The contractually committed credit enhancement exceeds the credit enhancement required at a 'AAA' rating level. The foundation account structure effectively mitigates commingling risk. The structure's soft-bullet extendible maturities mitigate liquidity risk. The program's asset-liability mismatch and low excess spread result in a relatively high required credit enhancement level. The stable outlook on our rating on the mortgage covered bonds issued by Netherlands-based NIBC Bank N.V. (BBB/Stable/A-2) reflects the unused notch of collateral uplift. Under our covered bonds criteria, we would not automatically lower the covered bond ratings if we were to lower our long-term issuer credit rating (ICR) on NIBC Bank by up to one notch, all else being equal. We are publishing this transaction update as part of our
