Moody's: Maritime Bank negative

Moody's Investors Service said it changed the outlook on Maritime Bank's B2 local and foreign-currency deposit ratings to negative from stable.

Moody's said the change reflects the growing negative pressure on Maritime's credit profile, driven by: (a) modest capital adequacy reflected by an equity-to-assets ratio of 9.7% at end-May 2012, according to the bank's statutory unaudited financial statements; (b) high credit-risk concentration, as the 20 largest credit exposures accounted for over 400% of Maritime Bank's equity at the end of first half 2012; and (c) negative pressure on its franchise and liquidity as the bank's access to many of its traditional customers in Russia's transportation industry may weaken following the possible sale by Maritime Bank's controlling shareholder S. Generalov of his majority stake in Fesco, one of the largest Russian transportation groups.

© 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.