S&P Raises Goldman Sachs Mitsui Marine Derivative Products Rating to 'AAA'

Apr 27, 2001, 01:00 ET from Standard & Poor's

    NEW YORK, April 27 /PRNewswire/ -- Standard & Poor's today raised its
 counterparty credit rating on Goldman Sachs Mitsui Marine Derivative Products
 L.P. (GSMMDP) to triple-'A' from double-'A'.
     The upgrade reflects a new joint guarantee from Mitsui Marine & Fire
 Insurance Co. Ltd. (Mitsui Marine, counterparty credit rating double-'A',
 outlook negative) and The Goldman Sachs Group Inc. (Goldman Sachs, senior debt
 rating single-'A'-plus). Given that Goldman Sachs and Mitsui Marine are
 jointly obligated to satisfy any obligation of GSMMDP, Standard & Poor's
 considers the probability of GSMMDP defaulting on its obligations to be equal
 to that of a triple-'A'-rated company. The new joint guarantee is a stronger
 form of credit enhancement than the joint net worth maintenance agreement
 which previously supported the rating on GSMMDP.
     The outlook on GSMMDP remains negative, corresponding with the negative
 outlook on Mitsui Marine.
     GSMMDP is a joint venture between Mitsui Marine and Goldman Sachs, and was
 established in 1993 to offer over-the-counter (OTC) derivative products.
 Goldman Sachs is responsible for the management of the entity, which includes
 managing financial market risk through the use of offsetting mirror OTC
 derivative transactions, and managing credit risk through standard credit-risk
 mitigation techniques.
 
 

SOURCE Standard & Poor's
    NEW YORK, April 27 /PRNewswire/ -- Standard & Poor's today raised its
 counterparty credit rating on Goldman Sachs Mitsui Marine Derivative Products
 L.P. (GSMMDP) to triple-'A' from double-'A'.
     The upgrade reflects a new joint guarantee from Mitsui Marine & Fire
 Insurance Co. Ltd. (Mitsui Marine, counterparty credit rating double-'A',
 outlook negative) and The Goldman Sachs Group Inc. (Goldman Sachs, senior debt
 rating single-'A'-plus). Given that Goldman Sachs and Mitsui Marine are
 jointly obligated to satisfy any obligation of GSMMDP, Standard & Poor's
 considers the probability of GSMMDP defaulting on its obligations to be equal
 to that of a triple-'A'-rated company. The new joint guarantee is a stronger
 form of credit enhancement than the joint net worth maintenance agreement
 which previously supported the rating on GSMMDP.
     The outlook on GSMMDP remains negative, corresponding with the negative
 outlook on Mitsui Marine.
     GSMMDP is a joint venture between Mitsui Marine and Goldman Sachs, and was
 established in 1993 to offer over-the-counter (OTC) derivative products.
 Goldman Sachs is responsible for the management of the entity, which includes
 managing financial market risk through the use of offsetting mirror OTC
 derivative transactions, and managing credit risk through standard credit-risk
 mitigation techniques.
 
 SOURCE  Standard & Poor's