Article: SPAIN: MOODY'S DOWNGRADES CAIXA PENEDES TO BAA1/P-2/C-, NEGATIVE OUTLOOK.

Moody's Investors Service today downgraded Caixa d'Estalvis del Penedes' ("Caixa Penedes") long-term bank deposit and senior debt ratings to Baa1 from A2, and the bank financial strength rating (BFSR) to C- from C. The short-term debt and deposit ratings were also downgraded to Prime-2 from Prime-1. The outlook on the long-term debt and deposit ratings and BFSR is now negative. According to Moody's, the downgrades of Caixa Penedes' ratings, which now bring it more in line with similarly placed Spanish banks in this rating range, were prompted by the combination of the following factors: (1) One of the highest exposures (in % of Tier 1 capital) to the real estate ...

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