Business profile, management, and strategy is sound and consistent with ratings level Improved financial profile through higher earnings and reduced credit risk Low market shares in low growth, fragmented, and highly competitive domestic market environment Largely wholesale-oriented business mix and risk profile Profitability, capitalization, and diversification below large European peers The ratings on Germany-based Commerzbank AG reflect its sound business profile and improved financial profile based on reduced credit risk and higher profitability levels. This is underpinned by the more favorable domestic economic environment with a cyclical upswing that is broader based and likely to be longer lasting than expected. The ratings are mainly constrained by Commerzbank's profitability, which compares unfavorably with higher rated peers, partially a result of the
