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NEDBANK GROUP LIMITED - NEDBANK GROUP ? `BBB+? CREDIT RATING UPGRADE BY FITCH

Release Date: 20/07/2012 08:00
Code(s): NED NBK
Wrap Text
NEDBANK GROUP – ‘BBB+’ CREDIT RATING UPGRADE BY FITCH

NEDBANK GROUP LIMITED
(Incorporated in the Republic of South Africa)
Registration number 1966/010630/06
JSE share code NED
NSX share code NBK
ISIN ZAE000004875
(“Nedbank Group”)

NEDBANK LIMITED
(Incorporated in the Republic of South Africa)
Registration number 1951/000009/06
JSE share code NBKP
ISIN ZAE000043667

NEDBANK GROUP – ‘BBB+’ CREDIT RATING UPGRADE BY FITCH

On Thursday, 19 July 2012 Fitch Ratings released a media statement that the credit ratings of
Nedbank Group Limited (Nedbank Group) and its 100 percent owned subsidiary, Nedbank
Limited (Nedbank) had been upgraded.

Nedbank Group and Nedbank’s Long-term foreign and local currency Issuer default rating
(IDR) ratings had been upgraded to ‘BBB+’ from ‘BBB’. At the same time the Viability Ratings
had been upgraded to ‘bbb+’ from ‘bbb’ and the National Long-term rating to ‘AA(zaf)’ from
‘AA-(zaf)’.

Fitch has also upgraded Nedbank’s Senior Unsecured Notes and Subordinated Notes. The
Senior Unsecured notes Long-term rating were upgraded to ‘BBB+’ from ‘BBB’, and the
National Long-term rating was upgraded to ‘AA(zaf)’ from ‘AA-(zaf)’. Nedbank’s Subordinated
Notes were upgraded to ‘BBB’ from ‘BBB-’.

All other ratings of the group and bank have been affirmed. The Outlook on the National
ratings remains stable and the Outlook on all the Long-term ratings remains Negative
reflecting the uncertain economic environment.

The full list of ratings is detailed at the end of this announcement.

Nedbank Group’s Chief Executive, Mike Brown, said “the credit ratings upgrade by Fitch
recognises the good progress the bank has made in repositioning Nedbank Retail, growing
NIR and portfolio tilt to strengthen our balance sheet”.

The rating actions are as follows

Nedbank Group
Long-term foreign currency IDR upgraded to ‘BBB+’ from ‘BBB’; Outlook Negative
Long-term local currency IDR upgraded to‘BBB+’ from ‘BBB’; Outlook Negative
Short-term foreign currency IDR affirmed at ‘F2’;
Viability Rating upgraded to ‘bbb+’ from ‘bbb’;
National Long-term Rating upgraded to ‘AA(zaf)’ from ‘AA-(zaf)’; Outlook Stable
National Short-term Rating affirmed at ‘F1+(zaf)’
Support Rating affirmed at ‘2’

Nedbank
Long-term foreign currency IDR downgraded to ‘BBB+’ from ‘BBB’; Outlook Negative
Long-term local currency IDR downgraded to ‘BBB+’ from ‘BBB’; Outlook Negative
Short-term foreign currency IDR affirmed at ‘F2’
National Long-term Rating upgraded to ‘AA(zaf)’ from ‘AA-(zaf)’; Outlook Stable
National Short-term Rating affirmed at ‘F1+(zaf)’
Support Rating affirmed at ‘2’
Senior unsecured notes Long-term rates upgraded to ‘BBB+’ from ‘BBB’, Short-term rating
affirmed at ‘F2’
Senior unsecured notes National Long-term rating upgraded to ‘AA(zaf)’ from ‘AA-(zaf)’
Subordinated notes upgraded to ‘BBB’ from ‘BBB-’

Nedbank Group is a bank holding company that operates as one of the four largest banking
groups in South Africa through its principal banking subsidiary, Nedbank Limited. Nedbank is
the group’s primary operating subsidiary and comprises five core business clusters - Nedbank
Capital, Nedbank Corporate, Nedbank Business Banking, Nedbank Retail and Nedbank
Wealth. The group is 51.9 percent owned by Old Mutual Plc and its associate companies.

Sandton
20 July 2012

Sponsors to Nedbank Group in South Africa
Merrill Lynch South Africa (Pty) Limited
Nedbank Capital

Sponsor to Nedbank Group in Namibia
Old Mutual Investment Services (Namibia) (Pty) Ltd

Sponsors to Nedbank Limited
Investec Bank Limited
Nedbank Capital

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