Fitch affirms Gulf International Bank

Fitch Ratings said it affirmed Gulf International Bank's dated subordinated debt obligations at A-, long-term issuer default rating at A, short-term issuer default rating at F1, individual rating at C/D, support rating at 1 and support rating floor at A.

The outlook is stable.

The agency said the bank's issuer default ratings and support rating reflect Fitch's view that there is an extremely high probability that the bank would receive support from its shareholders in case of need.

The individual rating reflects Fitch's concerns about the bank's franchise, funding and prospects following large write-downs and mark-to-market losses suffered in the first half of 2008 and in 2007, as well as weakened liquidity and capitalization.

The individual rating also reflects strong asset quality in Gulf International Bank's loan book, adequate profitability of the core wholesale banking business and the restructuring of its U.K. subsidiary, which should lead to reduced market risks, the agency said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.