Moody’s upgrades the ratings of all Greek mortgage covered bonds to B3

Moody’s Investors Service upgraded on Tuesday the ratings of the mortgage covered bonds across five Greek banks, citing a recent upgrade of the country’s sovereign rating and the banks’ rating.

– Upgraded to B3 from Caa2, the mortgage covered bonds issued by Alpha Bank (counterparty risk (CR) assessment Caa2 (cr)), under its Direct Issuance Global program.

– Upgraded to B3 from Caa2, the mortgage covered bonds issued by Eurobank Ergasias (CR assessment Caa2 (cr)), under its Covered Bonds 1 program.

– Upgraded to B3 from Caa2, Eurobank Ergasias, under its Covered Bonds 2 program.
– Upgraded to B3 from Caa2, the rating on the mortgage covered bonds issued by National Bank of Greece S.A. (CR assessment Caa2 (cr)), under its Global covered bond program.

– Upgraded to B3 from Caa2, the mortgage covered bonds issued by National Bank of Greece under its Covered Bond 2 program.

The ratings agency said the action on the covered bond ratings referenced above follow (1) the rating actions on the relevant issuer ratings and CR assessments; and (2) following the Greek sovereign rating upgrade to Caa2 from Caa3, the increase of Greece’s long-term country ceilings for bonds to B3, which now constrains the covered bond ratings at the B3 level.