Moody’s affirms Luminor’s ratings and changes its rating outlook to positive

On 1 November Moody’s Investor Service (Moody’s) affirmed Luminor Bank’s A3 bank deposit and Baa1 senior unsecured debt ratings and changed the outlook on their ratings to positive.

Explaining their decision, Moody’s noted Luminor’s robust capitalisation, successful reduction of non-performing loans, and improving profitability, together with the banks’ broad lending portfolio – by customer type and country – and local deposit base.

Luminor Bank CFO, Pall Nordahl, commented:
‘We are pleased that Moody’s recognizes the progress Luminor has made. Moody’s comments are reflective of our strategy and priorities for the period ahead. We are focused on doing more business with more customers – individuals and companies resident in the Baltic countries – raising our efficiency and enhancing our IT operations, and building our unique culture, while maintaining our financial strength and prudent risk management.

Moody’s today affirmed Luminor Bank AS’s long‑term and short‑term bank deposit ratings of A3/P‑2, senior unsecured rating of Baa1, senior unsecured Medium‑Term Note program rating of (P)Baa1, and Counterparty Risk Ratings of A2/P‑1. Moody’s furthermore affirmed their Baseline Credit Assessment (BCA) and Adjusted BCA of baa3, and Counterparty Risk Assessment of A2(cr)/P‑1(cr). The outlook on the long‑term bank deposit and senior unsecured ratings was changed to positive from stable.