Medium Term Notes blog update profiles Fitch Ratings giving BOC Aviation’s global medium term a final rating of A-. This update is courtesy of Reuters with an excerpt below.
Fitch Ratings has assigned BOC Aviation Pte Ltd’s (BOC Aviation) SGD145m 3.93% senior unsecured notes due 2025 a final rating of ‘A-‘. The notes are issued under the aircraft leasing company’s USD5bn global medium-term note (GMTN) programme. Proceeds from the senior notes would be used for the company’s general corporate purposes. KEY RATING DRIVERS The notes are rated at the same level as BOC Aviation’s ‘A-‘ Long-Term Issuer Default Rating (IDR). This is because the notes constitute direct, unsubordinated and senior unsecured obligations of the company, and rank equally with all its other unsecured and unsubordinated obligations. The IDR, presently on a Stable Outlook, reflects Fitch’s view of a very high probability of extraordinary support to BOC Aviation from its ultimate parent, Bank of China Limited (BOC; A/Stable). RATING SENSITIVITIES Any perceived changes in BOC’s propensity and ability to provide support would impact BOC Aviation’s IDR and hence the issue rating. For more details on BOC Aviation’s ratings and credit profile, see “Fitch Affirms Aircraft Lessors Following Peer Review”, dated 11 August 2014, and BOC Aviation’s rating report, dated 23 October 2014, available at www.fitchratings.com.