OREANDA-NEWS. Fitch Ratings has affirmed Fondo de Reestructuracion Ordenada Bancaria's (FROB) bonds at Long-term local currency 'BBB+'.

FROB currently has two bonds outstanding: a EUR520m maturing in April 2017 and a EUR2,505m maturing in July 2016.

KEY RATING DRIVERS
The 'BBB+' rating reflects the explicit, irrevocable and unconditional guarantee provided by the Kingdom of Spain (BBB+/Stable). The issue is also supported by the General Secretary of the Treasury and Financial Policy's acknowledgment that the bond is covered under the state's guarantee programme, as required under the Ministerial Order.

FROB is an institution set up in 2009 under public law to manage the restructuring and resolution processes of credit institutions in Spain. The FROB is now regulated by Law 9/2012 of 14 November 2012.

RATING SENSITIVITIES
The bonds are guaranteed by the Kingdom of Spain. Any changes in the ratings of the guarantor will automatically be reflected in the rating of the bonds.