Commission Implementing Regulation (EU) 2019/2028 of 29 November 2019 amending Implementing Regulation (EU) 2016/1799 as regards the mapping tables specifying the correspondence between the credit risk assessments of external credit assessment institutions and the credit quality steps set out in Regulation (EU) No 575/2013 of the European Parliament and of the Council (Text with EEA relevance)
Date: 2019-11-29
Institutions: Directorate-General for Financial Stability, Financial Services and Capital Markets Union, European Commission
Subjects: audit, banking policy, credit institution, financial control, financial legislation, financial solvency, investment company, market supervision, technical standard








L_2019313EN.01003401.xml










4.12.2019   


EN


Official Journal of the European Union


L 313/34








            COMMISSION IMPLEMENTING REGULATION (EU) 2019/2028
of 29 November 2019
         
amending Implementing Regulation (EU) 2016/1799 as regards the mapping tables specifying the correspondence between the credit risk assessments of external credit assessment institutions and the credit quality steps set out in Regulation (EU) No 575/2013 of the European Parliament and of the Council
(Text with EEA relevance)


THE EUROPEAN COMMISSION,

Having regard to the Treaty on the Functioning of the European Union,


Having regard to Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms (1), and in particular the third subparagraph of Article 136(1) thereof,

Whereas:







(1)


Commission Implementing Regulation (EU) 2016/1799 (2) specifies, in its Annex III, the correspondence of the relevant credit assessments issued by an external credit assessment institution (‘ECAI’) to the credit quality steps set out in Section 2 of Chapter 2 of Title II of Part Three of Regulation (EU) No 575/2013 (‘mapping’).












(2)


Following the latest amendments, by Commission Implementing Regulation (EU) 2018/634 (3), to Annex III to Implementing Regulation (EU) 2016/1799, the quantitative and qualitative factors underpinning the credit assessments of some mappings in Annex III to Implementing Regulation (EU) 2016/1799 have changed. In addition, some ECAIs have extended their credit assessments to new market segments, resulting in new rating scales and new credit rating types. It is therefore necessary to update the mappings of the ECAIs concerned.












(3)


Since the adoption of Implementing Regulation (EU) 2018/634, another credit rating agency has been registered in accordance with Regulation (EC) No 1060/2009 of the European Parliament and of the Council (4). As Article 136(1) of Regulation (EU) No 575/2013 requires the specification of mappings for all ECAIs, it is necessary to provide a mapping for that newly registered ECAI. The credit assessments applied by the newly registered ECAI are based on the same methodology as that applied by its parent company, a third country ECAI for which a mapping had already been established in Annex III to Implementing Regulation (EU) 2016/1799. It is therefore appropriate in this specific case that the mapping for the newly registered ECAI mirrors the mapping established for that third country ECAI.












(4)


This Regulation is based on the draft implementing technical standards submitted by the European Banking Authority, the European Securities and Markets Authority and the European Insurance and Occupational Pensions Authority jointly (the European Supervisory Authorities) to the Commission.












(5)


The European Supervisory Authorities have conducted open public consultations on the draft implementing technical standards, analysed the potential related costs and benefits and requested the opinion of the Banking Stakeholder Group established in accordance with Article 37 of Regulation (EU) No 1093/2010 of the European Parliament and of the Council (5); the opinion of the Securities and Markets Stakeholder Group established in accordance with Article 37 of Regulation (EU) No 1095/2010 of the European Parliament and of the Council (6); and the opinion of the Insurance and Reinsurance Stakeholder Group established in accordance with Article 37 of Regulation (EU) No 1094/2010 of the European Parliament and of the Council (7).












(6)


Implementing Regulation (EU) 2016/1799 should therefore be amended accordingly,





HAS ADOPTED THIS REGULATION:



Article 1

Amendment to Implementing Regulation (EU) 2016/1799

Annex III to Implementing Regulation (EU) 2016/1799 is replaced by the text set out in the Annex to this Regulation.


Article 2

Entry into force

This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.




This Regulation shall be binding in its entirety and directly applicable in all Member States.
Done at Brussels, 29 November 2019.


For the Commission


The President

Jean-Claude JUNCKER
            





(1)  
            OJ L 176, 27.6.2013, p. 1.

(2)  Commission Implementing Regulation (EU) 2016/1799 of 7 October 2016 laying down implementing technical standards with regard to the mapping of credit assessments of external credit assessment institutions for credit risk in accordance with Articles 136(1) and 136(3) of Regulation (EU) No 575/2013 of the European Parliament and of the Council (OJ L 275, 12.10.2016, p. 3).

(3)  Commission Implementing Regulation (EU) 2018/634 of 24 April 2018 amending Implementing Regulation (EU) 2016/1799 as regards the mapping tables specifying the correspondence between the credit risk assessments of external credit assessment institutions and the credit quality steps set out in Regulation (EU) No 575/2013 of the European Parliament and of the Council (OJ L 105, 25.4.2018, p. 14).

(4)  Regulation (EC) No 1060/2009 of the European Parliament and of the Council of 16 September 2009 on credit rating agencies (OJ L 302, 17.11.2009, p. 1).

(5)  Regulation (EU) No 1093/2010 of the European Parliament and of the Council of 24 November 2010 establishing a European Supervisory Authority (European Banking Authority), amending Decision No 716/2009/EC and repealing Commission Decision 2009/78/EC(OJ L 331, 15.12.2010, p. 12).

(6)  Regulation (EU) No 1095/2010 of the European Parliament and of the Council of 24 November 2010 establishing a European Supervisory Authority (European Securities and Markets Authority), amending Decision No 716/2009/EC and repealing Commission Decision 2009/77/EC (OJ L 331, 15.12.2010, p. 84).

(7)  Regulation (EU) No 1094/2010 of the European Parliament and of the Council of 24 November 2010 establishing a European Supervisory Authority (European Insurance and Occupational Pensions Authority), amending Decision No 716/2009/EC and repealing Commission Decision 2009/79/EC (OJ L 331, 15.12.2010, p. 48).




ANNEX



‘ANNEX III

Mapping tables for the purposes of Article 16












Credit quality step


1


2


3


4


5


6





ACRA Europe, a.s (formerly European Rating Agency, a.s.)



 


 


 


 


 


 




Global long-term rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Global short-term rating scale


S1


 


S2


S3, S4, NS


 


 





AM Best Europe Rating Services



 


 


 


 


 


 




Long-term issuer credit rating scale


aaa, aa+, aa, aa-


a+, a, a-


bbb+, bbb, bbb-


bb+, bb, bb-


b+, b, b-


ccc+, ccc, ccc-, cc, c, d, e, f, s




Long-term issue rating scale


aaa, aa+, aa, aa-


a+, a, a-


bbb+, bbb, bbb-


bb+, bb, bb-


b+, b, b-


ccc+, ccc, ccc-, cc, c, d, s




Financial strength rating scale


A++, A+


A, A-


B++, B+


B, B-


C++, C+


C, C-, D, E, F, S




Short-term issuer rating scale


AMB-1+


AMB-1-


AMB-2,
AMB-3


AMB- 4, d, e, f, s


 


 




Short-term issue rating scale


AMB-1+


AMB-1-


AMB-2,
AMB-3


AMB- 4, d, s


 


 





ARC Ratings S.A.



 


 


 


 


 


 




Medium- and long-term issuer rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Medium- and long-term issue rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Short-term issuer rating scale


A-1+


A-1


A-2, A-3


B, C, D


 


 




Short-term issue rating scale


A-1+


A-1


A-2, A-3


B, C, D


 


 





ASSEKURATA Assekuranz Rating-Agentur GmbH



 


 


 


 


 


 




Long-term credit rating scale


AAA, AA


A


BBB


BB


B


CCC, CC/C, D




Short-term corporate rating scale


A++


A


 


B, C, D


 


 





Axesor Risk Management SL



 


 


 


 


 


 




Global rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D, E





Banque de France



 


 


 


 


 


 




Global long-term issuer credit rating scale


3++


3+, 3


4+


4, 5+


5, 6


7, 8, 9, P





BCRA — Credit Rating Agency AD



 


 


 


 


 


 




Global long-term rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Global short-term rating scale


A-1+


A-1


A-2, A-3


B, C, D


 


 




Pension-insurance company long-term scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Pension-insurance company short-term scale


A-1+


A-1


A-2, A-3


B, C, D


 


 




Pension fund long-term scale


AAA pf, AA pf


A pf


BBB pf


BB pf


B pf


C pf




Guarantee fund long-term scale


AAA, AA


A


BBB


BB


B


C, D




Guarantee fund short-term scale


A-1+


A-1


A-2, A-3


B, C, D


 


 





Capital Intelligence Ratings Ltd



 


 


 


 


 


 




International long-term issuer rating scale


AAA, AA


A


BBB


BB


B


C, RS, SD, D




International long-term issue rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




International long-term insurer financial strength rating scale


AAA, AA


A


BBB


BB


B


C, RS, SD, D




International short-term issuer rating scale


A1+


A1


A2, A3


B, C, RS, SD, D


 


 




International short-term issue rating scale


A1+


A1


A2, A3


B, C, D


 


 




International short-term insurer financial strength rating scale


A1+


A1


A2, A3


B, C, RS, SD, D


 


 





Cerved Rating Agency S.p.A.



 


 


 


 


 


 




Corporate long-term rating scale


A1.1, A1.2, A1.3


A2.1, A2.2, A3.1


B1.1, B1.2


B2.1, B2.2


C1.1


C1.2, C2.1





Creditreform Rating AG



 


 


 


 


 


 




Long-term issuer rating scale


AAA, AA


A


 


BBB


BB


B, C, SD, D




Long-term issue rating scale


AAA, AA


A


 


BBB


BB


B, C, D




Short-term rating scale


L1


L2


 


L3, NEL, D


 


 





CRIF Ratings S.r.l.



 


 


 


 


 


 




Long-term issuer rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D1S, D




Long-term issue rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, DS




Short-term issuer rating scale


IG-1


 


IG-2


SIG-1, SIG-2, SIG-3, SIG-4


 


 




Short-term issue rating scale


IG-1


 


IG-2


SIG-1, SIG-2, SIG-3, SIG-4


 


 





Dagong Europe Credit Rating Srl



 


 


 


 


 


 




Long-term credit rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Short-term credit rating scale


A-1


 


A-2, A-3


B, C, D


 


 





DBRS Ratings



 


 


 


 


 


 




Long-term obligations rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Commercial paper and short-term debt rating scale


R-1 H, R-1 M


R-1 L


R-2, R-3


R-4, R-5, D


 


 




Financial strength rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, R





Egan-Jones Ratings Co.



 


 


 


 


 


 




Long-term credit rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Short-term credit rating scale


A-1+


A-1


A-2


A-3, B, C, D


 


 





Euler Hermes Rating GmbH



 


 


 


 


 


 




Global long-term rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, SD, D





EuroRating Sp. z o.o.



 


 


 


 


 


 




Global long-term rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D





Fitch Ratings



 


 


 


 


 


 




Long-term issuer default rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, RD, D




Corporate finance obligations — long-term rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C




Long-term international Insurer Financial Strength rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C




Derivative counterparty rating scale


AAA dcr, AA dcr


A dcr


BBB dcr


BB dcr


B dcr


CCC dcr, CC dcr, C dcr




Short-term rating scale


F1+


F1


F2, F3


B, C, RD, D


 


 




Short-term IFS rating scale


F1+


F1


F2, F3


B, C


 


 





GBB-Rating Gesellschaft für Bonitätsbeurteilung GmbH



 


 


 


 


 


 




Global long-term rating scale


AAA, AA


 


A, BBB


BB


B


CCC, CC, C, D





HR Ratings de México, S.A. de C.V.



 


 


 


 


 


 




Global long-term rating scale


HR AAA(G)/HR AA(G)


HR A(G)


HR BBB(G)


HR BB(G)


HR B(G)


HR C(G)/HR D(G)




Global short-term rating scale


HR+1(G)/HR1(G)


HR2(G)


HR3(G)


HR4(G), HR5(G), HR D(G)


 


 





ICAP Group S.A



 


 


 


 


 


 




Global long-term rating scale


 


AA, A


BB, B


C, D


E, F


G, H





INC Rating Sp. z o.o.



 


 


 


 


 


 




Long-term issuer credit rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D





Japan Credit Rating Agency Ltd



 


 


 


 


 


 




Long-term issuer rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, LD, D




Long-term issue rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Short-term issuer rating scale


J-1+


J-1


J-2


J-3, NJ, LD, D


 


 




Short-term issue credit rating scale


J-1+


J-1


J-2


J-3, NJ, D


 


 





Kroll Bond Rating Agency



 


 


 


 


 


 




Long-term credit rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Short-term credit rating scale


K1+


K1


K2, K3


B, C, D


 


 





Kroll Bond Rating Agency Europe



 


 


 


 


 


 




Long-term credit rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Short-term credit rating scale


K1+


K1


K2, K3


B, C, D


 


 





modeFinance S.r.l.



 


 


 


 


 


 




Global long-term rating scale


A1, A2


A3


B1


B2


B3


C1, C2, C3, D





Moody’s Investors Service



 


 


 


 


 


 




Global long-term rating scale


Aaa, Aa


A


Baa


Ba


B


Caa, Ca, C




Global short-term rating scale


P-1


P-2


P-3


NP


 


 





QIVALIO SAS (formerly Spread Research)



 


 


 


 


 


 




Global long-term rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Global short-term rating scale


SR0


 


SR1, SR2


SR3, SR4, SR5, SRD


 


 





Rating-Agentur Expert RA GmbH



 


 


 


 


 


 




International credit rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D, E




International reliability rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D, E





Scope Ratings GmbH



 


 


 


 


 


 




Long-term rating scale


AAA, AA


A


BBB


BB


B


CCC, CC,C, D




Short-term rating scale


S-1+


S-1


S-2


S-3, S-4


 


 





S&P Global Ratings Europe Limited



 


 


 


 


 


 




Long-term issuer credit rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, R, SD/D




Long-term issue credit rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D




Insurer financial strength rating scale


AAA, AA


A


BBB


BB


B


CCC, CC, SD/D, R




Mid-Market Evaluation rating scale


 


MM1


MM2


MM3, MM4


MM5, MM6


MM7, MM8, MMD




Short-term issuer credit rating scale


A-1+


A-1


A-2, A-3


B, C, R, SD/D


 


 




Short-term issue credit rating scale


A-1+


A-1


A-2, A-3


B, C, D


 


 





The Economist Intelligence Unit Ltd



 


 


 


 


 


 




Sovereign rating band scale


AAA, AA


A


BBB


BB


B


CCC, CC, C, D






            ’