Credit Ratings

The credit ratings are of Lloyds TSB Bank plc


Definitions of long-term credit ratings

Moody's

Definition of Aaa rating:
Bonds which are rated 'Aaa' are judged to be of the best quality. They carry the smallest degree of investment risk and are generally referred to as 'gilt edged'. Interest payments are protected by a large or by an exceptionally stable margin and principal is secure. While the various protective elements are likely to change, such changes as can be visualised are most unlikely to impair the fundamentally strong position of such issues.

Fitch

Definition of AA rating:
AA ratings imply very high credit quality. 'AA' ratings denote expectations of very low credit risk. They indicate very strong capacity for payment of financial commitments.  This capacity is not significantly vulnerable to foreseeable events.
The modifiers '+' or '-' may be appended to a rating to denote relative status within major rating categories.

Standard & Poor's

Definition of AA rating:
An obligor rated 'AA' has very strong capacity to meet its financial commitments. It differs from the highest rated obligors only in small degree. Long-term debt ratings may include a plus (+) or minus (-) to indicate where within the category the issue is placed.

DBRS

Definition of AA rating:
Long-term debt rated 'AA' is of superior credit quality, and protection of interest and principal is considered high. In many cases they differ from long-term debt rated 'AAA' only to a small degree. Given the extremely restrictive definition DBRS has for the 'AAA' category, entities rated 'AA' are also considered to be strong credits, typically exemplifying above average strength in key areas of consideration and unlikely to be significantly affected by reasonably foreseeable events.

These ratings are shown here with the permission of the respective rating agencies.