LGI Credit Ratings

LGI Credit Ratings
Category Rating Agency Current Rating Last Evaluation Date
Bond NICE AA- 22 Aug, 2016
KR AA- 22 Aug, 2016
KIS AA- 18 Aug, 2016
CP NICE A1 27 September, 2012
KIS A1 27 September, 2012

※ NICE : National Information & Credit Evaluation Inc.

※ KR : Korea Ratings Corporation

※ KIS : Korea Investors Service Inc.

Bond Rating Definitions

Bond rating refers to the evaluation of timely debt service capability of the bonds, which are issued to meet the mid- to long-term funding needs including facility funds (such as unsecured bonds, financial debentures, secured bonds, and other special bonds). The rating focuses on the examination of the mid-to-long-term outlook of issuer and various factors to influence the outlook.

Bond Rating Definitions
Rating Rating Definition
AAA Capacity to pay and repay principal is extremely strong.
AA Capacity to pay and repay principal is very strong, but somewhat less than 'AAA'.
A Capacity to pay and repay principal is strong, but it is somewhat susceptible to external changes in the future.
BBB Capacity to pay and repay principal is adequate, but more likely to be weakened by future market changes.
BB Capacity to pay and repay principal faces no immediate problems, but its future stability is speculative.
B Capacity to pay and repay principal is poor. It is speculative.
CCC It may contain the possibility of default.
CC It may contain more possibility of default.
C Default is highly likely.
D In Default as of present time.

※ The ratings from 'AA' to 'BB' may be modified by the addition of a plus(+) or minus (-) sign to show relative standing within the major rating categories.

※ The ratings from 'AAA' to 'BBB are considered investment-graded having more than adequate timely debt service capability, while the ratings below 'BB' are considered to contain speculative characteristics whose timely debt service capability is very susceptible to market changes.

CP Ratings Definitions

CP Ratings Definitions
Rating Rating Definition
A1 An obligor rated 'A1' has extremely strong capacity to timely meet its financial commitments.
A2 An obligor rated 'A2' has strong capacity to meet its financial commitments, although its redemption stability is somewhat weaker than that of the obligors in the A1 category.
A3 An obligor rated 'A3' has adequate capacity to meet its financial commitments, although its redemption stability is weaker than that of the obligors in the upper rating categories.
B An obligor rated 'B' currently has the capacity to timely meet its financial commitments. However, it's redemption stability contains speculative characteristics that it is susceptible to short-term changes in its business and economic environments.
C An obligor rated 'C' is speculative to a high degree.
D An obligor rated 'D' is in default.

※ Ratings between A2 and B categories can be designated with a plus(+) or minus(-) sign according to its relative status within each generic rating category.