Moody's reviews Citigroup's Japan subsidiaries for downgrade

Stocks and Financial Services Press Releases Friday February 17, 2012 11:07
Tokyo--17 Feb--Asian Banker
Tokyo, February 17th 2012 - Moody's Japan K.K. has placed under review for possible downgrade the ratings of Citibank Japan Ltd (CJL).
Those affected are its C- bank financial strength rating (BFSR), which translates into a Baa1 baseline credit assessment, and its A2/Prime-1 long-term and short-term deposit ratings.

At the same time, Moody's has placed under review for possible downgrade the Baa1 issuer rating of Citigroup Japan Holdings Corp. (CJH); and the Baa1 senior unsecured and long-term issuer ratings, and Baa2 (hyb) subordinated debt ratings, and Prime-2 short-term rating of Citigroup Global Markets Japan Inc. (CGMJ).

The review for possible downgrade of the ratings of CJL, CJH and CGMJ follows the rating actions on their parents, Citigroup Inc. and Citibank N.A. on February 15, 2012.
For further details on these actions, refer to Moody's press release, "Moody's Reviews Ratings for Banks and Securities Firms with Global Capital Markets Operations" February 15 , 2012.
CJL's BFSR reflects its strong link to the BFSR of Citibank N.A., given the integration of its businesses and operational platform with Citibank N.A.
As a result, Moody's incorporates a very high probability of parent support for CJL from Citibank N.A.

Furthermore, the ratings of CJH and CGMJ reflect Moody's assessment of a very high probability of support from Citigroup, in case of need, given their strategic importance to Citigroup as consolidated subsidiaries and their role as key vehicles for its securities business in Japan.

Please see ratings tab on the issuer/entity page on the Moody's website for the last rating action and the rating history.

The principal methodologies used in CJL's ratings were Moody's Bank Financial Strength Ratings: Global Methodology and Incorporation of Joint-Default Analysis into Moody's Bank Ratings: A Refined Methodology published on September 30, 2010, and available on

The principal methodologies used in rating CJH and CGMJ were Global Securities Industry Methodology published on September 30, 2010, and available on
Citibank Japan Ltd., headquartered in Tokyo, is a wholly owned subsidiary of Citibank N.A.
Citigroup Japan Holdings Corp., headquartered in Tokyo, is a wholly owned subsidiary of Citigroup Inc.
Citigroup Global Markets Japan Inc., headquartered in Tokyo, is a wholly owned subsidiary of Citigroup Japan Holdings Corp. (February 17 2012)--

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