■ Rating Definition

• AAA : Capacity for payment of financial commitments is exceptionally strong, and highly unlikely to be adversely affected by foreseeable changes in circumstances.
• AA : Capacity for payment of financial commitments is very strong, but somewhat less than AAA.
• A : Capacity for payment of financial commitments is strong, but somewhat vulnerable to adverse economic conditions or changes in circumstances.
• BBB : Capacity for payment of financial commitments is adequate, but more likely to be impaired by adverse economic conditions or changes in circumstances.
• BB : Capacity for payment of financial commitments may be moderate, but has speculative characteristics.
• B : Capacity for payment of financial commitments is weak and speculative, and its future stability is uncertain.
• CCC : Capacity for payment of financial commitments is subject to default risk, and as such possesses highly speculative characteristics.
• CC : Capacity for payment of financial commitments contains high possibility of default, and is more vulnerable to adverse economic conditions or changing circumstances than higher ratings.
• C : Capacity for payment of financial commitments contains extremely high possibility of default, with little chance of recovery.
• D : Payment default on financial commitments.

Note: The ratings from AA to CCC may be modified by the addition of a plus(+) or minus(-) sign to show relative standing within the major rating categories.

■ Rating Outlook

A Rating Outlook assesses the potential direction of issuer rating and long-term issuer rating over the intermediate to longer term. In determining a rating outlook, consideration is given to any changes in the economic and/or fundamental business conditions. An outlook is not necessarily a precursor of a rating change or future credit watch action.

• Positive : A rating may be raised in the mid term.
• Stable : A rating is not likely to change in the mid term, but a stable outlook does not indicate operating stability.
• Negative : A rating may be lowered in the mid term.
• Developing : A rating may be raised or lowered.

■ Credit Watch

Ratings appear on credit watch when a major event or a deviation from an expected trend occurs and additional information is necessary to review the current rating. In principle, the review period is 90 days, however, it can be extended if necessary.

• : The current rating may be raised.
• : The current rating may be lowered.
• : The current rating may be raised, lowered or affirmed.