...Support-Driven Ratings: Agos Ducato S.p.As (Agos) ratings are driven by support from its majority shareholder, CA Consumer Finance (CACF) and ultimately from Credit Agricole (CA). CACF holds a 61% stake in Agos and Italy is a strategically important country for CA. Banco BPM owns the remaining 39% and historically provided pro rata support, but it may reduce its stake through an IPO or a put option underwritten by CACF (for 10% of Agos's shares). The Negative Outlook mirrors that of CA and CACF. IDR Notched Down Twice: The two-notch difference between the Long-Term Issuer Default Ratings (IDRs) of Agos and CACF reflects CACF's majority, but not full, ownership of Agos as well as Fitch Ratings' view that Agos is not a core but a strategically important subsidiary in a strategically important country for the CA group. Rating above the Sovereign: Fitch rates Agos two notches above Italy's sovereign rating. Agos has no direct exposure to Italian sovereign risk and, in our view, is less exposed...
