Moody's keeps BBVA Bancomer on watch

Moody's Investors Service said it confirmed BBVA Bancomer, SA's C+ bank financial strength rating with a stable outlook and kept its Aa2/Prime-1 global local-currency long- and short-term deposits, Aa2 global long-term local-currency senior debt, Aa3 global long-term local-currency subordinated debt and junior subordinated debt and A1 long-term foreign-currency subordinated debt on review for possible downgrade along with Hipotecaria Nacional, SA de CV's Aa3 global long-term local-currency rating.

BBVA Bancomer's Aaa.mx/MX-1 Mexican national scale long- and short-term deposit and senior and subordinated debt ratings are not on review.

In confirming the bank financial strength rating, Moody's concluded that the bank's capitalization is well positioned to withstand potentially higher credit losses over the near term at its current rating level, despite the challenges of a difficult operating environment.

The agency said the other ratings remain under review because it will also apply its new assumptions of systemic support for Mexican banks. The review will determine the extent to which the level of systemic support currently incorporated into the bank's local-currency ratings should be more closely aligned with the Mexican government's own debt capacity.

© 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.