Fitch Ratings has assigned Eurobank Ergasias Services and Holdings S.A.'s (HoldCo) EUR300 million 10NC5 subordinated Tier 2 notes (ISIN: XS2562543442) a final long-term rating of 'B-' with a Recovery Rating of 'RR6'.

The notes have been issued under the HoldCo's EUR5 billion euro medium-term note programme and qualify as Tier 2 regulatory capital.

The rating is in line with the expected rating published on 28 November 2022 (see ' Fitch Publishes Eurobank HoldCo's Upcoming Subordinated Tier 2 Note's 'B-(EXP)' Rating' on www.fitchratings.com).

All other issuer and debt ratings are unaffected.

Key Rating Drivers

The notes constitute direct, unsecured, unconditional and subordinated obligations of the HoldCo.

The rating of the notes is notched off twice from the HoldCo's 'b+' Viability Rating (VR) for loss severity given their junior ranking. No notching is applied for incremental non-performance risk because write-down of the notes will only occur once the point of non-viability is reached and there is no coupon flexibility before non-viability. Poor recovery prospects given default are reflected in the Recovery Rating of 'RR6'.

Rating Sensitivities

Factors that could, individually or collectively, lead to negative rating action/downgrade:

The notes would be downgraded if the HoldCo's VR is downgraded. The HoldCo's VR is sensitive to change in the VR of Eurobank S.A., the group's main operating company and core bank.

Factors that could, individually or collectively, lead to positive rating action/upgrade:

The notes would be upgraded if the HoldCo's VR is upgraded.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of ESG credit relevance is a score of '3'. This means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. For more information on Fitch's ESG Relevance Scores, visit www.fitchratings.com/esg.

Best/Worst Case Rating Scenario

International scale credit ratings of Financial Institutions and Covered Bond issuers have a best-case rating upgrade scenario (defined as the 99th percentile of rating transitions, measured in a positive direction) of three notches over a three-year rating horizon; and a worst-case rating downgrade scenario (defined as the 99th percentile of rating transitions, measured in a negative direction) of four notches over three years. The complete span of best- and worst-case scenario credit ratings for all rating categories ranges from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are based on historical performance. For more information about the methodology used to determine sector-specific best- and worst-case scenario credit ratings, visit https://www.fitchratings.com/site/re/10111579

Date of Relevant Committee

23 November 2022

REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF RATING

The principal sources of information used in the analysis are described in the Applicable Criteria.

RATING ACTIONS

Entity / Debt

Rating

Recovery

Prior

Eurobank Ergasias Services and Holdings S.A.

subordinated

LT

B-

New Rating

RR6

B-(EXP)

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VIEW ADDITIONAL RATING DETAILS

Additional information is available on www.fitchratings.com

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