On establishing the list of rating agencies and credit ratings for including securities in the first-level (top) quotation list

The Bank of Russia Board of Directors decided as follows:

In compliance with Bank of Russia Regulation No. 534-P, dated 24 February 2016, ‘On Securities Admittance to Organised Trades’ (hereinafter referred to as the Regulation), credit ratings needed to include bonds of Russian issuers, mortgage-backed bonds, special-purpose vehicle bonds, sovereign securities of Russian constituents or municipalities, and mortgage participation certificates in the first-level (top) quotation list shall be assigned by the following rating agencies:

S&P Global Ratings,

Fitch Ratings,

Moody’s Investors Service,

Joint-stock company Expert RA Rating Agency (JSC Expert RA),

Joint-stock company Analytical Credit Rating Agency (JSC ACRA).

In compliance with the Regulation, securities shall be assigned the following credit ratings to be included in the first-level (top) quotation list:

For the bonds of Russian issuers to be included in the first-level (top) quotation list, the international credit rating of a bond issuer (issue) and a warrantor (guarantor) in the classification of at least one of the rating agencies Fitch Ratings, S&P Global Ratings and Moody’s Investors Service shall be no lower than the sovereign rating of the Russian Federation in the corresponding currency assigned by the respective rating agency decreased by three notches, or the national credit rating shall be no lower than ruAA- in the classification of S&P Global Ratings, no lower than А+(rus) in the classification of Fitch Ratings of no lower than A+(I) in the classification of JSC Expert RA, or no lower than BBB+(RU) in the classification of JSC ACRA;

For the mortgage-backed bonds, special-purpose vehicle bonds, and sovereign securities of Russian constituents or municipalities to be included in the first-level (top) quotation list, the international credit rating of a bond issuer (issue) and a warrantor (guarantor) in the classification of at least one of the rating agencies Fitch Ratings, S&P Global Ratings and Moody’s Investors Service shall be no lower than the sovereign rating of the Russian Federation in the corresponding currency assigned by the respective rating agency decreased by three notches, or the national credit rating shall be no lower than ruAA- in the classification of S&P Global Ratings, no lower than А+(rus) in the classification of Fitch Ratings, or not lower than A+(I) in the classification of Expert RA, or no lower than BBB+(RU) in the classification of JSC ACRA;

For mortgage participation certificates to be included in the first-level (top) quotation list, the international credit rating of mortgage participation certificates in the classification of at least one of the rating agencies Fitch Ratings, S&P Global Ratings and Moody’s Investors Service shall be no lower than the sovereign rating of the Russian Federation in the corresponding currency assigned by the respective rating agency decreased by three notches, or the national credit rating shall be no lower than ruAA- in the classification of S&P Global Ratings, no lower than А+(rus) in the classification of Fitch Ratings, or no lower than A+(I) in the classification of Expert RA, or no lower than BBB+(RU) in the classification of JSC ACRA.

This decision takes into account the following credit ratings by foreign rating agencies:

Credit ratings by Fitch Ratings — issue credit rating (issuer default rating), corporate finance obligations, and rating of structured finance, project finance and public finance obligations;

Credit ratings by S&P Global Ratings — issuer credit rating and long-term issue credit rating,

Credit ratings by Moody’s Investors Service — issuer rating, corporate family rating, structured finance counterparty rating, long-term obligation rating and bank deposit rating. The corporate family rating shall be applied to the issuer only in case this credit rating is assigned directly to the issuer.

This decision takes into account the credit ratings assigned by JSC ACRA to credit institutions, Russian constituents and municipalities, non-finance organisations and individual issues of financial instruments.

Since this decision has been published, the list of rating agencies and credit ratings established by the decision of the Bank of Russia Board of Directors, dated 13 May 2016, shall not be applied to include securities in the first-level (top) quotation list.

This decision is to become effective since it has been published in the Internet.

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30.12.2016 00.00.00