(Berlin, August 7, 2024) The rating agency S&P Global Ratings (S&P) announced today, that it affirmed the “AA−” long-term issuer rating of Deutsche Bahn AG (DB AG) and raised the outlook from “stable” to “positive”. The slight lowering of the stand-alone rating (Stand Alone Credit Profile; SACP) from "bbb+" to "bbb" was compensated by an increasing support from the German Government.
The raised to “positive” outlook is in S&P's view essentially the result of a stronger link of DB AG to the German Government due to implemented and expected measures (inter alia equity increases, structural changes). S&P offers the prospect to raise their estimates regarding the probability of extraordinary state support from “very high” to “extremely high”.
The SACP rating adjustment reflects S&P view of a weak development of key figures and a higher level of volatility among others due to timing issues on Government funding.
The rating of hybrid bonds is according to S&P`s rating methodology linked to the SACP. Hence the rating of the hybrid bonds issued in 2019 by DB Group`s financing company Deutsche Bahn Finance GmbH was also revised by one notch, from "BBB-" to "BB+".
The short-term rating of DB AG is unchanged (“A-1+”).
The release of S&P and more details regarding the ratings of DB AG may be found on our IR Web site under www.db.de/rating-e.