NEW YORK--(BUSINESS WIRE)--Fitch Ratings expects to assign Banco de Credito del Peru's (BCP) upcoming up to seven-year U.S. dollar and/or Peruvian Soles (PEN) senior unsecured fixed-rate notes a long-term rating of 'BBB (exp)'.
The notes - for an amount to be determined - will be issued by BCP through its Panamanian branch. Principal will mature in up to seven years, and interest payments will be made semi-annually until maturity. The notes will carry a fixed interest rate to be set at time of issuance. The final rating is contingent upon the receipt of final documents conforming to information already received.
BCP has a long-term local currency Issuer Default Rating (IDR) of 'BBB', and a long-term foreign currency IDR of 'BBB'. The notes will rank pari passu with all of BCP's existing and future senior unsecured debt and will be senior to BCP's existing and future subordinated and junior subordinated debt.
BCP will use the proceeds from the planned issue for general corporate purposes. Although its leverage will increase in the short run, Fitch expects that gradual debt replacement and continued growth and positive returns will allow the bank to sustain adequate capital levels.
BCP is Peru's largest bank, with a dominating market share of about 37% of the system's assets. It is the principal operating company within Credicorp, Peru's largest financial services company, which controls 97.6% of BCP; Credicorp is widely held.
Fitch currently rates BCP as follows:
--Foreign currency long-term IDR 'BBB';
--Foreign currency short-term IDR 'F2';
--Local currency long-term IDR 'BBB';
--Local currency short-term IDR 'F2';
--Individual rating 'C';
--Support rating '3';
--Support floor 'BB+';
--Senior unsecured debt 'BBB';
--Subordinated debt 'BBB-';
--Junior subordinated debt 'BB+'.
The Rating Outlook is Stable.
Additional information is available at 'www.fitchratings.com'.
Applicable Criteria and Related Research:
--' Global Financial Institutions Rating Criteria' (Aug. 16, 2010).
Applicable Criteria and Related Research:
Global Financial Institutions Rating Criteria
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=547685
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