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    DBRS Rating Scale

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    Jonathan Ordóñez
    DBRS provides long-term debt ratings that range from AAA to D. The scale includes ten categories from AAA (highest rating) to D (lowest). Each category except AAA and D has high, middle, and low subcategories. Investment grade ratings fall between AAA to BBB, while speculative grade ratings are between BB to CCC. Ratings of CC, C, and D indicate the issuer is in danger of defaulting on debt payments. Moody's and S&P use similar but not identical rating scales for comparison purposes.

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    DBRS Rating Scale

    Uploaded by

    Jonathan Ordóñez
    466 views1 page
    DBRS provides long-term debt ratings that range from AAA to D. The scale includes ten categories from AAA (highest rating) to D (lowest). Each category except AAA and D has high, middle, and low subcategories. Investment grade ratings fall between AAA to BBB, while speculative grade ratings are between BB to CCC. Ratings of CC, C, and D indicate the issuer is in danger of defaulting on debt payments. Moody's and S&P use similar but not identical rating scales for comparison purposes.

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    DBRS Rating Scale

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    DBRS provides long-term debt ratings that range from AAA to D. The scale includes ten categories from AAA (highest rating) to D (lowest). Each category except AAA and D has high, middle, and low subcategories. Investment grade ratings fall between AAA to BBB, while speculative grade ratings are between BB to CCC. Ratings of CC, C, and D indicate the issuer is in danger of defaulting on debt payments. Moody's and S&P use similar but not identical rating scales for comparison purposes.

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    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    466 views1 page

    DBRS Rating Scale

    Uploaded by

    Jonathan Ordóñez
    DBRS provides long-term debt ratings that range from AAA to D. The scale includes ten categories from AAA (highest rating) to D (lowest). Each category except AAA and D has high, middle, and low subcategories. Investment grade ratings fall between AAA to BBB, while speculative grade ratings are between BB to CCC. Ratings of CC, C, and D indicate the issuer is in danger of defaulting on debt payments. Moody's and S&P use similar but not identical rating scales for comparison purposes.

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    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
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    The Rating Scale of DBRS

    The DBRS long-term debt rating scale ranges from AAA (highest rating) to D (lowest rating). The
    scale is composed of ten rating categories, each of which – exept for AAA and D – has three
    subcategories “high”, “middle” or “low”. The following table shows the assessments associated
    with each rating category.

    Investment Grade

    Highest credit quality, with exceptionally strong protection for the


    AAA timely repayment of principal and interest

    AA high Superior credit quality, with high protection of principal and


    AA AA interest
    AA low
    A high Satisfactory credit quality, with still substantial protection of
    A A principal and interest; issuers in this category are more susceptible
    A low to adverse economic conditions and have greater cyclical
    tendencies than issuers in category AAA and AA

    BBB high Adequate credit quality, with acceptable protection of principal and
    BBB BBB interest; Issuers in this category are fairly susceptible to adverse
    BBB low changes in financial and economic conditions

    Speculative Grade

    BB high Speculative credit quality, with uncertain protection of principal and


    BB BB interest, particularly during periods of economic recession
    BBB low

    B high Highly speculative credit quality, with a reasonably high level of


    B B uncertainty as to the ability of the issuers to pay principal and
    B low interest on a continuing basis in the future, especially in periods of
    economic recession or industry adversity

    Very highly speculative credit quality, with principal and interest


    CCC CCC, CC, C high
    being in danger of default;
    CC CCC, CC, C
    In practice, there is little difference between the categories CCC, CC
    C CCC, CC, C low
    and C (senior debt of issuers is normally rated in CCC to B range,
    while CC or C is used for lower ranking debt)

    Issuer has either not met a scheduled payment of principal or


    D interest or interest issuer has made it clear that it will miss such a
    payment in the near future

    For comparison:
    The equivalent ratings of Moody’s are
    Aaa / Aa1, Aa2, Aa3 / A1, A2, A3 / Baa1, Baa2, Baa3 / Ba1, Ba2, Ba3 / B1, B2, B3 / Caa1, Caa2, Caa3 / Ca / C.
    And the ratings used by Standard & Poors are:
    AAA / AA+, AA, AA- / A+, A, A- / BBB+, BBB, BBB- / BB+, BB, BB- / B+, B, B-/ CCC+, CCC, CCC- / CC / C / D.

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