{"id":15422,"date":"2012-10-09T17:42:12","date_gmt":"2012-10-09T15:42:12","guid":{"rendered":"http:\/\/www.myza.co.za\/10\/text-fitch-affirms-credit-agricole-at-a-outlook-negative\/"},"modified":"2012-10-09T17:42:12","modified_gmt":"2012-10-09T15:42:12","slug":"text-fitch-affirms-credit-agricole-at-a-outlook-negative","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/text-fitch-affirms-credit-agricole-at-a-outlook-negative\/","title":{"rendered":"TEXT-Fitch affirms Credit Agricole at ‘A+’; outlook negative"},"content":{"rendered":"

\t\t<\/span><\/p>\n

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Oct 09 – Fitch Ratings has affirmed Credit Agricole’s
\n(CA) Long-term Issuer Default Rating (IDR) at ‘A+’ with a Negative Outlook and
\nShort-term IDR at ‘F1+’. At the same time, the agency has affirmed the Viability
\nRating (VR) at ‘a’, Support Rating Floor at ‘A+’ and Support Rating at ‘1’. A
\nfull list of rating actions is at the end of this rating action commentary.<\/p>\n

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RATING ACTION RATIONALE<\/p>\n

<\/span><\/p>\n

CA’s Long- and Short-term IDRs, Support Rating and Support Rating Floor continue
\nto reflect the potential support from France (‘AAA’\/Negative), if required. The
\nNegative Outlook on CA’s Long-term IDR reflects that of France’s Long-term IDR.
\nCA is not a single entity, but a cooperative banking group. Its 39 regional
\nbanks (caisses regionales; CRs) and central body (Credit Agricole S.A.; CA S.A.)
\nbenefit from a cross-support mechanism. Fitch has the same IDRs for CA and CA
\nS.A. Fitch considers there to be an extremely high probability that support from
\nthe French authorities would be forthcoming if needed. CA is the leading French
\nretail bank (with a 25% market share of customer deposits) and is systemically
\nimportant.<\/p>\n

<\/span><\/p>\n

CA’s VR reflects its strong French retail franchise, solid overall asset
\nquality, limited market risk and solid funding base. It also considers CA’s
\nmodest profitability, an only adequate Fitch Core Capital ratio and exposure to
\nsouthern Europe. CA is focusing on the mature low-risk\/low-return French retail
\nbanking activities more than many of its peers and has reduced its ambitions in
\ncorporate and investment banking (CIB). The group has also largely implemented
\nan adjustment plan to reduce its funding needs.<\/p>\n

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RATING DRIVERS AND SENSITIVITIES – IDRS, SUPPORT RATING AND SUPPORT RATING FLOOR<\/p>\n

<\/span><\/p>\n

CA’s Long- and Short-term Term IDRs are driven by support and the Long-term IDR
\nis at the same level as its Support Rating Floor. The Long- and Short-Term IDRs,
\nSupport Rating and Support Rating Floor would be sensitive to a decrease in
\nFrance’s ability (as measured by its rating) or willingness to support CA. A
\ndowngrade of France’s Long-term IDR by one notch (to ‘AA+’) would lead to a
\ndowngrade of CA’s Support Rating Floor and Long-term IDRs to ‘A’ and Short-term
\nIDR to ‘F1’. These ratings could also be downgraded if Fitch came to the
\nconclusion that government support in France was being diluted through a
\ncombination of regulatory, legal and political changes.
\n\u00a0 Continued…<\/strong><\/span><\/p>\n

<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Oct 09 – Fitch Ratings has affirmed Credit Agricole’s (CA) Long-term Issuer Default Rating (IDR) at ‘A+’ with a Negative Outlook and Short-term IDR at ‘F1+’. At the same time, the agency has affirmed the Viability Rating (VR) at ‘a’, Support Rating Floor at ‘A+’ and Support Rating at ‘1’. A full list of rating […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[830,2370,183],"class_list":{"0":"post-15422","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-news","8":"tag-reuters","9":"tag-south-africa-2","10":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/15422","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=15422"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/15422\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=15422"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=15422"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=15422"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}