Covered Bonds Surveillance Snapshot

...Welcome to the 27th edition of Fitch Ratings' quarterly covered bonds surveillance snapshot. In 2Q19, Fitch's coverage increased by three programmes to 109. The following expected ratings were assigned in June and transformed to final in July. + A `AAA' rating was assigned to Arkea Home Loan SFH's existing obligations de financement a l'habitat (OFH). The four-notch payment continuity uplift (PCU) reflects a pre- maturity test that provides nine months of principal liquidity protection to hard bullet OFH (about two-thirds of outstanding). The programme also issues soft-bullet OFH (remaining one-third) with a 12-month maturity extension. The PCU corresponds to the weakest link. + We also assigned a `AAA' rating to AXA Home Loan SFH's (owned by Axa Banque France) newly launched OFH. A six-notch PCU reflects the programme's soft- bullet issuance feature with a 12-month extension and three months' interest and senior expenses payment protection. + Credit Suisse's operating company in Switzerland...

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