Fitch Ratings has affirmed
The Rating Outlook for the Long-Term IDRs is Negative. Simultaneously, Fitch has withdrawn all the ratings of BSC. Accordingly, Fitch will no longer provide ratings or analytical coverage for BSC.
Fitch has withdrawn all the ratings of BSC for commercial reasons.
KEY RATING DRIVERS
VR, IDRs AND NATIONAL RATINGS
BSC's IDRs and National long-term rating are driven by its VR of 'a-', and do not factor in any extraordinary support from its parent, Banco Santander; however, BSC remains a strategically important subsidiary.
BSC's ratings are highly influenced by its strong franchise and market-leading position within
The ratings also consider its robust performance through the economic cycles, its healthy asset-quality ratios, diversified funding and capital ratios that are commensurate with its ratings level.
SUPPORT RATING AND SUPPORT RATING FLOOR
BSC is the largest bank in
SENIOR UNSECURED, SECURED AND SUBORDINATED DEBT
BSC's senior unsecured bonds are rated at the same level as the bank's Long-Term IDR and National long-term rating, as the likelihood of default of the notes is the same as the one of the bank. Similarly, BSC's CP program is rated at the same level as its Short-Term IDR.
The rating of the 'bonos hipotecarios' (mortgage bonds) are based on BSC's National Rating for senior unsecured issuances of '
Fitch rates BSC's subordinated debt in the National scale two notches below its National long-term issuer rating. The two-notch difference considered the loss severity due to its subordinated nature (after default).
The rating of BSC common shares of 'Primera Clase Nivel 1(cl)' considers the bank's solvency, reflected in the '
RATING SENSITIVITIES
Rating Sensitivities do not apply as the ratings have been withdrawn.
BEST/WORST CASE RATING SCENARIO
International scale credit ratings of Financial Institutions and Covered Bond issuers have a best-case rating upgrade scenario (defined as the 99th percentile of rating transitions, measured in a positive direction) of three notches over a three-year rating horizon; and a worst-case rating downgrade scenario (defined as the 99th percentile of rating transitions, measured in a negative direction) of four notches over three years. The complete span of best- and worst-case scenario credit ratings for all rating categories ranges from '
REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF RATING
The principal sources of information used in the analysis are described in the Applicable Criteria.
ESG CONSIDERATIONS
Unless otherwise disclosed in this section, the highest level of ESG credit relevance is a score of '3'. This means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity.
Following the withdrawal of ratings for BSC Fitch will no longer be providing the associated ESG Relevance Scores. For more information on Fitch's ESG Relevance Scores, visit www.fitchratings.com/esg
RATING ACTIONS
ENTITY/DEBT RATING PRIOR
Banco Santander Chile LT IDR A- Affirmed A-
LT IDR WD Withdrawn A-
ST IDR F2 Affirmed F2
ST IDR WD Withdrawn F2
LC LT IDR A- Affirmed A-
LC LT IDR WD Withdrawn A-
LC ST IDR F2 Affirmed F2
LC ST IDR WD Withdrawn F2
Natl LTAAA (cl) AffirmedAAA (cl)
Natl LT WD(cl) WithdrawnAAA (cl)
Natl ST N1+(cl) Affirmed N1+(cl)
Natl ST WD(cl) Withdrawn N1+(cl)
Viability a- Affirmed a-
Viability WD Withdrawn a-
Support 2 Affirmed 2
Support WD Withdrawn 2
Support Floor BBB+ Affirmed BBB+
Support Floor WD Withdrawn BBB+
Nat Equity Rating Primera Clase Nivel 1(cl) Affirmed Primera Clase Nivel 1(cl)
Nat Equity Rating WD(cl) Withdrawn Primera Clase Nivel 1(cl)
senior unsecured
LT A- Affirmed A-
senior unsecured
LT WD Withdrawn A-
senior unsecured
ST F2 Affirmed F2
senior unsecured
ST WD Withdrawn F2
senior unsecured
Natl LTAAA (cl) AffirmedAAA (cl)
senior unsecured
Natl LT WD(cl) WithdrawnAAA (cl)
subordinated
Natl LT AA(cl) Affirmed AA(cl)
subordinated
Natl LT WD(cl) Withdrawn AA(cl)
senior secured
Natl LTAAA (cl) AffirmedAAA (cl)
senior secured
Natl LT WD(cl) WithdrawnAAA (cl)
VIEW ADDITIONAL RATING DETAILS
Additional information is available on www.fitchratings.com
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