The ratings on BHW Bausparkasse AG, Hameln (BHW B) continue to reflect the bank's excellent asset quality and credit-loss record, strong liquidity, and strong funding position due to its stable and relatively cheap Bauspar deposit base and capital levels, which are still regarded as sound given the bank's risk profile. The ratings also take into consideration BHW B's low profitability levels and cost structures, which are expected to improve only gradually. With total assets of €30.6 billion ($27.6 billion, at €0.90 to $1) and adjusted common equity of €871 million at Dec. 31, 2001, BHW B is the second-largest private buildings savings bank (Bausparkasse) in Germany. It remains the principal subsidiary of BHW Holding AG, which had total consolidated assets
