(The following was released by the rating agency)
TAIPEI/SYDNEY, November 16 (Fitch) Fitch Ratings has
upgraded Taiwan-based Pacific Securities Corporation's (PSC)
National Ratings to Long-Term 'A+(twn)' and Short-Term
'F1+(twn)' and removed them from Rating Watch Positive (RWP).
The ratings have simultaneously been withdrawn.
The upgrade follows acquisition by SinoPac Securities (SPS),
a fully-owned subsidiary of SinoPac Financial Holdings (SPH:
'BBB'/Stable). PSC's ratings are now aligned with those of SPH
on the basis that it will benefit from group support from SPH.
Under the Financial Holding Company Act, SPH is obliged to
assist its subsidiary if falls into financial difficulties.
Given the small size of the merged entity relative to SPH, Fitch
believes that the holding company will be able to support the
former, in case of need, without significantly affecting its
The ratings have been withdrawn, as PSC has now been merged
into SPS and no longer exists as an entity. Please also refer to
the latest rating action commentary on SPH, dated 7 November
The rating actions are as follows:
National Long-Term rating upgraded to 'A+(twn)' from
'BBB-(twn)'; removed from RWP; withdrawn;
National Short-Term rating upgraded to 'F1+(twn)' from
'F3(twn)'; removed from RWP; withdrawn