Fitch Takes Rating Action on US Niche Real Estate Banks Following Industry …

(The following statement was released by the rating agency)
NEW YORK, April 10 (Fitch) Fitch Ratings has completed a peer
review of the
following companies: Astoria Financial Corporation (AF),
CapitalSource Inc.
(CSE), Dime Community Bancshares, Inc. (DCOM), Emigrant Bancorp,
Inc. (EMIG),
and New York Community Bancorp, Inc. (NYCB). These companies
are part of
Fitch’s niche peer group.
Fitch’s niche group is composed of banks with total assets
ranging from $4
billion to $44 billion. Issuer Default Ratings (IDRs) for this
group are
relatively dispersed with a low of ‘B-‘ to a high of ‘BBB+’.
Niche banks
typically employ focused strategies with limited product
offerings and limited
revenue diversification. Additionally, the niche banks generally
have smaller
deposit franchises than a traditional bank. As a result, niche
banks have higher
loan-to-deposit ratios and elevated funding costs. Conversely,
the niche banks
will have lower overhead costs by having fewer brick and mortar
retail branches.
Niche bank earnings remained relatively flat year over year
despite significant
net interest margin (NIM) compression. Earnings were supported
via reserve
releases and securities gains. The median NIM declined by 44bps
year over year.
Typically, niche banks experience greater NIM volatility than
traditional
commercial bank franchises due to a niche bank’s smaller deposit
franchise. As a
result, niche banks are more reliant on wholesale funding which
is more rate
sensitive.
For the most part, niche banks have enjoyed fairly good asset
quality as credit
cost remained manageable through the cycle. . Given the
concentrated product
offerings by the niche banks, underwriting is typically more
conservative than a
diversified commercial bank.
RATING ACTION AND RATIONALE
Astoria Financial Corporation (AF)
AF’s long- and short-term IDRs were affirmed at ‘BBB-/F3’. The
Rating Outlook
remains Stable. This reflects growing capital levels and solid
asset quality
metrics as reflected by low credit costs through the cycle. Both
NPAs and NCOs
declined year over year in line with Fitch’s expectations. AF’s
ratings strength
is balanced against a weak funding profile and profitability
levels that lag its
rated peers. The Stable Outlook incorporates Fitch’s view that
earnings will
continue to struggle in the upcoming year while NPAs decline and
capital levels
continue to grow.
CapitalSource, Inc. (CSE)
CSE’s long-term IDR was affirmed at ‘BB’ and the Rating Outlook
remains Stable.
This reflects improved operating performance and the impact of
reserve releases
as asset quality continues to improve. Liquidity has
strengthened due to the
repayment of parent company debt and capital ratios are solid
for the rating
category. The IDRs of CSE and CapitalSource Bank (CSB) were
equalized last
year, reflecting the reduction of parent company debt (see
Fitch’s press release
titled ‘Fitch Upgrades CapitalSource Inc., Affirms CapitalSource
Bank; Outlook
Remains Stable’ on April 13, 2012).
The affirmation of CSB’s ratings reflects sufficient liquidity
and solid
capitalization relative to its rating level, offset by
unseasoned loan
performance of new bank originations, reliance on spread income,
and a rate
sensitive deposit base. Fitch believes CSB’s planned charter
conversion and
CSE’s bank holding company application will likely to be
completed in 2013.
Although not anticipated, Fitch would view negatively a
withdrawal or failure to
execute on the planned charter conversion.
Dime Community Bancshares, Inc. (DCOM)
DCOM’s long and short-term IDRs were affirmed at ‘BBB/F2′ The
Rating Outlook
remains Stable. This affirmation reflects DCOM’s strong track
record
implementing its focused multifamily lending strategy in the New
York City area
as well as its solid earnings and asset quality. These strengths
are balanced
against DCOM’s undiversified earnings profile, relatively higher
risk funding
profile and modest franchise. The Stable Outlook reflects
Fitch’s view that
Dimes’ strategy will remain relatively unchanged in the near
term and NPAs will
decline, albeit at a very moderated pace.
Emigrant Bancorp, Inc. (EMIG)
EMIG’s long-term IDR was upgraded to ‘B’ from ‘B-‘; the Outlook
remains Stable.
The upgrade reflects both the continued improvement of asset
quality metrics as
well as the additional capital provided by the sale of its
branch network. Fitch
recognizes that the branch sale does not constitute core
earnings, and that core
profitability remains a weakness for the company. That said, the
branch sale
provides additional flexibility to deal with its 2014 senior
debt maturities as
well as outstanding TARP. Emigrant’s rating strengths are
balanced against the
company’s elevated NPA levels, evolving business initiatives and
‘key man’ risk
in the form of the company’s chairman and CEO, Howard Milstein.
That being said,
the Milstein family has contributed a significant amount of
capital to the bank
over the last few years. The Stable Outlook reflects Fitch’s
expectation that
EMIG will continue to gradually reduce NPA levels while
increasing core earnings
in the near term.
New York Community Bancorp, Inc. (NYCB)
NYCB’s long and short-term IDRs were affirmed at ‘BBB+/F2′; the
Outlook remains
Stable. This affirmation reflects NYCB’s strong track record
implementing its
focused multifamily lending strategy in the New York City area
as well as its
solid asset quality. NYCB’s ratings are balanced against a
limited franchise and
relatively undiversified earnings profile. NYCB’s Stable Outlook
reflects
Fitch’s view that NPAs will continue to decline while margin
compression
pressures earnings in the near term.
RATING DRIVERS AND SENSITIVITIES
Astoria Financial Corporation (AF)
In the intermediate term, Fitch views interest rate risk and
profitability as
AF’s biggest challenge. AF actively manages interest rate risk
by procuring term
funding to limit its interest rate risk. That said, low rates
and AFs limited
residential offering of 5/1 and 7/1 hybrid ARMs and fixed
15-year loans provide
limited ability to grow margins or profitability. To combat
margin pressure, AF
re-entered the competitive multi-family market in New York,
which currently
offers higher yields than residential mortgages.
Asset quality is a rating strength for the institution. AFs’
residential
portfolio performed relatively well throughout the credit cycle.
NCOs peaked at
a relatively low 77bps in 2009. At year-end 2012, NCOs remained
low at 0.37%.
NPAs, while higher than historical levels, are manageable at
2.98% at the end of
2012. Fitch expects credit cost to remain low while NPAs are
expected to
continue its slow decline as the judicial foreclosure process
limits the speed
at which lenders can resolve problem residential mortgages in
New York, New
Jersey and Illinois.
Fitch believes positive rating action is unlikely in the near
term given Fitch’s
expectation of near-term earnings and margin pressures. Negative
ratings actions
would likely result if asset quality or capital decline
materially.
Additionally, uncontrolled growth in the multi-family market
could result in
negative ratings pressure.
CapitalSource, Inc. (CSE)
Fitch views favorably the overall improvement in asset quality.
However, there
is risk related to the unseasoned performance of recent bank
originations as the
bank loan portfolio has grown a cumulative 49% over the last two
years. Fitch
notes that weakness or deterioration in the bank portfolio
beyond existing
reserve and capital levels may have an adverse effect on
CapitalSource Bank
(CSB) performance and possibly generate negative ratings
momentum. In addition,
liquidation of the remaining legacy loan book remains a risk,
though to a lesser
degree than years past.
Loans in the parent company legacy portfolio continue to
run-off, declining to
$526 million at year-end 2012 versus $972 million at year-end
2011 and
represented less than 9% of the consolidated loan portfolio.
The declining
legacy loan portfolio has contributed to the overall improvement
in asset
quality metrics in 2012, as NPAs and NCOs continued to decrease
year over year.
Consolidated NPAs at the end of 2012 were 2.1% of average loans
compared to 5.3%
the previous year end. Fitch notes that the 2012 charges-offs
primarily reflect
write-offs in the legacy portfolio, and the agency expects a
further decrease in
NCO levels in 2013 as the legacy portfolio continues to shrink.
Cumulative NCOs,
as a percentage of average loans for the total portfolio were
1.3%, while NCOs
at the bank level were 0.20% at year-end 2012.
In 2012, CSE returned to profitability and operating performance
benefitted from
improved NIM and lower loan loss provisioning. Consolidated
pre-tax income was
$205.5 million in 2012 compared to a pre-tax loss of $15 million
in 2011. The
adjusted return on assets (ROA) in 2012, which excludes the $347
million impact
of the reversal of a net deferred tax valuation allowance, was
1.70% and
compares favorably to peers. While Operating performance has
improved, but
Fitch expects performance in 2013 to be constrained by pressure
on NIM as
investment and loan yields continue to contract. Further
contraction in NIM
beyond current expectations and negatively affecting operating
performance may
yield negative ratings momentum. Nonetheless, Fitch believes
any decline in
performance would likely be in line with industry averages.
Fitch believes the company’s funding profile to be somewhat
limited since its
deposit base is primarily comprised of retail time deposits,
which are generally
rate-sensitive and shorter-term relative to its loan book.
Fitch believes CSB
will gain additional funding flexibility over the
medium-to-longer term once the
planned charter conversion and holding company application has
been approved by
its regulators. However, should the application and approval
not take place,
CSB’s ratings will remain constrained due to the narrow and
rate-sensitive
nature of is funding base.
CSB’s capital base is solid and of good quality relative to
similarly rated
peers. Fitch believes a capital base of CSB’s current size to
be appropriate
given the specialty nature of the company’s current portfolio
and residual asset
quality concerns related to its remaining legacy loan portfolio.
At Dec. 31,
2012, CSB had Tier 1 leverage, Tier 1 risk-based capital and
total risk based
capital ratios of 13.06%, 15.24% and 16.50%, respectively. Over
the long term,
CSB plans to manage total risk based capital between 15.5% and
16%, which Fitch
believes is appropriate for its current ratings
Fitch believes positive rating momentum is limited over the
near- to medium-term
due to CSE’s limited funding profile as an industrial bank and
uncertainty
related to the company’s planned bank charter conversion. In
addition, the
asset quality of new loans bears monitoring and remains a
near-term constraint
as CSB has experienced rapid loan growth in recent years.
However, positive
rating momentum could develop over time with improved funding
flexibility from
longer-term deposits post-charter conversion, combined with
consistent earnings
generation and solid asset quality performance could also be
viewed positively
by Fitch.
Conversely, negative rating actions could result from weakness
or deterioration
in asset quality performance on the underlying portfolio beyond
existing reserve
and capital levels, a decline in CSB’s competitive positioning
and inability to
grow originations, or further compression of net interest
margins beyond
expectations resulting in negative operating performance. In
addition, a
reduction of liquidity relative to outstanding debt and/or
significant
reductions in capital levels could also yield negative rating
actions.
Dime Community Bancshares, Inc. (DCOM)
Asset quality is a ratings strength for the institution. Both
NPAs and NCOs
remain low at DCOM, owing to the bank’s ability to execute its
core strategy of
rent-regulated, multi-family lending predominantly in DCOM’s
core market in New
York City. While NPAs are higher than historical levels, asset
quality metrics
compare favorably to its rated peers.
ROA declined from 1.15% to 1.01% in 2012 due to declining
margins. Reported
earnings are somewhat volatile due to unplanned prepayment
income which can vary
quarter to quarter. Fitch generally expects earning will
continued to be
pressured in the low rate environment.
Fitch believes DCOM’s ratings are solidly situated at current
levels. Further
ratings improvement is unlikely given the meaningful
concentrations in the loan
portfolio and undiversified earnings profile. Negative ratings
pressure could
occur if there were a significant change to rent regulations in
New York, a
sharp increase in problem loans or a significant loss of
business from any of
DCOM’s main commercial real estate brokers. Additionally,
although not
anticipated, any significant changes in the mix of business,
either by product
type or geography, would be carefully considered by Fitch to
determine any
potential ratings impact.
Emigrant Bancorp, Inc. (EMIG)
Asset quality metrics are improving, but NPAs remain stubbornly
high. NPAs are
driven primarily by EMIG’s residential portfolio. Fitch expects
NPAs to remain
elevated as the judicial foreclosure process limits the speed at
which lenders
can resolve problem residential mortgages in New York. That
said, credit losses
for this portfolio have remained manageable as most of the
mortgages have
relatively low loan-to-values (LTVs).
As the economic environment worsened during the credit cycle,
EMIG shifted its
focus to commercial lending through a number of different
channels. EMIG offers
a number of different commercial lending products including fine
arts lending,
sports lending, CRE bridge loans and private equity-sponsored
cash flow loans.
Additionally, EMIG participates in the syndicated loan market.
Each of these
lending channels has limited exposure on its own, but
collectively they
represent a nearly one-fourth of the loan portfolio. Any
deterioration in these
portfolios could result in negative ratings pressure.
Core earnings continue to struggle at EMIG, but the branch sale
is expected to
reduce overhead costs and be net-additive to core earnings in
the near term.
Fitch expects that the low interest rate environment will keep
putting pressure
on earnings and margins for the foreseeable future. To combat
margin pressures,
Emigrant has placed strategic focus on building up its fee
income businesses.
These businesses include HPM Partners (investment advisor/wealth
management),
Personal Risk Management (insurance brokerage), NYPBT (wealth
management and
trust services) and Galatioto Sports Partners (sports MA
advisory boutique),
and Fiduciary Network. Fitch expects that the bank’s fee income
businesses will
likely take some time to add meaningful incremental earnings
growth given the
deep relationships needed in private banking and wealth
management.
Given elevated NPAs and evolving business initiatives, Fitch
expects the company
will operate with elevated tangible capital ratios. Any
meaningful reduction to
tangible capital levels in the near term could place negative
pressure on its
current ratings. Additionally, any deterioration to asset
quality metrics could
result in a ratings downgrade. Conversely, positive ratings
action could occur
if core earnings improve, asset quality strengthens and new
business reach scale
in terms of profitability.
Fitch continues to rate the holding company one notch below its
bank
subsidiaries due to forthcoming maturity of $200 million of
senior notes in June
2014. Emigrant’s parent, New York Private Bank Trust (NYPBT),
also has $276
million of preferred stock outstanding under the TARP. The
interest rates on
EMIG’s TARP shares are scheduled to step up to a 9% coupon from
5% in 2014. The
rating of the holding company would likely be equalized with the
bank once these
obligations are addressed.
New York Community Bancorp, Inc. (NYCB)
NYCB’s current ratings reflect its very favorable credit loss
experience over
multiple credit cycles. Through the current cycle, NCOs peaked
at 35bps and
totaled just 13bps in 2012. Low losses are attributable to
NYCB’s ability to
execute its core strategy of rent-regulated, multi-family
lending predominantly
in NYCB’s core market in New York City.
Earnings performance is solid. NYCB’s ROA of 1.18% compares
favorably with the
niche bank group. NYCB’s profitability is a function of low
credit costs, low
overhead expenses, prepayment income and mortgage banking fees,
as well as a
balance sheet which has a greater percentage of loans than most
banks. Fitch
expects NYCB’s profitability to face headwinds in 2013 as the
low rate
environment and increasing competition for multi-family loans
pressures NIMs.
While Fitch believes the quality of the mortgage banking income
and prepayment
fees is generally weaker than the core multi-family business,
they do provide
some degree of earnings diversity.
Fitch believes NYCB’s ratings are solidly situated at current
levels. NYCB has
limited ability to achieve ratings improvement given its
concentration to asset
classes, geographies and single-name borrowers. Further, NYCB’s
limited
franchise and funding profile also make positive ratings action
unlikely in the
near term.
Conversely, NYCB’s ratings are highly sensitive to the
multifamily market in the
New York City area. Loosening of rent-regulations in the New
York area could be
a negative rating driver for the institution. Additionally,
aggressive capital
management or any deterioration of asset quality metrics could
also result in
negative ratings pressure.
NYCB continues to eye potential large accretive acquisitions;
Fitch would view
such transactions with caution. Although NYCB has demonstrated
the ability to
integrate many institutions in the past, large acquisitions will
require
commensurate enhancements to risk management and will likely
make NYCB a
systemically important financial institution under Dodd-Frank.
KEY RATING DRIVERS – Support and Support Rating Floors
Niche banks have a Support Ratings of ‘5’ and Support Rating
Floors of ‘NF’.
Fitch believes that they are not systemically important and
therefore, the
probability of support is unlikely. The IDRs and Viability
ratings (VRs) do not
incorporate any external support.
RATING SENSITIVITIES – Support and Support Rating Floors
Fitch does not anticipate changes to the Support Ratings or
Support Rating
Floors given size and the lack of systemic importance of the
niche bank group.
KEY RATING DRIVERS – Subordinated Debt and Other Hybrid
Securities:
Subordinated debt and other hybrid capital issued by the trust
banks and by
various issuing vehicles are all notched down from the holding
company or its
bank subsidiaries’ VRs in accordance with Fitch’s assessment of
each
instrument’s respective nonperformance and relative loss
severity risk profiles.
RATING SENSITIVITIES – Subordinated Debt and Other Hybrid
Securities:
Ratings are primarily sensitive to any change in the VRs, where
the notching
would be realigned in conjunction with any change in the VR.
KEY RATING DRIVERS – Subsidiary and Affiliated Company Rating:
The IDRs and VRs of AF, CSE, DCOM and NYCB are core to each
company’s business
and therefore IDRs and VRs are equalized across the group.
Fitch continues to
rate EMIG one notch below its Emigrant Bank subsidiary due to
forthcoming
maturity of $200 million of senior notes in June 2014 in
addition to outstanding
TARP monies from the U.S. department of treasury.
RATING SENSITIVITIES – Subsidiary and Affiliated Company Rating:
Ratings are primarily sensitive to any change in the VRs of the
associated bank
subsidiaries
Fitch has upgraded the following ratings with a Stable Outlook.
Emigrant Bancorp Inc:
–Long-term IDR to ‘B’ from ‘B-‘,
–Viability Rating to ‘b’ from ‘b-‘.
Emigrant Bank
–Long-term IDR to ‘B+’ from ‘B’,
–Viability Rating to ‘b+’ from ‘b’;
–Long-term Deposits to ‘BB- ‘ from ‘B+/RR3’.
Emigrant Mercantile Bank
–Long-term IDR to ‘B+’ from ‘B’.
Fitch has affirmed the following ratings:
Emigrant Bancorp Inc:
–Short-Term IDR at ‘B’
–Senior Debt at ‘CCC/RR6’;
–Support at ‘5’;
–Support Floor at ‘NF’.
Emigrant Bank
–Short-Term IDR at ‘B’;
–Short-Term Deposits at ‘B’;
–Support at ‘5’;
–Support Floor at ‘NF’.
Emigrant Mercantile Bank
–Short-Term IDR at ‘B’;
–Support at ‘5’;
–Support Floor at ‘NF’.
Emigrant Capital Trust I
Emigrant Capital Trust II
–Preferred Stock at ‘CC/RR6’.
Following the merger into Emigrant Bank, Fitch has withdrawn the
ratings for the
following:
Emigrant Savings Bank – Bronx/Westchester
–Long-term IDR at ‘B’,
–Viability Rating at ‘b’;
–Long-term Deposits at ‘B+/RR3’;
–Short-Term IDR at ‘B’;
–Short-Term Deposits at ‘B’;
–Support at ‘5’;
–Support Floor at ‘NF’.
Emigrant Savings Bank – Brooklyn/Queens
–Long-term IDR at ‘B’,
–Viability Rating at ‘b’;
–Long-term Deposits at ‘B+/RR3’;
–Short-Term IDR at ‘B’;
–Short-Term Deposits at ‘B’;
–Support at ‘5’;
–Support Floor at ‘NF’.
Emigrant Savings Bank – Manhattan
–Long-term at ‘B’,
–Viability Rating at ‘b’;
–Long-term Deposits at ‘B+/RR3’;
–Short-Term IDR at ‘B’;
–Short-Term Deposits at ‘B’;
–Support at ‘5’;
–Support Floor at ‘NF’.
Emigrant Savings Bank – Long Island
–Long-term IDR at ‘B’,
–Viability Rating at ‘b’;
–Long-term Deposits at ‘B+/RR3’;
–Short-Term IDR at ‘B’;
–Short-Term Deposits at ‘B’;
–Support at ‘5’;
–Support Floor at ‘NF’.
Fitch has affirmed the following ratings with a Stable Outlook:
Astoria Financial Corp.
–Long-Term IDR at ‘BBB-‘;
–Short-Term IDR at ‘F3’;
–Viability rating at ‘bbb-‘;
–Senior unsecured at ‘BBB-‘;
–Support at ‘5’;
–Support Floor at ‘NF’.
–Preferred Stock at ‘B’.
Astoria Federal Savings Loan
–Long-Term IDR at ‘BBB-‘
–Long-term Deposits at ‘BBB’;
–Short-Term IDR at ‘F3’;
–Viability rating at ‘bbb-‘.
–Short-Term Deposits at ‘F2’;
–Support at ‘5’;
–Support Floor at ‘NF’.
Astoria Capital Trust I
–Preferred stock at ‘B+’.
CapitalSource Inc.
–Long-term IDR at ‘BB’.
CapitalSource Bank
–Long-term IDR at ‘BB’;
–Short-term IDR at ‘B;.
–Viability Rating at ‘bb’;
–Support at ‘5’;
–Support Floor at ‘NF’;
–Short-term deposits at ‘B’;
–Long-term deposits at ‘BB+’.
Dime Community Bancshares, Inc.
–Long-term IDR at ‘BBB’;
–Short-term IDR at ‘F2’;
–Viability rating at ‘bbb’;
–Support at ‘5’;
–Support Floor at ‘NF’.
Dime Savings Bank of Williamsburgh
–Long-term IDR at ‘BBB’;
–Long-term Deposits at ‘BBB+’;
–Short-Term IDR at ‘F2’;
–Short-Term Deposits at ‘F2’;
–Viability rating at ‘bbb’.
–Support at ‘5’;
–Support Floor at ‘NF’.
Dime Community Capital Trust I
–Trust Preferred at ‘BB-‘.
New York Community Bancorp
–Long-term IDR at ‘BBB+’;
–Viability rating at ‘bbb+’;
–Short-term IDR at ‘F2’;
–Support at ‘5’;
–Support floor at ‘NF’.
New York Community Bank
–Long-term IDR at ‘BBB+’;
–Long-term deposits at ‘A-‘;
–Viability rating at ‘bbb+’;
–Short-term IDR at ‘F2’;
–Support at ‘5’;
–Support floor at ‘NF’;
–Short-term deposits at ‘F2’.
New York Commercial Bank
–Long-term IDR at ‘BBB+’;
–Long-term deposits at ‘A-‘;
–Viability rating at ‘bbb+’.
–Short-term IDR at ‘F2’;
–Support at ‘5’;
–Support floor at ‘NF’;
–Short-Term deposits at ‘F2’.
Richmond County Capital Corporation
–Preferred stock at ‘BB-‘.
Contact:
Primary Analyst
Jaymin Berg, CPA (Primary Analyst for AF, EMIG, DCOM and NYCB)
Director
+1-212-908-0368
Fitch Ratings, Inc.
One State Street Plaza
New York, NY 10004
Secondary Analyst
Johann Juan (Primary Analyst for CSE)
Director
Fitch Ratings
+1 312-368-3339
70 West Madison Street
Chicago, IL 60602
Doriana Gamboa (Secondary Analyst for NYCB, DCOM)
Director
+1-212-908-0865
Ilya Ivashkov, CFA (Secondary Analyst for AF, EMIG)
Director
+1-212-908-0769
Paul D Ryndak, CFA (Secondary Analyst for CSE)
Director
+312-368-3194
Committee Chairperson
Christopher Wolfe
Managing Director
+1-212-908-0771
Media Relations: Brian Bertsch, New York, Tel: +1 212-908-0549,
Email:
[email protected].
Additional information is available at ‘www.fitchratings.com’.
The ratings above
were solicited by, or on behalf of, the issuer, and therefore,
Fitch has been
compensated for the provision of the ratings.
In addition to the source(s) of information identified in
Fitch’s Master
Criteria, these actions were additionally informed by
information provided by
the companies. Note: Dime Community Bancshares, Inc (DCOM); The
issuer did not
participate in the rating process, or provide additional
information, beyond the
issuer’s available public disclosure.
Applicable Criteria and Related Research:
–‘Risk Radar’ (Apr. 04, 2013)
–U.S. Banking Quarterly Comment (Feb. 21, 2013)
–U.S. Housing Finance GSEs: Where to from Here (Feb. 28, 2013)
–‘U.S. Banks: Rationalizing the Branch Network (Witness the
Incredible
Shrinking Branch Network)’ (Sept. 17, 2012)
–‘Global Financial Institutions Rating Criteria’ (Aug. 15,
2012);
–‘Treatment of Unrealized Losses in U.S. Bank Capital Rule
Proposal
(Pro-Cyclical Capital Policy to Create Greater Capital
Volatility for Banks)’
(Aug. 7, 2012);
–‘Rating FI Subsidiaries and Holding Companies’ (Aug. 10,
2012);
–‘Assessing and Rating Bank Subordinated and Hybrid Securities’
(Dec. 05,
2012);
–Recovery Ratings for Financial Institutions (Aug. 12, 2012)
Applicable Criteria and Related Research
Recovery Ratings for Financial Institutions
here
Assessing and Rating Bank Subordinated and Hybrid Securities
here
Rating FI Subsidiaries and Holding Companies
here
Treatment of Unrealized Losses in U.S. Bank Capital Rule
Proposal (Pro-Cyclical
Capital Policy to Create Greater Capital Volatility for Banks)
here
Global Financial Institutions Rating Criteria
here
U.S. Banks: Rationalizing the Branch Network (Witness the
Incredible Shrinking
Branch Network)
here
U.S. Housing Finance GSEs: Where to from Here
here
U.S. Banking Quarterly Comment: 4Q12
here
Risk Radar Update
here
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