The ratings on Commerzbank AG reflect the bank's market position as the fourth-largest private banking group in Germany, its improved and overall sound asset quality and prudent provisioning policy, and its stable and diversified funding sources. The ratings are constrained by the bank's modest profitability levels, which are below those of its international peers, and its still moderate, although improved, capitalization. With total consolidated assets of €493 billion at March 31, 2001, Commerzbank ranks among the 20 largest banking groups in Europe. As a universal bank, it offers a broad range of financial services to retail and wholesale customers. Commerzbank has set ambitious profitability targets, but failed to improve its core profitability, which, to a large extent, is a result
