Page 38 - TURKRptOct20
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The rating actions followed the revision of the outlook on Turkey's Long-Term Issuer Default Ratings (IDRs) to ‘Negative’ from ‘Stable’ on August 21.
The issuers' strong exposure to the Turkish economy means their Foreign-Currency IDRs are influenced by the Turkish Country Ceiling, which stands at ‘BB-’, Fitch said.
Fitch affirmed government-run real estate developer Emlak REIT and glassmaker Sisecam at ‘BB-’, three notches below investment grade, while also affirming durable households appliances maker Arcelik and local conglomerate Oyak (Turkish Armed Forces Assistance and Pension Fund) at ‘BB’, two notches below investment grade. All outlooks were cut to Negative from Stable.
On August 28, Fitch said in a separate statement that it had revised the outlook on Driver Turkey Master's notes to ‘Negative’ from ‘Stable’. It cited the same reasoning it applied to the telecom companies.
Fitch continued with its downgrading of outlooks on Turkish entities with banks.
On September 3, Fitch revised Anadolu Anonim Turk Sigorta Sirketi's (Anadolu Sigorta) outlook to ‘Negative’ from ‘Stable’ and affirmed the company's Insurer Financial Strength (IFS) Rating at 'BB'. Anadolu was the largest non-life insurer in Turkey by premium income at end-June, with a market share of around 12%.
On September 4, Fitch r evised its outlooks on the metropolitan municipalities of Istanbul, Izmir, Bursa, Antalya, Manisa and Mersin to ‘Negative’ from ‘Stable’. All the entities are rated at BB-.
6.4 Fixed income
Upcoming eurobond redemptions by major Turkish issuers
Issuer
ISIN
Coupon
Volume (mn)
Issuance
Maturity
Refinanced
Treasury
JP579200AHQ2
1.810%
JPY60bn
Dec 1, 2017
Dec 7, 2020
-
Eximbank
XS1345632811
5.375%
$500
Feb 8, 2016
Feb 8, 2021
-
Halkbank
XS1188073081
4.750%
$500
Feb 11, 2021
-
Treasury
JP579200ABF8
1.870%
JPY180bn
Mar 11, 2011
Mar 18, 2021
-
Treasury
US900123BH29
5.625%
$2,000
2010
Mar 30, 2021
-
Garanti
USM8931TAA71
6.250%
$500
Apr 20, 2021
Ziraat
XS1223394914
4.750%
$500
Apr, 2016
Apr 29, 2021
-
Vakifbank
XS1403416222
2.375%
€500
May 4, 2021
-
TSKB
XS1412393172
4.875%
$300
May 18, 2016
May 18, 2021
-
Treasury
XS1303467077
4.251%
$1,000
Jun 1, 2016
Jun 8, 2021
-
Isbank
XS1079527211
5.000%
$750
Jun 25, 2014
Jun 25, 2021
-
Halkbank
XS1439838548
5.000%
$500
Jul 13, 2021
-
Arcelik
XS1109959467
3.875%
€350
Sep 16, 2021
-
Eximbank
XS1028943089
5.000%
$500
Sep 23, 2014
Sep 23, 2021
-
Isbank
XS1390320981
5.375%
$750
Oct 6, 2021
-
Vakifbank
XS1508914691
5.500%
$500
Oct 27, 2021
-
Kuveyt Turk
XS1505149325
5.136%
$500
Nov 2, 2021
-
Treasury
XS0993155398
4.350%
€1,250
Nov 5, 2013
Nov 12, 2021
-
38 TURKEY Country Report October 2020 www.intellinews.com