Strong market position as Korea's largest bank Strong retail banking business Low concentration risk Potential pressure on asset quality from high household leverage in Korea Moderate management and governance track record, although improving in recent years The stable outlook on Kookmin Bank reflects our view that the bank and its parent group, KB Financial Group Inc. (KBFG), will maintain their capitalization and stable asset quality over the next 18-24 months. We believe Kookmin will manage potential upward pressure in credit costs with its current preprovisioning profit levels. That's because of the bank's efforts over the past several years to tighten underwriting standards, write off bad loans, and build in additional provisioning under regulatory guidance for weak corporate sectors. In addition,
