Tokyo, February 15th 2013 - Moody's Japan K.K. (MJKK) has changed the rating outlook on Citibank Japan Ltd. to stable from negative.

At the same time, Moody's has affirmed its bank deposit ratings of Baa1/Prime-2 and bank financial strength rating (BFSR) of D+, which maps to a baseline credit assessment of baa3.

These actions follow Moody's Investors Service's (MIS) decision to change the rating outlook on Citibank N.A. to stable from negative. For further details on this action, please refer to the press release, "Moody's changes outlook on Citibank to stable from negative".

RATINGS RATIONALE

Citibank Japan's standalone credit assessment is strongly aligned with that of its parent, Citibank N.A., due to their close integration.

Therefore, any changes in its parent's ratings will be reflected in the ratings of Citibank Japan.

As Citibank Japan is a strategically important subsidiary of Citibank N.A., MJKK also incorporates a very high probability of support for the bank from its parent, in case of need.

Upward pressure on Citibank Japan's rating would emerge if: (1) MIS upgrades Citibank N.A.'s deposit ratings; or (2) MIS's assessment of Citibank N.A.'s standalone credit profile improves.

Citibank Japan's rating would be downgraded if: (1) MIS downgrades Citibank N.A.'s rating; (2) Citibank Japan's business deteriorates, or there are changes in its operating integration with Citibank N.A.; or (3) the strategic importance of Citibank Japan to Citibank N.A. decreases.

The principal methodology used in this rating was Moody's Consolidated Global Bank Rating Methodology published in June 2012. Please see the Credit Policy page on www.moodys.com for a copy of this methodology.

Citibank Japan Ltd, headquartered in Tokyo, is Citibank N.A.'s wholly-owned subsidiary.

Re-disseminated by The Asian Banker