TCAP Tp Icap Group Plc

TIDMTCAP

RNS Number : 4369O

TP ICAP PLC

29 January 2019

(London 29 January 2019)

TP ICAP plc (the "Company") notes the press release dated 28 January 2019 (the "Release") issued by Moody's Investor Service ("Moody's"). The Release downgrades the Company's CFR to Ba2 from Ba1, outlook stable and gives notice to withdraw the rating for business reasons.

Moody's rating is unsolicited and non-participatory. The Company has not had any engagement with Moody's with regards to the credit rating referenced in the Release. Moody's has continued to ignore the Company's requests that it meets its regulatory obligations when issuing credit ratings including that it states clearly and prominently that the credit rating is unsolicited and non-participatory.

The rating referred to in the Release was issued subsequent to an earlier press release from Moody's dated 11 October 2018 which indicated the Company's Ba1 rating was on review for downgrade. The press release in October 2018 stated that the further review will focus "on the likelihood of TP ICAP's retained cash flow improving over the medium term in light of its capex requirements and dividend policy, as well as whether the firm's financial policies are likely to result in the firm reducing its gross leverage (including Moody's adjustment for operating leases) to a level more consistent with its current ratings." Moody's has not had any engagement with the Company that would enable a meaningful review to be undertaken.

The Company notes that the press releases issued by Moody's in both October 2018 and January 2019 erroneously claim that the Company had expected the integration of the ICAP voice broking unit to be completed by 2018. As outlined in the Company's 2016 annual report and subsequently, the integration programme is due to be completed by 2019. The Company also disagrees with Moody's assumptions contained in the Release in relation to leverage and interest expense.

The Company believes that the press releases issued by Moody's are in contravention of EU Credit Rating Agency Regulations ("CRAR").

The Company continues to have a participatory and solicited rating with Fitch of BBB- Stable. The Company does not believe that the Release affects its credit worthiness with its clients and counterparties nor does it believe that there is a negative impact on the Company's debt obligations.

The Company will report its preliminary results for the year ended 31 December 2018 on 19 March 2019.

ENDS

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January 29, 2019 09:13 ET (14:13 GMT)

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