...August 31, 2021 FRANKFURT (S&P Global Ratings) Aug. 31, 2021--S&P Global Ratings today assigned its 'A-' issue rating to the 500 million seven-year senior nonpreferred notes to be issued by Czech Republic-based Ceska sporitelna a.s. (A/Stable/A-1). The rating is subject to our review of the notes' final documentation. According to the proposed terms and conditions, the notes will be structurally subordinated to Ceska's senior obligations in the event of insolvency or a resolution scenario, in line with the Czech Republic's Act on the Recovery and Resolution in the Financial Market, implementing the EU Bank Recovery and Resolution Directive 2 (BRRD 2). In our view, holders of senior nonpreferred notes face a higher default risk than holders of senior preferred notes and other senior liabilities because the former would be bailed in before more senior debt in a resolution. The issue rating is one notch below the bank's 'a' stand-alone credit profile (SACP) and reflects that the notes are...
