The credit rating for covered bonds issued by Landsbankinn is two notches above Landsbankinn’s issuer credit rating, which is BBB with a stable outlook.
S&P´s credit rating is based i.a. on the strong legal framework regarding covered bond issuance in Iceland.
Lilja Björk Einarsdóttir, CEO of Landsbankinn, says: “We are very pleased with the result and the credit rating further supports covered bonds as an investment opportunity. Covered bond issuance has become an important part of the funding structure as Landsbankinn has been steadily increasing market share in mortgage lending. The favourable credit rating reflects solid operations of Landsbankinn as well as the strong legal framework regarding covered bond issuance.”