...Strong International Retail Franchise: Banco Santander, S.A.'s Long-Term Issuer Default Rating (IDR) is one notch above Spain's sovereign rating (BBB+/Stable) supported by diversification benefits from its solid retail franchises in a number of European and Latin American countries and the US. The group's ratings reflect its diversified franchise, fairly modest risk appetite, adequate asset quality despite challenges in some geographies, resilient profit generation and improved capitalisation. Fitch Ratings views Santander's risk profile as correlated with the sovereign's despite international diversification. This is reflected, among other things, in domestic performance and asset quality, which have been sensitive to the economic environment. Funding access, stability and costs are also typically influenced by broad perceptions of sovereign risk. Resilient Performance: Santander benefits from relatively stable earnings over the cycle thanks to its geographical diversification and retail-banking...
