Article: CANADA: MOODY'S CHANGES DESJARDINS OUTLOOK TO NEGATIVE.

Moody's Investors Service affirmed the ratings of Caisse centrale Desjardins ("CCD") and a rated subsidiary and changed their long-term rating outlooks to negative from stable. Caisse centrale is rated C+ for bank financial strength, Aa1 for long-term deposits, and P-1 for short-term obligations. The negative outlook reflects Moody's concern regarding strategic risk management practices following disclosure of unexpected material losses in Desjardins Group's ("Desjardins") capital guarantee note product, coupled with expected further losses on Desjardins' non-bank asset-backed commercial paper ("ABCP") exposure. It appears that Desjardins itself took principal risk in the ...

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