08 August 2008
Fitch Ratings-London/Tunis - Fitch Ratings has today upgraded Attijari Leasing's National Long-term rating to 'BB+(tun)' from 'B+(tun)' and removed it from Rating Watch Positive. Its National Short-term rating has been affirmed at 'B' and removed from Rating Watch Positive. The Outlook on the National Long-term rating is Stable.
The upgrade reflects Attijari Bank Tunisie's (ABT) increased stake in Attijari Leasing's capital to 65% from 30%, following its TND12.5m capital increase in May 2008 and Attijari Leasing's subsequent stronger integration into the Moroccan group, Attijariwafa Bank (AWB, 'BB+'/Outlook Stable), through ABT. ABT, the sixth- largest Tunisian bank by assets, is 55%-controlled by the holding company, Andalumaghreb, which is 69%-owned by AWB and 31%-owned by Banco Santander.
Fitch believes there is a high propensity of support from ABT and, ultimately, AWB, for Attijari Leasing, in case of need. However, the probability of such support is limited by ABT's and AWB's creditworthiness.
The capital increase allowed Attijari Leasing's solvency ratio to meet the regulatory minimum (8%); it stood at 14.2% at end-May 2008. However, Fitch considers this ratio to be low, given Attijari Leasing's weak asset quality. Liquidity remains tight although Attijari Leasing can rely on the support of its bank shareholders, if necessary. Furthermore, Attijari Leasing benefits from ABT's and AWB's commercial and technical expertise, aiding its business and financial recovery.
Attijari Leasing had a 7% share of the Tunisian leasing market at end-2007.
Attijari Leasing's ratings were placed on Watch Positive on 8 February 2008.
- Ends -
Note to Editors:
Fitch's National ratings provide a relative measure of creditworthiness for rated entities in countries with relatively low international sovereign ratings and where there is demand for such ratings. The best risk within a country is rated 'AAA' and other credits are rated only relative to this risk. National ratings are designed for use mainly by local investors in local markets and are signified by the addition of an identifier for the country concerned, such as 'AAA(tun)' for National ratings in Tunisia. Specific letter grades are not therefore internationally comparable.
Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site.
For more information, please contact:
Philippe Lamaud
Paris
Tel: +33 1 44 29 91 26
Sonia Trabelsi
Tunis
Tel: +216 71 840 902
Hannah Warrington
London
Tel: +44 (0) 207 417 6298
Fitch Ratings-London/Tunis - Fitch Ratings has today upgraded Attijari Leasing's National Long-term rating to 'BB+(tun)' from 'B+(tun)' and removed it from Rating Watch Positive. Its National Short-term rating has been affirmed at 'B' and removed from Rating Watch Positive. The Outlook on the National Long-term rating is Stable.
The upgrade reflects Attijari Bank Tunisie's (ABT) increased stake in Attijari Leasing's capital to 65% from 30%, following its TND12.5m capital increase in May 2008 and Attijari Leasing's subsequent stronger integration into the Moroccan group, Attijariwafa Bank (AWB, 'BB+'/Outlook Stable), through ABT. ABT, the sixth- largest Tunisian bank by assets, is 55%-controlled by the holding company, Andalumaghreb, which is 69%-owned by AWB and 31%-owned by Banco Santander.
Fitch believes there is a high propensity of support from ABT and, ultimately, AWB, for Attijari Leasing, in case of need. However, the probability of such support is limited by ABT's and AWB's creditworthiness.
The capital increase allowed Attijari Leasing's solvency ratio to meet the regulatory minimum (8%); it stood at 14.2% at end-May 2008. However, Fitch considers this ratio to be low, given Attijari Leasing's weak asset quality. Liquidity remains tight although Attijari Leasing can rely on the support of its bank shareholders, if necessary. Furthermore, Attijari Leasing benefits from ABT's and AWB's commercial and technical expertise, aiding its business and financial recovery.
Attijari Leasing had a 7% share of the Tunisian leasing market at end-2007.
Attijari Leasing's ratings were placed on Watch Positive on 8 February 2008.
- Ends -
Note to Editors:
Fitch's National ratings provide a relative measure of creditworthiness for rated entities in countries with relatively low international sovereign ratings and where there is demand for such ratings. The best risk within a country is rated 'AAA' and other credits are rated only relative to this risk. National ratings are designed for use mainly by local investors in local markets and are signified by the addition of an identifier for the country concerned, such as 'AAA(tun)' for National ratings in Tunisia. Specific letter grades are not therefore internationally comparable.
Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site.
For more information, please contact:
Philippe Lamaud
Paris
Tel: +33 1 44 29 91 26
Sonia Trabelsi
Tunis
Tel: +216 71 840 902
Hannah Warrington
London
Tel: +44 (0) 207 417 6298
© Press Release 2008
