Germany-based auto group Volkswagen AG is proposing to issue unsecured subordinated hybrid notes. We assess the proposed notes as having "intermediate" equity content, under our criteria. We are assigning our 'BBB' issue rating to the proposed notes, reflecting their subordination and optional interest deferability. LONDON (Standard&Poor's) March 17, 2014--Standard&Poor's Ratings Services said today that it has assigned its 'BBB' long-term issue rating to the proposed seven- and 12-year non-call, perpetual, optionally deferrable, and subordinated hybrid notes to be issued by Volkswagen International Finance N.V., under the guarantee of the parent company, Germany-based automaker Volkswagen AG (VW; A-/Positive/A-2). The completion and size of the transaction will be subject to market conditions, but we anticipate up to €3
