Given that a company’s issuer credit rating is BBB-, what is the rating for its subordinated bond?
　　A.        BBB
　　B.        BBB+
　　C.        BB
　　Solution: C
　　Within unsecured debt, there can also be finer gradations and seniority rankings. The highest-ranked unsecured debt is senior unsecured debt. It is the most common type of all corporate bonds outstanding. Other, lower-ranked debt includes subordinated debt and junior subordinated debt. Among the various creditor classes, these obligations have among the lowest priority of claims and frequently have little or no recovery in the event of default.
　　An issuer credit rating is meant to address an obligor's overall creditworthiness—its ability and willingness to make timely payments of interest and principal on its debt. The issuer credit rating usually applies to its senior unsecured debt.