...IDRs Reflect Standalone Profile: Banca Carige S.p.A - Cassa di Risparmio di Genova e Imperia's (Carige) IDRs reflect its high level of impaired loans and weak structural profitability, as captured by its Viability Rating (VR). The ratings also reflect Carige's stronger capital position following recent capital increases, but also the still high unreserved impaired loans in relation to its core capital. Weak Asset Quality: Asset quality is Carige's main weakness. At end-1H15 impaired loans accounted for a very high 28.7% of gross loans, the highest level among rated Italian medium- sized banks. The coverage of impaired loans was strengthened in 2013 and 2014 but remained just acceptable at 44.2% at end-1H15. Strengthened Capitalisation: Carige's capitalisation was significantly strengthened in 2014 and 2015 by two capital increases totalling EUR1.6bn, and the disposal of its asset management and insurance subsidiaries, which generated capital gains, lowered deductions from capital and reduced...
