OREANDA-NEWS. Fitch Ratings has upgraded the state-guaranteed long-term senior debt ratings of National Bank of Greece S.A. (NBG; 'RD') and Eurobank Ergasias S.A. (Eurobank; 'RD') to 'CCC' from 'CC'. At the same time, Fitch has affirmed Eurobank's state-guaranteed short-term senior debt rating at 'C'. A full list of rating actions is at the end of this rating action commentary.

The rating actions follow the upgrade of Greece's sovereign Long-Term foreign currency Issuer Default Rating (IDR; see 'Fitch Upgrades Greece to 'CCC' dated 18 August 2015 at www.fitchratings.com). The banks' other ratings are unaffected and remain driven by the factors noted in our rating action commentary of 29 June 2015 (see 'Fitch Downgrades Greek Banks to RD on Capital Controls' at www.fitchratings.com).

KEY RATING DRIVERS
SENIOR DEBT
The government-guaranteed debt issuances are senior unsecured instruments that bear a full guarantee from the Greek state. Fitch rates guaranteed debt at the higher of the senior unsecured debt ratings of the issuer ('C' for both NBG and Eurobank) and the guarantor's Long-term foreign currency IDR. We have no reason to believe that these guaranteed programmes and issues will be treated differently to other obligations of the Greek state.

RATING SENSITIVITIES
SENIOR DEBT
The banks' government-guaranteed debt ratings are sensitive to any changes in Greece's sovereign ratings.

The rating actions are as follows:
NBG:
State-guaranteed debt (XS0920832846): upgraded to 'CCC' from 'CC'

Eurobank:
Long-term state-guaranteed debt programme: upgraded to 'CCC' from 'CC'
Short-term state-guaranteed debt programme: affirmed at 'C'

ERB Hellas PLC:
Long-term state-guaranteed debt programme: upgraded to 'CCC' from 'CC'
Short-term state-guaranteed debt programme: affirmed at 'C'

ERB Hellas (Cayman Islands) Ltd.:
Long-term state-guaranteed debt programme: upgraded to 'CCC' from 'CC'
Short-term state-guaranteed debt programme: affirmed at 'C'.