The S&P proposals explain at length the methodology for developing the stand-alone credit profile (SACP) and issuer credit rating (ICR) for a corporate entity and this is broadly welcomed and accepted by the ACT. However the very transparent approach gives the impression that the ratings process is very objective, almost mechanical, whereas we believe that much of the value of a credit rating can be derived from the expertise and judgement of the rating agency. We hope that this judgement element is not to be downplayed.
The ACT has coordinated its response with the French Treasury Association, the AFTE (Association Française des Trésoriers d'Entreprise), and their response is incorporated into the ACT submission.