Research Update: MBNA Corp. Ratings On CreditWatch Positive After Purchase Announcement By Bank Of America Jun 05
- ID: 1791139
- June 2005
- Region: America, United States
- Standard & Poors
On June 30, 2005, Standard & Poor's Ratings Services placed its ratings on MBNA Corp. and its affiliate, MBNA America Bank N.A., including the 'BBB' long-term counterparty credit ratings on MBNA Corp., on CreditWatch with positive implications. The rating actions follow the announcement that Bank of America Corp. (BoA) is purchasing MBNA, the premier monoline credit card company, known for its affinity marketing strategy. The transaction will more than triple BoA's portfolio and make it the leading credit card issuer in the country, with more than $165 billion of managed receivables. In all, credit cards will account for approximately 26% of managed loans at the combined company. The transaction will have a slight beneficial impact on BoA's asset quality, as...
Companies mentioned in this report are:
- MBNA Corp.
- Bank of America Corp.
- FIA Card Services N.A.
Action: On CreditWatch:Positive
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
Product Type: Research Update
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