S&P rates Industrial Bank of Korea bonds A

Standard & Poor's said it assigned an A rating to Industrial Bank of Korea's new dollar-denominated senior unsecured bonds. The bonds are to be drawn down from a $4 billion global medium-term note program.

The rating reflects the high likelihood of support from the government of Korea, the bank's strong market position in the small and midsize enterprise lending market and its adequate capitalization, S&P said.

Factors constraining the ratings include the risk of privatization, the bank's weak retail deposit base and legal constraints on its credit portfolio, the agency said.

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