Summary: Westpac Banking Corp. Dec 07
- ID: 1924863
- December 2007
- Standard & Poors
The 'AA/Stable/A-1+' issuer credit ratings on Australia-based major bank Westpac Banking Corp. (Westpac), reflect the bank's strong financial profile, which has benefited from the strong asset quality, improved operational efficiency, earnings diversity, and adequate liquidity. The bank is well placed to contend with a higher level of bad debts should there be a moderation in the credit cycle. Key factors moderating the ratings are competitive pressures, tightening interest margins, and the moderate capitalization affecting the Australian banking industry. Another factor moderating the rating is the limited opportunity for retail funding growth across the industry, which heightens Westpac's reliance on wholesale funding markets. In the year ended Sept. 30, 2007, Westpac showed solid growth in earnings and assets despite the Australian...
Companies mentioned in this report are:
- Westpac Banking Corp.
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