OREANDA-NEWS. Fitch Ratings has assigned French Metropolis of Rennes' (RM) EUR100m billets de tresorerie (BT) programme an expected Short-term rating of 'F1+(EXP)'.

The final rating is contingent upon the receipt of final documentation conforming to information already received.

KEY RATING DRIVERS

The BT programme's expected rating is aligned with RM's Short-Term Issuer Default Rating (IDR) of 'F1+' as the notes under the programme are expected to constitute senior, unconditional, unsecured and unsubordinated liabilities of the region.

The rating is assigned to the programme and not to the notes under the programme. Fitch expects the notes to be issued under the programme to rank equally with RM's other unsecured and unsubordinated obligations.

Fitch views RM's liquidity management as sound, which will allow the metropolis to provide sufficient liquidity coverage of its forthcoming French commercial paper issuance. The BT programme is backed by sufficient committed short-term credit lines totalling EUR30m. Should the planned issued amount from the BT programme increase above this level, Fitch understands from RM that additional committed short-term credit lines would be contracted to ensure 100% coverage of issues. Fitch will monitor the level of back-up line over the medium term in accordance with the amount of each issue.

RATING SENSITIVITIES

Changes to the RM's Short-Term IDR will be reflected in the BT programme's rating.