3 Feb 2015 17:56
The Royal Bank of Scotland Group plc
RBS notes credit ratings downgrade by S&P
3 February 2014
The Royal Bank of Scotland Group plc ("RBS") notes the decision by Standard & Poor's Rating Services ("S&P") to:
· Downgrade the long term credit rating of The Royal Bank of Scotland Group plc by two notches to BBB- from BBB+
· Improve the credit rating outlook of The Royal Bank of Scotland Group plc to stable from negative,
· Downgrade the short term rating of The Royal Bank of Scotland Group plc to A-3 from A-2
· Place the long-term ratings of The Royal Bank of Scotland plc and certain of its affiliates on CreditWatch with negative implications.
This action is not specific to RBS but reflects S&P's view that extraordinary government support is now unlikely in the case of U.K. non-operating bank holding companies, and is likely to become less predictable for bank operating companies in the U.K. under newly enacted legislation that fully implemented the bail-in rules enshrined in the EU's Bank Recovery and Resolution Directive with effect from 1 January 2015.
RBS welcomes S&P's decision to improve its long term outlook for The Royal Bank of Scotland Group plc to stable from negative. This action reflects S&P's view that RBS has made strong progress over the past 12-18 months in executing its restructuring plan.
For further information, please contact:
RBS Investor Relations
Matthew Richardson
Head of Debt Investor Relations
+44 (0) 20 7678 1800