From 1 July 2011, the European Securities and Markets Authority ("ESMA") was given exclusive responsibility for the registration and supervision of credit rating agencies ("CRAs") in the EU. So far 16 CRAs have been registered by ESMA. ESMA has now published its first annual report on the application of article 21(5) of the EU Regulation on Credit Rating Agencies. The report: (i) covers how ESMA and competent authorities dealt with the assessment of the completeness and compliance of CRA applications; (ii) explains how CRAs have adapted to the requirements set out in Annex I of the CRA Regulation; (iii) discusses the supervisory action carried out by ESMA in the course of 2011 and its assessment of staffing and resource needs; (iv) provides an update on the implementation of 'CEREP', the aggregated credit ratings database accessible to the public, which will go live in January 2012; (v) describes ESMA’s policy work in 2011; and (vi) informs on the work carried out by ESMA regarding the assessment of third country regimes under the endorsement and certification provisions in the CRA Regulation.