Fitch rates Bank Forum note B-

Fitch Ratings said it assigned a final B- long-term rating with a recovery rating of RR4 to Standard Bank plc's $100 million issue of 10% limited recourse loan participation notes due 2009, which will be used solely for financing a loan to Ukraine-based Bank Forum.

The outlook is stable.

The agency said Standard Bank will only pay noteholders principal and interest received from Bank Forum and will charge certain rights and interests under the loan agreement to Deutsche Trustee Co. Ltd. for the benefit of noteholders under a trust deed. Its claims under the loan agreement will rank at least equally with the claims of other senior unsecured creditors of Forum, save those whose claims are preferred by law. Under Ukrainian law, the claims of retail depositors rank above those of other senior unsecured creditors, and retail deposits accounted for 30% of Forum's total liabilities at the end of June.

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