Strong regional position Successfully implemented strategy Improved asset quality, due to a reduced scope of activities and enhanced risk management Continued strong capitalization, despite buybacks of bearer participation certificates Limited growth potential in the Canton of Vaud, mitigated by a diversified business profile Exposure to local SMEs and real estate The ratings on Banque Cantonale Vaudoise (BCV) reflect its stand-alone creditworthiness, and factor in Standard&Poor's Ratings Services' opinion that the enhancement in the bank's financials will prove to be sustainable, thanks to a well-implemented strategy. Offsetting factors include the bank's limited growth potential in its home region, the Canton of Vaud (A+/Stable/--), and concentration on the real estate sector and local small and midsize enterprises (SMEs). BCV is
