U.S. Banks: Periodic Midtier Regional Peer Review

...Peer Review Completed: The viability ratings (VRs) and issuer default ratings (IDRs) for the midtier regional bank peer group were reviewed in January 2017. At that review, Fitch downgraded UMB Financial Corp.'s (UMBF) ratings and revised its Rating Outlook to Stable from Negative. At the same time, Fitch revised the Outlooks for BOK Financial Corp. (BOKF) to Stable from Negative and First Horizon Corp. (FHN) to Positive from Stable. The ratings of these two banks were affirmed. Growth Continues to Stand Out: Pockets of loan growth have been very strong relative to the industry and other peer groups. In Fitch's view, this is potentially indicative of loosening credit standards or pricing to win business from larger banks, some of which have communicated low single-digit growth forecasts for 2017. Mergers a Focus: Many of the banks in Fitch's midtier regional peer group have been active in mergers and acquisitions (M&A) through asset purchases, whole bank purchases or nonbank, revenue generating...

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