Fitch applies A to MUFG notes

Fitch Ratings said it assigned an A rating to Mitsubishi UFJ Financial Group, Inc.'s (MUFG, A/stable) €350 million senior unsecured notes.

The notes are likely to be issued on May 30 and MUFG expects them to count toward its total loss-absorbing capacity (TLAC) requirements, which come into effect end-March 2019.

Fitch estimates that MUFG met its minimum requirement for TLAC as of end-March 2018 and expects the company to meet the 2019 deadline.

The senior unsecured notes will constitute MUFG's direct, unconditional, unsecured and unsubordinated general obligations and rank pari passu without any preference among themselves and with all of MUFG's other unsecured debt, other than subordinated debt and statutorily preferred debt, the agency explained.

The notes will be structurally subordinated to the liabilities of MUFG's subsidiaries, including MUFG Bank, Ltd. (A/stable) and Mitsubishi UFJ Trust and Banking Corp. (A/stable).

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