Article: SPAIN: MOODY'S DOWNGRADES CAJA BURGOS TO A3/P-2/C-.

Moody's Investors Service today downgraded the long-term bank deposit and issuer ratings of Caja de Ahorros Municipal de Burgos (Caja Burgos) to A3 from A2 and its bank financial strength rating (BFSR) to C- from C. The short-term deposit ratings were also downgraded to Prime-2 from Prime-1. The BFSR, issuer and deposit ratings were placed on review for possible further downgrade. According to Moody's, the downgrade of Caja Burgos's ratings was prompted by the bank's very high exposure and top-name concentration to the real estate development and construction sectors, not only in relation to its Tier-1 capital and total loan book but also relative to similarly rated peers. ...

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