Fitch has today downgraded Kaupthing Bank's credit ratings. The Bank's Long-term Issuer Default Rating (IDR) has been downgraded one notch from A to A- and the Bank's Short-term IDR from F1 to F2. The Bank's Individual rating B/C, Support 2 and Support Rating Floor BBB remains unchanged. The long-term IDR was placed on negative outlook. According to Fitch: The ratings of Kaupthing, while supported by the geographic diversification of the bank's franchise and success in turning around and integrating foreign subsidiaries, also reflect an expectation of some deterioration in its core markets of Iceland and the UK. The large liquidity portfolio maintained by the bank and launch of retail deposits accounts in a large number of countries should support the diversification of Kaupthing's funding sources. Further information: Gudni Adalsteinsson - Chief Treasurer, + 354 444-6126 or Jónas Sigurgeirsson - Chief Communications Officer, +354 444-6112
- Fitch downgrades Kaupthing Banks's credit rating to A-
| Source: Kaupþing banki hf.