New Zealand Gazette – 2008 – No. 40

Page 985

✨ Financial Regulations



27 FEBRUARY 2008 NEW ZEALAND GAZETTE, No. 40 985

(2) The following information as at the balance date and in respect
of the individual non-bank counterparties and groups of closely
related counterparties of which a bank is not the parent referred
to in clause 5(2):

(a) the total amount of credit exposures to those
counterparties that have a credit rating that is of
investment grade:

(b) the total amount of credit exposures to those
counterparties that have a credit rating that is below
investment grade:

(c) the total amount of credit exposures to those
counterparties that do not have a credit rating:

(d) the percentage each of the amounts referred to in
paragraphs (a) to (c) represents in relation to the
aggregate of the amounts referred to in paragraphs (a) to
(c).

8

Meaning of credit rating

(1) For the purposes of clauses 2 and 7, credit rating means a
credit rating that meets the criteria in subclause (2) and that,—

(a) in the case of a group of closely related counterparties,
    applies to the entity heading the group of closely related
    counterparties; or

(b) in the case of an individual counterparty (excluding a
    member of a group of closely related counterparties),
    applies to the individual counterparty.

(2) The following criteria:

(a) a credit rating that applies to—

    (i) the relevant entity’s long term senior unsecured
        obligations payable in New Zealand, in New
        Zealand dollars; or

    (ii)    the relevant entity’s long term senior unsecured
        foreign currency obligations:

(b) a credit rating given by a rating agency that has been
    approved by the Reserve Bank of New Zealand under
    section 80 of the Act.

(3) If an entity has 2 or more credit ratings that meet the criteria in
subclauses (1) and (2) and those credit ratings are not the same,
then the lowest credit rating applies.

9

Meaning of investment grade credit rating

For the purposes of this schedule, an investment grade credit
rating means a credit rating of BBB- or Baa3 or above, or its
equivalent.



Next Page →



Online Sources for this page:

VUW Te Waharoa — PDF NZ Gazette 2008, No 40


Gazette.govt.nz — PDF NZ Gazette 2008, No 40




✨ LLM interpretation of page content

💰 Concentration of Credit Exposures to Individual Counterparties (continued from previous page)

💰 Finance & Revenue
Credit exposure, Banking regulations, Risk management, Financial disclosures