...Rating Rationale: KeyCorp's (KEY) ratings are supported by the company's sound financial profile, solid asset quality performance, diversified revenue mix and reduced risk profile. While KEY's earnings measures have historically been lower than most large regional banks, KEY's financial metrics have come more in line peer averages over time. Good Acquisition Execution: KEY remains on track to meet or exceed its financial targets announced at the acquisition of First Niagara (FNFG) and should benefit from revenue synergies. To date, KEY has already achieved its initial cost save target of $400 million and, more recently, expects an additional $50 million to be achieved 2Q18. Further, management estimates $300 million of revenue synergies to come through over the next two years from areas including residential mortgage, commercial payments, private banking and commercial bank and capital market offerings. Focusing on Strengthening Retail: The company's strategic focus is relationship banking...
