...Limited Rating Uplift: Slovenska Sporitelna's (SLSP; BBB+/Stable) mortgage covered bonds' (Hypotekarne zalozne listy) rating is based on SLSP's Long-Term Issuer Default Rating (IDR) of 'BBB+', adjusted by an IDR uplift of one notch, and on the lowest level of overcollateralisation (OC) recorded during the preceding 12 months of 16.2%. In Fitch's opinion, this provides at least 51% recoveries on the covered bonds given default in an 'A' rating scenario allowing for a further one-notch uplift. Fitch Ratings applied a limited rating uplift approach to rate SLSP's mortgage covered bonds, as available market information did not enable the agency to perform a full asset analysis. One-Notch IDR Uplift: SLSP`s IDR of `BBB+' was adjusted by an IDR uplift to reflect the favourable treatment of covered bonds in Slovakia following the implementation of the Bank Recovery and Resolution Directive (BRRD) into Slovak law. The IDR uplift of one reflects that the issuer is regarded as systemically important...
