S&P: BNP Paribas Securities Rated AA-/A-1+ With a Stable Outlook

October 20 00:00 2011

NEW YORK, October 20 (RainbowNewsLine.com) – Analysts at S&P’S Rating Services have affirmed ‘AA-/A-1+’ counterparty credit rating on BNP Paribas Securities Corp. (BNPPCS) with a stable outlook.

The ‘AA-/A-1+’ rating on BNPPCS is exclusively based on the guarantee provided by its parent company BNPP and the guarantee includes all payment of BNPPCS.  The stable outlook of BNPPSC is based on the outlook of BNPP. Matthew Albrecht a S&P’s Credit rating analyst says,” We base our ratings on BNPPSC solely on the guarantee provided by BNP Paribas (BNPP), which we currently rate ‘AA-‘. BNPP guarantees all of BNPPSC’s payment obligations,”

The guarantee taken by BNPP can be ended only if; the guarantor is replaced having equal or better ratings than BNPPSC. If BNPPCS ceases to be an affiliate of BNPP, then BNPP will continue to honor obligations at the time of termination. If BNPPSC’s rating without the guarantee is same or higher than the rating on the entity with the guarantee.

BNPPSC is a wholly owned, indirect subsidiary of BNPP and it’s the main commercial and investment banking legal body for BNPP in the US. BNPPSC trades in both fixed income and equity in the US,  in addition it is registered with SEC & Commodity Future Trading Commission.`