Bank of China (Hong Kong) Ltd.'s Proposed Non-Cumulative Subordinated Additional Tier 1 Capital Securities Rated 'BBB'

HONG KONG (S&P Global Ratings) Aug. 31, 2018--S&P Global Ratings today assigned its 'BBB' long-term issue rating to a proposed issuance of non-cumulative subordinated additional tier 1 (AT1) capital securities by Bank of China (Hong Kong) Ltd. (BOCHK: A+/Stable/A-1). We also assigned our 'BBB' long-term credit rating to the junior subordinated tranche of the medium-term notes (MTN) program from which the proposed AT1 issuance will be drawn down. At the same time, we assigned a long-term 'A-' rating on the subordinated tranche of the MTN program, based on updated terms and conditions for the tranche to comply with Basel III regulations, and withdrew our existing 'A' program rating on this tranche. The issue ratings are subject to our review of

...HONG KONG (S&P Global Ratings) Aug. 31, 2018--S&P Global Ratings today assigned its '###' long-term issue rating to a proposed issuance of non-cumulative subordinated additional tier 1 (AT1) capital securities by Bank of China (Hong Kong) Ltd. (BOCHK: A+/Stable/A-1). We also assigned our '###' long-term credit rating to the junior subordinated tranche of the medium-term notes (MTN) program from which the proposed AT1 issuance will be drawn down. At the same time, we assigned a long-term 'A-' rating on the subordinated tranche of the MTN program, based on updated terms and conditions for the tranche to comply with Basel III regulations, and withdrew our existing 'A' program rating on this tranche. The issue ratings are subject to our review of the final issuance documentation. The issue and program ratings on AT1 capital securities is four levels lower than our assessment of BOCHK's stand-alone credit profile (SACP) of 'a+' and reflects the following deductions: + One notch because the instrument...

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