Morningstar DBRS Publishes Final Global Corporate Criteria, Updates Eight Methodologies

Morningstar DBRS finalized “Morningstar DBRS Global Corporate Criteria” (the Methodology). The Methodology consolidated six separate criteria documents and presents the criteria (with the exception of “Morningstar DBRS Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings”) for which global corporate and certain financial institution and sovereign credit ratings are assigned and/or monitored. Per the press releases dated December 22, 2023, and October 30, 2023, this consolidation is in connection with the Fundamentals Methodological Integration Project: https://dbrsmorningstar.com/research/422623/dbrs-morningstar-announces-fundamentals-methodological-integration-project.

The Methodology supersedes the following:

-- “DBRS Morningstar Global Criteria: Rating Corporate Holding Companies and Parent/Subsidiary Relationships” (published September 27, 2023)
-- “DBRS Morningstar Global Criteria: Guarantees and Other Forms of Support” (published March 28, 2023)
-- “DBRS Morningstar Global Criteria: Recovery Ratings for Instruments of Non-Investment-Grade Corporate Issuers” (published August 30, 2023)
-- “DBRS Morningstar Global Criteria: Common Adjustments for Calculating Financial Ratios” (published November 9, 2023)
-- “DBRS Morningstar Global Criteria: Commercial Paper Liquidity Support for Nonbank Issuers” (published February 24, 2023)
-- “DBRS Morningstar Global Criteria: Preferred Share and Hybrid Security Criteria for Corporate Issuers” (published October 19, 2023)

Per the press release dated December 22, 2023, Morningstar DBRS requested comments on the Methodology. The comment period ended on January 31, 2024, and no comments were received.

Morningstar DBRS deems the update not to be material and determined that no ratings are expected to change as a result of this update.

All comments received during the request for comment period have been published to the Morningstar DBRS website, except in cases where confidentiality is requested by the respondent.

In connection with this update of the Methodology, Morningstar DBRS also updated the following methodologies to reference the finalized Methodology or relevant sections thereof, as applicable:

-- “Global Methodology for Rating Companies in the Airline Industry” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Railway Industry” (April 15, 2024)
-- “Global Methodology for Rating Essential Digital Infrastructure” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Services Industry” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Industrial Products Industry” (April 15, 2024)
-- “Global Methodology for Rating Sports Franchises, Leagues, and Stadium Financings” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Mining and Forest Products Industries” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Broadcasting Industry” (April 15, 2024)
-- “Rating Airports” (April 15, 2024)
-- “General Corporate Methodology” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Capital Goods Dealership Industry” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Regulated Utility and Independent Power Producer Industries” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Communications Industry” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Consumer Products Industry” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Merchandising Industry” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Pharmaceutical Industry” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Oil and Gas and Oilfield Services Industries” (April 15, 2024)
-- “Global Methodology for Rating Container Terminal Operators and Energy Bulk Storage Operators” (April 15, 2024)
-- “Global Methodology for Rating Project Finance” (April 15, 2024)
-- “Global Methodology for Rating Solar Power Projects” (April 15, 2024)
-- “Global Methodology for Rating Wind Power Projects” (April 15, 2024)
-- “Global Methodology for Rating Public-Private Partnerships” (April 15, 2024)
-- “Rating Companies in the Canadian Grain Handling Industry” (April 15, 2024)
-- “Global Methodology for Rating Casino Operators and Companies in the Online Gaming Industry” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Automotive Manufacturing and Supplier Industries” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Pipeline and Midstream Energy Industry” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Construction and Property Development Industry” (April 15, 2024)
-- “Global Methodology for Rating Non-Bank Financial Institutions” (April 15, 2024)
-- “Global Methodology for Rating Banks and Banking Organisations” (April 15, 2024)
-- “Global Methodology for Government-Related Entities” (April 15, 2024)
-- “Global Methodology for Rating Insurance Companies and Insurance Organizations” (April 15, 2024)
-- “Global Methodology for Rating Investment Management Companies” (April 15, 2024)
-- “Rating Public Universities” (April 15, 2024)
-- “Rating Companies in the Canadian Long-Term Care Industry” (April 15, 2024)
-- “Rating Canadian Provincial and Territorial Governments” (April 15, 2024)
-- “Rating Canadian Municipal Governments” (April 15, 2024)
-- “Rating European Social and Affordable Housing Providers” (April 15, 2024)
-- “Rating European Sub-Sovereign Governments” (April 15, 2024)
-- “Rating U.S. Structured Finance Transactions” (April 15, 2024)
-- “Global Methodology for Rating Debt Issued by Investment Funds” (April 15, 2024)
-- “Rating Canadian Public Pension Funds & Related Exclusive Asset Managers” (April 15, 2024)
-- “Global Methodology for Rating Entities in the Real Estate Industry” (April 15, 2024)
-- “Legal Criteria for U.S. Structured Finance” (April 15, 2024)

This update supersedes the following previous versions:

-- “Global Methodology for Rating Companies in the Airline Industry” (January 16, 2024)
-- “Global Methodology for Rating Companies in the Railway Industry” (January 16, 2024)
-- “Global Methodology for Rating Essential Digital Infrastructure” (March 15, 2023)
-- “Global Methodology for Rating Companies in the Services Industry” (February 20, 2024)
-- “Global Methodology for Rating Companies in the Industrial Products Industry” (February 20, 2024)
-- “Global Methodology for Rating Sports Franchises, Leagues, and Stadium Financings” (March 5, 2024)
-- “Global Methodology for Rating Companies in the Mining and Forest Products Industries” (January 30, 2024)
-- “Global Methodology for Rating Companies in the Broadcasting Industry” (March 14, 2023)
-- “Rating Airports” (March 28, 2023)
-- “General Corporate Methodology” (October 22, 2023)
-- “Global Methodology for Rating Companies in the Capital Goods Dealership Industry” (April 12, 2023)
-- “Global Methodology for Rating Companies in the Regulated Utility and Independent Power Producer Industries” (January 30, 2024)
-- “Global Methodology for Rating Companies in the Communications Industry” (July 20, 2023)
-- “Global Methodology for Rating Companies in the Consumer Products Industry” (July 21, 2023)
-- “Global Methodology for Rating Companies in the Merchandising Industry” (July 21, 2023)
-- “Global Methodology for Rating Companies in the Pharmaceutical Industry” (August 4, 2023)
-- “Global Methodology for Rating Companies in the Oil and Gas and Oilfield Services Industries” (August 16, 2023)
-- “Global Methodology for Rating Container Terminal Operators and Energy Bulk Storage Operators” (August 16, 2023)
-- “Global Methodology for Rating Project Finance” (September 12, 2023)
-- “Global Methodology for Rating Solar Power Projects” (September 12, 2023)
-- “Global Methodology for Rating Wind Power Projects” (September 12, 2023)
-- “Global Methodology for Rating Public-Private Partnerships” (October 11, 2023)
-- “Rating Companies in the Canadian Grain Handling Industry” (September 26, 2023)
-- “Global Methodology for Rating Casino Operators and Companies in the Online Gaming Industry” (September 27, 2023)
-- “Global Methodology for Rating Companies in the Automotive Manufacturing and Supplier Industries” (October 11, 2023)
-- “Global Methodology for Rating Companies in the Pipeline and Midstream Energy Industry” (November 7, 2023)
-- “Global Methodology for Rating Companies in the Construction and Property Development Industry” (November 7, 2023)
-- “Global Methodology for Rating Non-Bank Financial Institutions” (September 1, 2023)
-- “Global Methodology for Rating Banks and Banking Organisations” (June 22, 2023)
-- “Global Methodology for Government-Related Entities” (February 27, 2024)
-- “Global Methodology for Rating Insurance Companies and Insurance Organizations” (July 14, 2023)
-- “Global Methodology for Rating Investment Management Companies” (January 18, 2024)
-- “Rating Public Universities” (May 17, 2023)
-- “Rating Companies in the Canadian Long-Term Care Industry” (August 15, 2023)
-- “Rating Canadian Provincial and Territorial Governments” (April 28, 2023)
-- “Rating Canadian Municipal Governments” (March 28, 2023)
-- “Rating European Social and Affordable Housing Providers (SAHPs)” (June 6, 2023)
-- “Rating European Sub-Sovereign Governments” (August 11, 2023)
-- “Rating U.S. Structured Finance Transactions” (February 22, 2024)
-- “Global Methodology for Rating Debt Issued by Investment Funds” (February 23, 2024)
-- “Rating Canadian Public Pension Funds & Related Exclusive Asset Managers” (April 27, 2023)
-- “Global Methodology for Rating Entities in the Real Estate Industry” (April 11, 2023)
-- “Legal Criteria for U.S. Structured Finance” (December 7, 2023)

Morningstar DBRS deems the update not to be material and determined that no ratings are expected to change as a result of this update.

Finally, Morningstar DBRS also conducted a periodic review of the following methodologies (all of which are listed above as well):

-- “Global Methodology for Rating Essential Digital Infrastructure” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Broadcasting Industry” (April 15, 2024)
-- “Rating Airports” (April 15, 2024)
-- “Global Methodology for Rating Companies in the Capital Goods Dealership Industry” (April 15, 2024)
-- “Global Methodology for Rating Entities in the Real Estate Industry” (April 15, 2024)
-- “Rating Canadian Provincial and Territorial Governments” (April 15, 2024)
-- “Rating Canadian Municipal Governments” (April 15, 2024)
-- “General Corporate Methodology” (April 15, 2024)

This update supersedes the following previous versions:

-- “Global Methodology for Rating Essential Digital Infrastructure” (March 15, 2023)
-- “Global Methodology for Rating Companies in the Broadcasting Industry” (March 14, 2023)
-- “Rating Airports” (March 28, 2023)
-- “Global Methodology for Rating Companies in the Capital Goods Dealership Industry” (April 12, 2023)
-- “Global Methodology for Rating Entities in the Real Estate Industry” (April 11, 2023)
-- “Rating Canadian Provincial and Territorial Governments” (April 28, 2023)
-- “Rating Canadian Municipal Governments” (March 28, 2023)
-- “General Corporate Methodology” (October 22, 2023)

Morningstar DBRS deems the update not to be material and determined that no ratings are expected to change as a result of this update.

Notes:
Morningstar DBRS methodologies are publicly available on its website dbrs.morningstar.com under Methodologies & Criteria.

For more information on this methodology or on this industry, visit dbrs.morningstar.com or contact us at info-DBRS@morningstar.com.