TEXT-Fitch rates Charles Schwab's new notes 'A'

Thu Aug 23, 2012 12:07pm EDT

Aug 23 - Fitch Ratings has assigned a rating of 'A' to Charles Schwab
Corporation's (Schwab) $256 million of unsecured notes due September
2022 with a coupon of 3.225%. These new notes are being exchanged with an equal
amount of existing 4.95% unsecured notes maturing June 2014.

Fitch believes the exchange has been conducted in an effort to reduce Schwab's
cost of funding, given the attractive interest rate environment, and extend the
maturity of the existing notes. The issuance is not expected to impact Schwab's
capitalization or funding profile.

Fitch currently rates Schwab as follows:

The Charles Schwab Corporation
--Long-term Issuer Default Rating (IDR) 'A';
--Short-term IDR 'F1';
--Senior unsecured notes 'A';
--Short-term debt at 'F1';
--Preferred stock at 'BB+'
--Support '5'; and
--Support Floor 'NF'.

The Rating Outlook is Stable.

Contact:

Primary Analyst
Justin Fuller, CFA
Director
+1-312-368-2057
Fitch, Inc.
70 West Madison Street
Chicago, IL 60602

Secondary Analyst
Joo-Yung Lee
Managing Director
+1-212-908-0560

Committee Chairperson
Ed Thompson
Senior Director
+1-212-908-0364


Media Relations: Brian Bertsch, New York, Tel: +1 212-908-0549, Email:
brian.bertsch@fitchratings.com.

Additional information is available at 'www.fitchratings.com'. The ratings above
were solicited by, or on behalf of, the issuer, and therefore, Fitch has been
compensated for the provision of the ratings.

Applicable Criteria and Related Research:
--'Global Financial Institutions Rating Criteria', Aug. 15, 2012;
--'Securities Firms Criteria', Aug. 15, 2012;
--'Rating Bank Regulatory Capital and Similar Securities', Dec. 15, 2011;
--'Treatment of Hybrids in Bank Capital Analysis', July 9, 2012.

Applicable Criteria and Related Research:
Global Financial Institutions Rating Criteria
Securities Firms Criteria
Rating Bank Regulatory Capital and Similar Securities
Treatment of Hybrids in Bank Capital Analysis

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