FINANCIAL INSTITUTIONSISSUER COMMENT 3 DECEMBER 2015ICICI BANK, LTD. (IBN)Moodys Senior Unsecured Rating Baa3Moodys Outlook POSBond-Implied Rating naCDS-Implied Rating Ba2EDF-Implied Rating Ba3As of 12/1/2015ANALYST CONTACTSAllerton G. Smith 212-553-4058 Sr Dir-Sr Research Analyst allerton.smith@moodys.comABOUT CAPITAL MARKETS RESEARCHAnalyses from Moodys Capital Markets Research, Inc. (CMR) focus on explaining signals from the credit and equity markets. The publications address whether market signals, in the opinion of the groups analysts, accurately reflect the risks and investment opportunities associated with issuers and sectors. CMR research thus complements the fundamentally-oriented research offered by Moodys Investors Service (MIS), the rating agency.CMR is part of Moodys Analytics, which is one of the two operating businesses of Moodys Corporation. Moodys Analytics (including CMR) is legally and organizationally separated from Moodys Investors Service and operates on an arms length basis from the ratings business. CMR does not provide investment advisory services or products.View the CMR FAQ Contact the CMR team Follow us on TwitterMoodys Analytics markets and distributes all Moodys Capital Markets Research, Inc. materials. Moodys Capital Markets Research, Inc. is a subsidiary of Moodys Corporation. Moodys Analytics does not provide investment advisory services or products. For further detail, please see the last page.Market Signals ReviewICICI Bank Ltd.: Two Market Signals Move Higher Both of ICICI Banks market signals advanced recently.On November 2, Moodys changed the Banking System Outlook on India from Negative to Stable. On November 17 ICICI Banks CDS-implied rating rose from Ba3 to Ba2 (Figure 1). On November 27 its EDF-implied rating moved up from B1 to Ba3.FIGURE 1. ICICI BANK: MOODYS AND MARKET-IMPLIED RATINGS - LAST 12 MONTHS (DAILY OBSERVATIONS)The CDS-implied rating has been within a range of Ba1 to Ba3 over the last 12 months. The EDF-implied rating was Ba2 one year ago. Since early June it fluctuated many times between Ba3 (the current implied-rating) and B1.MOODY'S ANALYTICS FINANCIAL INSTITUTIONS2 3 DECEMBER 2015 MARKET SIGNALS REVIEW: ICICI BANK LTD.: TWO MARKET SIGNALS MOVE HIGHERWe do not publish a bond-implied rating for ICICI Bank, Ltd. The New York branch of ICICI Bank has a bond-implied rating of Baa2, representing a +1 notch implied ratings gap.The CDS-implied ratings gap was -2 notches a year ago and is at that same level today. However it has improved from -3 notches one month ago. The EDF-implied ratings gap progressed from -4 notches in early November to -3 notches currently (Figure 2).Readers will recall that when a market-implied rating rises the underlying securities have outperformed the broad market.FIGURE 2. ICICI BANK: MARKET-IMPLIED RATINGS GAPS - LAST 12 MONTHS (WEEKLY OBSERVATIONS)MOODY'S ANALYTICS FINANCIAL INSTITUTIONS3 3 DECEM...
