TEXT-Fitch rates Hungarian Export Import Bank notes 'BB+'

Mon Dec 10, 2012 11:53am EST

Dec 10 - Fitch Ratings has assigned Hungarian Export Import Bank's (Hexim;
'BB+'/Negative) EUR2bn global medium-term note (MTN) programme final senior
foreign currency unsecured debt Long- and Short-term ratings of 'BB+' and 'B'
respectively. At the same time Fitch has assigned Hexim's USD500m senior
unsecured bonds a Long-term foreign currency rating of 'BB+'.

RATING ACTION RATIONALE
The ratings of Hexim's MTN programme and senior unsecured bond are in line with
the bank's Long-term foreign currency Issuer Default Rating and are based on
potential support from the Republic of Hungary in light of the bank's policy
role and its close integration with the sovereign.

The assignment of the final ratings to the MTN programme follows the receipt of
documents conforming to the information previously received. The final ratings
are the same as the expected rating assigned on 30 November 2012.

The five-year senior USD bonds were issued under the EUR2.0bn MTN programme. The
bonds carry a fixed 5.5% semi-annual coupon and mature on 12 February 2018.

RATING DRIVERS AND SENSITIVITIES
The issue and the programme's ratings would be downgraded if the sovereign's
credit profile, and hence its ability to provide support is weakened. Fitch is
of the opinion that the state's strong propensity to support Hexim is unlikely
to be revised in the foreseeable future.

Additional information is available on 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, 'Global Financial Institutions Rating Criteria', dated 15
August 2012, are
available at www.fitchratings.com.

Applicable Criteria and Related Research:
Global Financial Institutions Rating Criteria
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