National Australia Bank Ltd.'s Additional Tier 1 Capital Notes Rated 'BBB-'

SYDNEY (S&P Global Ratings) Dec. 5, 2019--S&P Global Ratings today said it has assigned its 'BBB-' issue credit ratings to National Australia Bank Ltd.'s (NAB; AA-/Stable/A-1+) proposed Additional Tier 1 (AT1) Capital Notes. We rate NAB's AT1 Capital Notes four notches below NAB's stand-alone credit profile (SACP) of 'a'. The starting point of the SACP reflects our view that it is unlikely that the Australian government's support for NAB and other Australian banks--if needed--would extend to hybrid capital instruments issued by the banks. To arrive at the rating on NAB's AT1 Capital Notes, we deduct four notches from NAB's SACP reflecting the following factors: One notch for the notes' subordinated status; Two notches for the risk of partial or untimely

...December 4, 2019 SYDNEY (S&P Global Ratings) Dec. 5, 2019--S&P Global Ratings today said it has assigned its '###-' issue credit ratings to National Australia Bank Ltd.'s (NAB; ##-/Stable/A-1+) proposed Additional Tier 1 (AT1) Capital Notes. We rate NAB's AT1 Capital Notes four notches below NAB's stand-alone credit profile (SACP) of 'a'. The starting point of the SACP reflects our view that it is unlikely that the Australian government's support for NAB and other Australian banks--if needed--would extend to hybrid capital instruments issued by the banks. To arrive at the rating on NAB's AT1 Capital Notes, we deduct four notches from NAB's SACP reflecting the following factors: - One notch for the notes' subordinated status; - Two notches for the risk of partial or untimely payment; and - One notch for a nonviability contingent capital feature that would require NAB to convert all or a proportion of the notes into ordinary shares or write them off if a nonviability trigger event occurred....

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