RCI Banque 'BBB/A-2' Ratings Affirmed Following Upgrade Of Parent Renault; Outlook Stable

We raised our ratings on carmaker Renault S.A., French auto financer RCI Banque's full owner, to 'BBB/A-2' from 'BBB-/A-3' on Nov. 17, 2017. The long-term ratings on Renault and RCI are now at the same level, and we continue to regard the bank as a core subsidiary. However, we now include one notch of group support in our rating on the bank based on our view of Renault's increased ability to provide extraordinary support, and we consequently no longer include a positive notch of adjustment notch to derive our 'BBB' long-term rating on RCI. We are therefore affirming our 'BBB/A-2' long- and short-term ratings on RCI. The stable outlook incorporates our view that the bank's financial profile will remain strong,

...+ We raised our ratings on carmaker Renault S.A., French auto financer RCI Banque's full owner, to '###/A-2' from '###-/A-3' on Nov. 17, 2017. + The long-term ratings on Renault and RCI are now at the same level, and we continue to regard the bank as a core subsidiary. However, we now include one notch of group support in our rating on the bank based on our view of Renault's increased ability to provide extraordinary support, and we consequently no longer include a positive notch of adjustment notch to derive our '###' long-term rating on RCI. + We are therefore affirming our '###/A-2' long- and short-term ratings on RCI. + The stable outlook incorporates our view that the bank's financial profile will remain strong, with steady risk-adjusted profitability and continued conservative capital management over the next two years. It also reflects our stable outlook on Renault and our view that RCI will remain a core subsidiary of Renault over the next two years. PARIS (S&P Global Ratings) Nov....

Ratings Action