Fitch downgrades Wilmington

Fitch Ratings said it downgraded Wilmington Trust Corp.'s long-term issuer default rating to BBB+ from A-, subordinated debt to BBB from BBB+, preferred stock to BBB- from BBB, short-term issuer default rating to F2 from F1 and individual rating to C from B/C. The 5 support rating and "No Floor" support floor were affirmed.

The outlook remains negative.

The downgrades primarily reflect continued deterioration in Wilmington's loan portfolio, particularly in commercial real estate loans, the agency said, and the company's ratings are further pressured by its relatively weak capital position, particularly given its heightened risk profile.

Wilmington's ratings continue to be supported by its diverse revenue streams and by solid liquidity at the holding company, and its funding mix has improved considerably over the past year, Fitch said.

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