Sharenet Sites 
Sharenet Sites
Land Bank: Rating action follows the sovereign rating’s review announcement
THE LAND AND AGRICULTURAL DEVELOPMENT BANK OF SOUTH AFRICA
(JSE Code: BILB)
(“the Land Bank”)
Land and Agricultural Development Bank of South Africa: Rating action follows the sovereign
rating’s review announcement
On 28 November 2017, Moody's Investors Service, ("Moody's") had placed on review for downgrade
the Baa3 long-term and Prime-3 short-term foreign-currency issuer ratings of the Land and Agricultural
Development Bank ("Land Bank"). The Land Bank’s long-term national scale issuer ratings (NSRs) of
Aa1.za was also placed on review for downgrade.
The rating action reflects South Africa's weak operating environment and the government's weakening
capacity to support the Bank in case of need, as captured by Moody's recent decision to place South
Africa's Baa3 government bond ratings on review for downgrade. For further information, refer to the
sovereign press release "Moody's places South Africa's Baa3 ratings on review for downgrade"
(https://www.moodys.com/research/--PR_375816).
During the review, the rating agency will assess its government support assumptions incorporated into
Land Bank's ratings, in the context of the government's potentially weakening capacity to support the
institution in case of need, as suggested by South Africa's current rating review for downgrade.
Concurrently Moody's will examine Land Bank's stand-alone credit profile positioned at ba3, in the
context of on-going economic headwinds and how these may affect its asset quality metrics, moderate
capital buffers and its funding/ liquidity profile.
List of affected ratings
Placed on “Review for Downgrade”:
- LT Issuer Rating (Local & Foreign Currency), currently Baa3, Outlook changed to “Rating under
Review” from “Negative”
- ST Issuer Rating (Local & Foreign Currency), currently P-3
- NSR LT Issuer Rating, currently Aa1.za
Outlook Actions:
Outlook, changed to “Rating under Review” from “Negative”
Land Bank will provide its full cooperation to Moody’s during its review and will communicate the
outcome thereof once the review and been completed.
29 November 2017
Enquiries
Land and Agricultural Development Bank of South Africa
TP Nchocho, Chief Executive Officer
Bennie van Rooy, Chief Financial Officer
Tabby Tsengiwe – Tel: 012 686 0921
Debt Sponsor
The Standard Bank of South Africa Limited
Date: 29/11/2017 09:45:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
