SINGAPORE (Standard&Poor's) May 30, 2012--Standard&Poor's Ratings Services said today that it considers the proposed issue of perpetual subordinated capital debentures by PTT Exploration and Production Public Co. Ltd. (PTTEP; BBB+/Negative/--) to have "intermediate" equity content. This means that we would treat 50% of the principal amount of the notes as equity and the other 50% as debt in our calculation of financial ratios. Issuance of the proposed notes does not affect the corporate credit rating on PTTEP. The margin on the securities will step up by 25 basis points at year 10, and the issuer has the option to redeem at year 10 and later. PTTEP has the option to defer interest payments on these notes.
