... (BCR) IDRs and Support Rating are driven by the potential support it can expect to receive from its 93.6% owner, Erste Group Bank AG (Erste; A/Negative). This view takes into account the continued high strategic importance of the Central and Eastern Europe region as a whole for Erste. The Negative Outlook reflects that of the parent. BCR's rating is constrained by the Romanian Country Ceiling of BBB+. Asset Quality Drives VR: BCR's Viability Rating (VR) reflects: (i) still weak asset quality; (ii) the improved but still considerable level of uncovered impaired loans relative to Fitch core capital (FCC); and (iii) the weak performance expected in 2014, driven by high loan impairment charges (LICs), which reflected the bank's efforts to resolve its large pool of legacy problem loans. The VR also reflects the bank's still substantial capital buffer to absorb potential further losses, adequate pre-impairment profitability and comfortable liquidity....
