Research Update: Germany-Based WIBank 'AA+/A-1+' Ratings Affirmed; Outlook Stable

Alongside its core promotional banking activities in support of regional infrastructure, housing, and social and economic development, Wirtschafts- und Infrastrukturbank Hessen (WIBank) is currently demonstrating its key economic policy role for the State of Hesse by refinancing and helping to operate "Hessenkasse," the state's effort to restructure practically all short-term debt of Hessian municipalities into longer maturities. We equalize our ratings on WIBank with those on the State of Hesse, as we see an almost certain likelihood of extraordinary government support for WIBank in the event of financial distress. We are therefore affirming our 'AA+/A-1+' ratings on WIBank. The outlook is stable, reflecting the outlook on the State of Hesse. On Oct. 8, 2018, S&P Global Ratings affirmed its 'AA+'

...+ Alongside its core promotional banking activities in support of regional infrastructure, housing, and social and economic development, Wirtschafts- und Infrastrukturbank Hessen (WIBank) is currently demonstrating its key economic policy role for the State of Hesse by refinancing and helping to operate "Hessenkasse," the state's effort to restructure practically all short-term debt of Hessian municipalities into longer maturities. + We equalize our ratings on WIBank with those on the State of Hesse, as we see an almost certain likelihood of extraordinary government support for WIBank in the event of financial distress. + We are therefore affirming our '##+/A-1+' ratings on WIBank. + The outlook is stable, reflecting the outlook on the State of Hesse....

Research Update