Jan 23 - Fitch Ratings believes there is no impact to the outstanding
ratings of Boeing Capital Corporation (BCC) following The Boeing Company's (BA)
announcement that BCC intends to voluntarily suspend its separate U.S.
Securities and Exchange Commission (SEC) reporting obligations. Fitch does
not anticipate this change to affect the ratings of BA. For more information,
please see Fitch's press release, 'Boeing's Guarantee of Boeing Capital Does Not
Affect 'A/F1' Ratings,' dated Jan. 23, 2013, available at www.fitchratings.com.
On Jan. 23, 2013, BCC filed to terminate its existing SEC debt registration
statements. As a result, BCC's reporting requirements under the Securities and
Exchange Act of 1934 will be suspended and BCC will no longer file certain
documents, including reports on Forms 8-K, 10-K and 10-Q, after its upcoming
Form 10-K filing with the SEC. Going forward, Fitch expects BCC will be
reported publicly as a segment within BA's quarterly and annual consolidated
financial statements, supplemented by additional financial information provided
to Fitch on a private basis.
The ratings of BCC are linked to those of its parent, reflecting Fitch's belief
that the company is core to BA's overall franchise. In connection with this
announcement, BA intends to terminate its existing support agreement with BCC
and replace it with an unconditional guaranty. BA has unconditionally
guaranteed the due and punctual payment and performance of all of BCC's
outstanding publicly-issued debt obligations. The guaranty will remain in full
force and effect until these debt obligations are paid in full. Consistent with
Fitch's criteria, 'Rating FI Subsidiaries and Holding Companies', the
unconditional guaranty reinforces the rating linkages between BCC and its parent
due to Fitch's belief that this form of support is considered to be stronger
than the current agreement being replaced, and therefore the termination of the
support agreement does not adversely affect BCC's ratings.
BCC's ratings and Outlook are linked to those of its parent. Positive and
negative rating actions will be limited by Fitch's view of BA's credit profile.
However, negative rating actions could also result from a change in the
perceived relationship between BCC and BA, including the early termination of
the parent guaranty prior to the repayment of BCC's outstanding publicly-issued
Fitch currently has the following ratings:
Boeing Capital Corporation
--Long-term Issuer Default Rating 'A';
--Short-term Issuer Default Rating 'F1';
--Commercial paper 'F1';
--Senior unsecured 'A'.
The Rating Outlook is Stable.