FRANKFURT (Standard&Poor's) April 8, 2008--Standard&Poor's Ratings Services said today it affirmed its 'AAA' long-term and 'A-1+' short-term issuer credit ratings on Germany-based KfW on the continued financial support of, and guarantees from, the Federal Republic of Germany (AAA/Stable/A-1+). The outlook is stable. On April 7, 2008, KfW published its 2007 financial accounts. As expected, the heavy costs KfW incurred by providing risk protection for IKB Deutsche Industriebank AG (IKB, not rated), reaching €7.2 billion in 2007, overshadowed its positive operational results. KfW has now written off 90% of the credit lines granted to IKB and IKB's off-balance-sheet conduit, Rhineland Finance. The bail-out costs for IKB have led to the first negative result in KfW's 60-year history,
