Upgrade of key ratings for Bank Millennium and maintenance of Positive outlook by Fitch rating agency

Bank Millennium S.A’s (‘Bank’) Management Board informs that on June 28, 2024, Fitch Ratings (‘Fitch’) upgraded the Bank’s Long-Term Foreign-Currency Issuer Default Rating (LT IDR) and Long -Term Local Currency IDR (LC LT IDR) to 'BB+' and maintained outlooks for these rating at ‘Positive. Additionally, Fitch upgraded to ‘bb+’ the Viability Rating (VR) for the Bank and upgraded to ‘BB+’ rating for the senior non-preferred bonds issued by the Bank.

According to Fitch ‘The upgrade reflects strong improvement in the bank's capital position resulting in the completion of its recovery plan and our (Fitch) expectation that risks related to its legacy foreign-currency (FC) mortgage loans will gradually abate. It also reflects our (Fitch) expectations that the bank's improved core profitability will cushion the remaining impact of legal costs and credit holidays, leading to a further recovery of the bank's capitalisation. The Positive Outlook reflects Fitch's view that the ratings could be upgraded if continued reduction of risks related to FC mortgage loans translates into a stronger business profile as underlined by steadily improving operating profitability and a record of adequate capital buffers.’

The full list of rating action and the text of the original rating report of Fitch are available at Fitch’s website:

https://www.fitchratings.com/research/banks/fitch-upgrades-millennium-to-bb-outlook-positive-28-06-2024link otwiera się w nowym oknie

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