Article: MOODY'S CHANGES OUTLOOK ON THE BFSR OF HELLENIC BANK TO NEGATIVE

Moody's Investors Service has todaychanged the outlook on the D+ bank financial strength rating (BFSR) ofthe Cyprus-based Hellenic Bank Public Company Ltd (Hellenic Bank) tonegative, from stable. The bank's deposit rating of Baa2 still has astable outlook. Moody's rating action was prompted both by challenging operating/macro conditions -- and their impact on Hellenic Bank's asset quality andinterest margins -- and, more importantly, the operational and financialchallenges facing the Cypriot institution's Greek operations, which arecompromising its earnings-generation capabilities. Hellenic Bankcurrently operates 27 branches in Greece, where the operations accountfor around 21% of total ...

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