S&P drops Indymac

Standard & Poor's said it lowered its rating on Indymac Bancorp and its subsidiaries, including lowering the counterparty credit rating on Indymac to B/C from BB+/B.

At the same time, the agency said it lowered its ratings on the rated preferred stock of both Indymac and IndyMac Bank FSB to D in light of the bank's announcement that its board had voted to suspend dividend payments on these rated issues.

The corporate credit ratings on both the bank and the holding company were placed on CreditWatch with negative implications, S&P said, noting that this action was taken in response to its growing concerns about Indymac's exposure to deteriorating housing markets, which has driven nonperforming assets to very high levels and resulted in continued credit-related losses that have eroded capital.

© 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.