Germany

Deutsche Hypothekenbank yesterday (Monday) achieved its goal of reopening the covered bond market and, according to its leads, did so without having to pay for the privilege.

Deutsche Hypothekenbank this (Monday) morning reopened the covered bond market after more than three weeks without any sizeable issues. Market participants welcomed the deal, but suggested that it was not representative of the wider situation in the market.

Standard & Poor’s yesterday (Monday) upgraded WestLB Covered Bond Bank (CBB) from BBB+ to AA- and lifted its outlook from negative to stable, and changed the CreditWatch on the issuer’s covered bonds from negative to developing.

Standard & Poor’s has affirmed at AAA the ratings of mortgage covered bonds issued by Deutsche Apotheker- und Ärztebank under its new rating criteria.

Berlin-Hannoversche Hypothekenbank’s Jan Bettink is expected to take over as president of the Association of German Pfandbrief Banks (vdp) in June when Henning Rasche is due to step down.

HSH Nordbank’s ship Pfandbriefe were downgraded by Moody’s from A1 to A2 yesterday (Wednesday) because the rating agency cut the issuer’s rating by one notch the day before.

Moody’s has upgraded WestLB Covered Bond Bank from A2 to Aa1 because of a change of its ownership from WestLB to Erste Abwicklungsanstalt (EAA), a wind-down entity set up for WestLB. The development is “very favourable” for bondholders, said the rating agency.

WestLB Covered Bond Bank has been taken over by Erste Abwicklungsanstalt (EAA), a wind-down entity into which non-core and riskier assets of WestLB have been transferred. A blanket guarantee of the Irish Asset Covered Securities issuer was also taken on by EAA.

Moody’s has downgraded the senior unsecured debt ratings of HSH Nordbank and WestLB by one notch because it has revised its assumptions about how likely it is that their public sector owners will support the banks.

Louis Hagen has been appointed spokesman of the board of management of Münchener Hypothekenbank by its supervisory board.

Moody’s has cut HSH Nordbank’s ship Pfandbriefe from Aa3 to A1, on review for possible downgrade, after completing a review of its rating methodology for structured finance transactions backed by shipping loans that led it to take a more conservative view on the cover pools of such assets.

Standard & Poor’s yesterday (Thursday) affirmed public sector-backed covered bonds issued by Deutsche Postbank at AAA and removed them from its review list.