MELBOURNE (Standard&Poor's) Nov. 12, 2013--Standard&Poor's Ratings Services today assigned its 'BBB' issue credit rating to National Australia Bank Ltd.'s (NAB; AA-/Stable/A-1+) proposed Convertible Preference Shares II (CPS II) issue. NAB has said that it intends to use the CPS II proceeds for general corporate purposes, and that after the CPS II is issued it will qualify as fully compliant Basel III Additional Tier 1 capital under the Australian Prudential Regulation Authority's requirements. Standard&Poor's rates the NAB CPS II three notches below NAB's stand-alone credit profile of 'a'. The issue rating reflects: The securities' subordinated status; The risk of partial or untimely payment; and A contingency clause requiring mandatory conversion into common equity on the
