Following new European Union regulations on credit ratings, Standard & Poor's is changing ratings of the sovereigns and the ECB to "unsolicited", as agreements with the rated entities are no longer in place. Standard & Poor's will nonetheless continue to rate the seven sovereigns and the ECB, and classify the ratings as unsolicited, since they believe that they have access to sufficient public information of reliable quality to support our analysis and ongoing surveillance, and because they believe there is significant market interest in these unsolicited ratings. Article 10 of EU Regulation 1060/2009, which addresses matters relating to the disclosure and presentation of credit ratings, requires, among other things, that unsolicited credit ratings be identified as such." In other words, Europe just told S&P, " We'll continue being broke while pretending to be solvent, and don't need you to spoil the party by being occasionally truthy..."
Entities affected:
Kingdom of Belgium (AA+/Negative/A-1+)
Republic of France (AAA/Stable/A-1+)
Federal Republic of Germany (AAA/Stable/A-1+)
Republic of Italy (A+/Stable/A-1+)
State of The Netherlands (AAA/Stable/A-1+)
Swiss Confederation (Switzerland; AAA/Stable/A-1+)
United Kingdom (AAA/Stable/A-1+)
European Central Bank (AAA/Stable/A-1+)
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