Satisfactory market position and brand recognition in Puerto Rico Strengthening, though adequate, capital levels Weak loan performance with persistently high level of nonperforming assets (NPAs) High geographic concentration in Puerto Rico's troubled market Heavy reliance on wholesale funding and brokered deposits Regulatory restrictions regarding upstreaming dividends to the holding company The negative outlook on FirstBank Puerto Rico largely reflects the weak local economy, high exposures to the commonwealth and its related entities, and persistently high NPAs, despite large bulk loan sales in recent years. In Standard&Poor's Ratings Services' view, these factors present risks to our forecasts and could hurt profitability and credit performance. These negatives, we believe, continue to weigh on the improvements in the bank's capital levels
