S&P lowers view on five U.S. banks to negative

Standard & Poor’s said it revised the outlooks to negative from stable on five U.S. banks – BOK Financial Corp., Comerica Inc., Cullen/Frost Bankers Inc., Hancock Holding Co. and Texas Capital Bancshares – based on uncertainty about oil and natural gas prices.

These outlook revisions follow a broad review of U.S. regional banks with energy-lending operations, S&P said.

The concentrations these banks have in energy-related loans, along with their presence in energy-dependent regions, increases the risk that their asset quality will deteriorate, the agency said.

The banks’ asset quality could continue to be impacted by lower oil and natural gas prices if these low prices persist, S&P said.

The agency said it will continue to closely monitor the ratings on all regional banks, particularly if the slump in oil prices continues.

S&P lowers Atlas Resource view to negative

Standard & Poor’s said it revised the outlook on Atlas Resource Partners LP to negative from stable and affirmed its B corporate credit rating.

The agency also said it affirmed the B- rating with a 5 recovery rating on the company’s senior unsecured notes.

The company’s leverage is likely to approach a downgrade trigger for the rating and liquidity could deteriorate over the next year, S&P said.

The partnership may have limited access to capital markets due to the downturn in the oil and natural gas industry, the agency said.

S&P upgrades Hanover

Standard & Poor’s said it raised the long-term counterparty credit rating on the Hanover Insurance Group Inc., and its insurance operating subsidiaries, to A from A-.

S&P also said it raised the senior debt rating to BBB from BBB- and the subordinated debt rating to BB+ from BB.

The outlook is stable.

The upgrade is based on a belief that management will continue its efforts to diversify the company’s geographic concentration and product offering to further improve its risk position and earnings, S&P said.

Key to management’s efforts have been the global footprint Chaucer provides and the westward expansion in the United States, the agency said.

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