Moody’s affirms GIB’s A2 rating with negative outlook
Moody’s Investors Service has affirmed the A2/Prime-1 deposit ratings and A3 subordinated debt rating of Gulf International Bank B.S.C. (”GIB”) with their existing negative outlook. Moody’s also changed the outlook on GIB’s C- bank financial strength rating (”BFSR”) to negative from stable.
The rating actions were prompted by GIB’s release of full-year results for 2007 and follow Moody’s decision to change the outlook on the A2/Prime-1 deposit ratings and A3 subordinated debt rating to negative in December 2007.
This reflected the rating agency’s expectation that GIB’s exposure to assets related to US residential mortgage backed securities and to structured investment vehicles (”SIVs”) would impact its earnings and solvency. — www.theasianbanker.com (February 27 2008)–