OREANDA-NEWS. March 16, 2015. Fitch Ratings has assigned SEMAPA's (AA-/Stable/F1+) EUR340m euro medium-term note (EMTN) programme ratings of 'AA-'/'F1+'.

KEY RATING DRIVERS
The EMTN programme's ratings are aligned with SEMAPA's Issuer Default Rating as the notes under the programme are expected to constitute senior and unsecured liabilities of SEMAPA. The issues under this programme could benefit from an independent, unconditional and irrevocable first-call guarantee covering 80 % of nominal from the city of Paris (AA/Stable/F1+).

The ratings are assigned to the programme only. Fitch expects the notes to be issued under the programme to rank pari passu with the SEMAPA's other unsecured obligations.

SEMAPA's ratings reflect the tight control by and strong support from the city of Paris, its 92% owner and public sponsor. Despite its large development projects, SEMAPA is rated a notch below its sponsor as we do not consider SEMAPA a priority for the city of Paris in times of financial distress. Fitch uses a top-down approach under its public-sector entity criteria to rate SEMAPA.

RATING SENSITIVITIES
The EMTN programme's ratings are aligned with SEMAPA's rating. Changes to SEMAPA's rating would be mirrored in the EMTN programme's rating.

Changes to SEMAPA's ratings could stem from a rating action on the City of Paris, or from a shift in the city's control and financial support of SEMAPA.

For more information on the key sensitivities related to SEMAPA's ratings, see "Fitch Downgrades SEMAPA to 'AA-'; Outlook Stable" dated 18 December 2014 at www.fitchratings.com