SSB Boligkreditt AS’s (SSBB) covered bond ratings reflect a six-notch rating uplift above our issuer rating on SSBB, the specialized mortgage credit institution fully owned by Sandnes Sparebank, both rated A- with a stable outlook. The primary rating driver is cover pool support, reflecting the issuer’s solid credit quality and the strong cover pool comprising domestic, residential, granular and low LTV assets that are resilient to high credit stresses.

The ratings further incorporate the agency’s positive assessment of governance support factors. The five notch uplift above the issuer rating effectively provides a floor against a deterioration of the cover pools credit quality.

The AAA rating of the covered bonds is vulnerable to a downgrade if the issuer’s credit quality deteriorates by three or more notches.

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This monitoring note does not constitute a credit rating action, nor does it indicate the likelihood that Scope will conduct a credit rating action in the short term. On 29 February 2024, Scope affirmed the covered bonds at AAA/Stable.