Strong earnings Record of success through various stress environments Improving diversification of earnings, assets, and funding; with potential accelerated improvement with North Fork acquisition Higher-credit risk consumer asset classes Credit card concentration, though diminishing Wholesale funding profile, though improving The ratings on Capital One Financial Corp. reflect the McLean, Va.-based company's product concentration, which while broadening, focuses on higher-credit risk consumer lending, particularly credit cards; heavy reliance on wholesale-sourced funding; and an always-competitive operating environment. Also considered are the advantages afforded by Capital One's acquisition of Hibernia Corp.; improving asset quality measures; a strengthening corporate governance infrastructure; historically strong capital and liquidity; and a lower-risk long-term strategy. Capital One is succeeding in broadening its product menu beyond domestic consumer credit
