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RFC Process Summary: Analyzing Letter Of Credit And Bank Liquidity Supported Transactions In Primary And Secondary Markets: Methodology And Assumptions


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RFC Process Summary: Analyzing Letter Of Credit And Bank Liquidity Supported Transactions In Primary And Secondary Markets: Methodology And Assumptions

On Oct. 25, 2022, S&P Global Ratings published a request for comment (RFC) on its proposed criteria, "Analyzing Letter Of Credit And Bank Liquidity Supported Transactions In Primary And Secondary Markets: Methodology And Assumption."

We finalized and published our criteria, "Methodology For Analyzing Letter Of Credit And Bank Liquidity-Supported Transactions," on March 20, 2023.

We'd like to thank investors, issuers, and other intermediaries for their interest in our RFC. This RFC Process Summary provides an overview of the changes we made following the RFC period and the rationale for those changes. We did not receive any feedback from market participants.

External Written Comments Received From Market Participants That Led To Significant Analytical Changes To The Final Criteria

We did not receive any external written comments from market participants.

Significant Analytical Changes To The Final Criteria That Did Not Arise From Market Feedback

We finalized and published the final criteria without making any significant analytical changes to the criteria.

Changes we made relative to our RFC were not significant. They included clarifying in Section 1 the application of the criteria when two or more partially supporting parties combine to wholly support debt repayment (several support). Likewise, in Appendix 4 we clarified the treatment under the criteria of tender option bond (TOB) trusts that contain multiple assets, consistent with Appendix 5. Finally, we made editorial changes to the text to improve readability, and we made changes to the format of tables 1, 2, 3, 4, and 6 to improve their layout.

This report does not constitute a rating action.

Analytical Contacts:Santos Souffront, New York + 1 (212) 438 2197;
Alexander J Gombach, New York + 1 (212) 438 2882;
Methodology Contact:Herve-Pierre P Flammier, Paris + 44 20 7176 7338;

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