On March 11, 2014, Italy-based UniCredit SpA (UniCredit) disclosed its new 2013-2018 business plan and reported a total €13.9 billion net loss for full-year 2013, largely as a result of goodwill amortization and, to a lesser extent, loan-loss provisioning. We believe that the impact of 2013 net losses on UniCredit's capital position should remain manageable, and that the loan-loss provisions have strengthened its balance sheet. We are therefore affirming our 'BBB/A-2' long- and short-term ratings on UniCredit. The negative outlook reflects the possibility that we could lower the ratings if we were to lower our long-term sovereign credit ratings on Italy; if the economic and/or operating conditions in which UniCredit operates deteriorate further; or if UniCredit's financial profile, and particularly
