Kuntarahoitus Oyj - Company Announcement

Standard & Poor's affirms Municipality Finance Plc's AA+ credit rating

Municipality Finance Plc
Stock exchange release
December 2, 2015, 16:00 (CET +1)

Standard & Poor's affirms Municipality Finance Plc's AA+ credit rating

The credit rating agency Standard & Poor's (S&P) affirmed its long-term credit
rating on Municipality Finance Plc at AA+ (neg.) on December 2, 2015. The short-
term credit rating of Municipality Finance Plc is still the best possible, A-1+.

According to Standard & Poor's assessment, Municipality Finance's strong ratings
are based on the credit strength of the Finnish local government sector,
together with the company's strong risk management, very strong liquidity,
excellent asset quality, and strengthening capital position.

Under Standard & Poor's rating methodology Municipality Finance's ratings are
directly linked to those of the Republic of Finland and the company cannot have
a rating higher than the sovereign.

MUNICIPALITY FINANCE PLC

Further information:

Pekka Averio
President and CEO
tel. +358 500 406 856

Esa Kallio
Executive VP, Deputy to the CEO, Head of Capital Markets
Tel. +358 50 3377 953

Measured by the group's balance sheet, Municipality Finance Plc (MuniFin) is
Finland's third largest credit institution. The company is owned by Finnish
municipalities, the public sector pension fund Keva and the Republic of Finland.
MuniFin is an integral part of the Finnish public economy.

MuniFin's balance sheet totals nearly EUR 34 billion. Funding for the company is
primarily obtained through the international capital markets. MuniFin's funding
is guaranteed by the Municipal Guarantee Board.

MuniFin's mission is to ensure competitive funding for its customers in all
market conditions. The company's customers are Finnish municipalities, municipal
federations, municipally controlled companies and non-profit housing
corporations. A significant portion of lending is used for socially responsible
projects such as building hospitals, healthcare centers, schools, day care
centers and homes for the elderly.

The Municipality Finance Group also includes the subsidiary company, Financial
Advisory Services Inspira Ltd.

Read more: www.munifin.fi






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