Woori Bank's Proposed Basel III Tier 2 Subordinated Notes Assigned 'BBB' Rating

HONG KONG (S&P Global Ratings) July 30, 2018--S&P Global Ratings today assigned its 'BBB' long-term issue rating to the proposed U.S.-dollar-denominated Basel III Tier 2 subordinated notes of Woori Bank (A/Stable/A-1). The notes will be drawn down from the bank's subordinated tranche under its US$7 billion global medium-term notes program. The issue rating is subject to our review of the final issuance documentation. Woori Bank intends to use the notes as Basel III Tier 2 regulatory capital. They will be direct, unsecured, and subordinated to senior creditors' claims. The notes' terms and conditions have a write-down clause that allows the following on the occurrence of a nonviability event: (1) The full principal amount will be permanently written down to zero

...HONG KONG (S&P Global Ratings) July 30, 2018--S&P Global Ratings today assigned its '###' long-term issue rating to the proposed U.S.-dollar-denominated Basel III Tier 2 subordinated notes of Woori Bank (A/Stable/A-1). The notes will be drawn down from the bank's subordinated tranche under its US$7 billion global medium-term notes program. The issue rating is subject to our review of the final issuance documentation. Woori Bank intends to use the notes as Basel III Tier 2 regulatory capital. They will be direct, unsecured, and subordinated to senior creditors' claims. The notes' terms and conditions have a write-down clause that allows the following on the occurrence of a nonviability event: (1) The full principal amount will be permanently written down to zero and the bonds will be canceled; and (2) The payment of principal and interest will be irrevocably waived. The nonviability event trigger will be the designation of the bank as an "insolvent financial institution" pursuant to Korea's...

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