S&P downgrades b & n Bank to ‘ B -‘, placed in the list for review

S&P downgrades b & n Bank to ‘ B -‘, placed in the list for review


The short-term rating was lowered to “C” with “b”, national scale rating – to “ruBBB-” from “ruBBB+”. These ratings also placed in the list on review for possible downgrade.

MOSCOW, 19 Oct. International rating Agency Standard & Poor’s lowered the long-term counterparty credit rating of the Bank to “b-” from “b” and put it in the list on review for possible downgrade, said the Agency.

The short-term rating was lowered to “C” with “b”, national scale rating — to “ruBBB-” from “ruBBB+”. These ratings also placed in the list on review for possible downgrade.

The placing the ratings on review reflects the lack of clarity regarding the future structure of the group and the Bank the possibility of further deterioration of its financial profile, said S&P.

The Agency intends to complete the review within three months after receiving additional information, including about the prospects for integration “the growth of the Bank”.

The Bank in its comments on the rating noted that the aforementioned S&P “uncertainty” regarding integration plan, “the growth of the Bank” is related to the fact that currently being coordinated with the CBR is the final version of the financial recovery plan.

According to RIA Rating, on 1 July, the Bank occupied the 16th place among Russian banks in terms of assets with an indicator in 588,2 billion. The Bank was founded in 1993, the main shareholders are the Bank’s President Mikail Shishkhanov (59,4%) and Mikhail Gutseriev (a 39.4% share). In the group of the Bank also includes the organization “b & n Bank credit cards”, “b & n Bank Murmansk”, Uralprivatbank, and five banks of the group “Growth” (Growth of Bank Kedr, SKA-Bank, Tveruniversalbank and EcoBank).