Fitch Upgrades TSKB's Following Sovereign Upgrade
Fitch Ratings has today upgraded 19 Turkish banks' and financial institutions' Long- and Short-term foreign and local currency Issuer Default Ratings (IDRs) and Support Ratings and revised their Support Rating Floors. A full rating breakdown is provided below.
The rating actions reflect Fitch's upgrade of the Republic of Turkey's Long-term foreign currency IDR to 'BB+' from 'BB-' and the Long-term local currency IDR to 'BB+' from 'BB' on 3 December 2009. The sovereign's Long-term IDRs were removed from Rating Watch Positive and assigned a Stable Outlook. Turkey's Short-term IDR was affirmed at 'B' and its Country Ceiling was upgraded to 'BBB-' from 'BB'.
The IDRs of the Turkish banks referenced in the group below move in tandem with the sovereign's IDRs. These banks are state-owned or state-controlled and their IDRs are thus equalised with those of the Turkish sovereign. The upgrade of the Support Ratings and the revision of Support Rating Floors of these banks reflect the improved capacity of the sovereign to provide such support.
The upgrade of the following bank's LTFC IDR reflects the similar rating action taken on its parent's (Turkiye Is Bankasi A.S.) rating. The parent's improved ability to support its subsidiary has resulted in the upgrade of the bank's LTFC IDR.
TURKIYE SINAI KALKINMA BANKASI A.S:
LTFC IDR: upgraded to 'BB+' from 'BB'; removed from RWP; assigned Stable Outlook
LTLC IDR affirmed at 'BB+'; removed from RWP; assigned Stable Outlook
STFC IDR: affirmed at 'B'
STLC IDR: affirmed at 'B'; removed from RWP
National Long-term rating: affirmed at 'AA+(tur)'; Stable Outlook
Individual Rating: affirmed at 'C/D'
Support Rating: affirmed at '3'
