Strong franchise in almost all markets where BBVA is present. Diversification benefits provided by foreign operations. Conservative risk management and adequate capitalization. Sound and resilient operating profitability. Exposure to markets with higher-than-average economic risk compared to peers. Only a gradual recovery of the Spanish operations, which account for almost half of BBVA's asset base, from underperforming levels. Lower profit contribution and asset quality deterioration in Turkey. Our negative outlook on Banco Bilbao Vizcaya Argentaria S.A. (BBVA) reflects the potential negative rating implications over our two-year outlook horizon if ongoing investigations into the alleged tapping of private communications hamper our view of their corporate governance or undermine the bank's reputation. Moreover, we could lower our ratings if a material worsening of
