yeterian, Senior Vice President - European Financial Institution Ratings
Initial Rating Date: 29 October 2024
Last Rating Date: Not applicable

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