(The following statement was released by the rating agency)
Oct 04 - =============================================================================== Summary analysis -- FMS Wertmanagement Anstalt des oeffentlichen -- 04-Oct-2012 Rechts =============================================================================== CREDIT RATING: AAA/Stable/A-1+ Country: Germany Primary SIC: Structured Investment Vehicle =============================================================================== Credit Rating History: Local currency Foreign currency 22-Sep-2010 AAA/A-1+ AAA/A-1+ =============================================================================== Major Rating Factors Strengths:
-- "Almost certain" likelihood of extraordinary government support from the Federal Republic of Germany.
-- "Critical" public policy role for the workout of the Hypo Real Estate group's nonstrategic and nonperforming assets.
-- "Integral" link to Germany and mechanism of state support. Weaknesses: -- Reliance on government support to offset losses. -- Very week asset quality of transferred portfolios. -- No internal capital generation capacity. Outlook
Standard & Poor's Ratings Services' outlook on German nonbank workout entity FMS Wertmanagement Anstalt des oeffentlichen Rechts (FMSW) reflects that on the Federal Republic of Germany (unsolicited ratings AAA/Stable/A-1+). As a result, any rating action on the German sovereign will be reflected in a similar rating action on FMSW.
Any change in FMSW's role for and link to Germany could trigger a negative rating action. However we do not anticipate any change. We believe that the likelihood of support from Germany is "almost certain" and that the agency's current status as a government-related entity will continue in the near future.
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