Germany-Based Commerzbank And HSH Nordbank State-Guaranteed Debt Rated 'AAA'

FRANKFURT (Standard&Poor's) Jan. 16, 2008--Standard&Poor's Ratings Services said today that it had assigned its 'AAA' rating to debt issued by Commerzbank AG (€5 billion) and HSH Nordbank AG (€3 billion) under the Federal Republic of Germany's (AAA/Stable/A-1+) guarantee scheme. Based on our review of the form of guarantee, we are of the view it is irrevocable, unconditional, and timely, and therefore qualifies for rating substitution treatment. In the event of a default by the issuer, the guarantor shall, upon written demand by the noteholders, effect payments to an account to be specified by the noteholder. The guarantee expires upon redemption of the notes or if all obligations under the guarantee have been fulfilled. However, its terms

...FRANKFURT (Standard & Poor's) Jan. 16, 2008--Standard & Poor's Ratings Services said today that it had assigned its '###' rating to debt issued by Commerzbank AG (5 billion) and HSH Nordbank AG (3 billion) under the Federal Republic of Germany's (###/Stable/A-1+) guarantee scheme. Based on our review of the form of guarantee, we are of the view it is irrevocable, unconditional, and timely, and therefore qualifies for rating substitution treatment. In the event of a default by the issuer, the guarantor shall, upon written demand by the noteholders, effect payments to an account to be specified by the noteholder. The guarantee expires upon redemption of the notes or if all obligations under the guarantee have been fulfilled. However, its terms also stipulate that noteholders have to make any claim under the guarantee before a fixed expiry date, stated as Dec. 31, 2012....

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