News

Moody’s upgraded BTA Bank to B3

Almaty, May 25, 2011 – Moody's Investors Service upgraded the long-term deposit ratings of BTA Bank in local and foreign currency to B3 from Caa3. The bank's financial strength rating has been confirmed on E level, which maps to Caa2 on the long-term rating scale.

Concurrently, the bank's foreign currency senior unsecured and subordinated notes issued in the course of the restructuring have been assigned long-term debt ratings of Caa2 and Caa3, respectively.

BTA Bank's financial strength rating carries a stable outlook. The outlook on BTA Bank's long-term debt and deposit ratings is developing.

This rating action of the agency concludes the review of BTA Bank's ratings initiated by Moody's on 30 September 2010.

The upgrade of BTA Bank's debt ratings from Moody’s was triggered by the completion of BTA Bank's debt restructuring that facilitated recapitalisation of it by over USD11 billion. This in its turn enabled BTA Bank to increase shareholder's equity to USD2.36 billion, which meets the regulatory minimal capital adequacy requirements.

Developing outlook assigned to BTA Bank's debt and deposit ratings reflects the possibility of both upwards and downwards rating movements over the next 12 to 18 months. According to Moody's, BTA Bank's ratings may be upgraded if the bank restores its capital base and substantially improves operating efficiency. Conversely, if the bank fails to improve its operating efficiency and capital position within the next 12 to 18 months and reports recurring loss for a prolonged period of time, the ratings could be downgraded.

For international media inquiries, contact:

Tel. +7(727) 266 79 85, 266 47 99
e-mail: pr@bta.kz
www.bta.kz