NIBC Bank N.V.

Strong capitalization. Focused strategy and long-standing sector expertise. Improving earnings prospects. Niche corporate banking and mortgage franchises. Elevated--albeit decreasing--reliance on wholesale funding. Earnings likely to be less predictable than other Dutch banks. Standard&Poor's Ratings Services' outlook on Dutch NIBC Bank N.V. is stable. After several years of retrenchment, we believe that NIBC's credit profile is in a satisfactory position to support a return to growth. This is reflected in our primary base-case assumptions that NIBC will maintain robust capitalization, by our measures, and that credit growth will not materially exceed that of Dutch peers. We could lower the ratings if we saw a deterioration in the bank's hitherto resilient asset quality--noting that its corporate book still includes some

...Earnings likely to be less predictable than other Dutch banks. Outlook: Stable Standard & Poor's Ratings Services' outlook on Dutch NIBC Bank N.V. is stable. After several years of retrenchment, we believe that NIBC's credit profile is in a satisfactory position to support a return to growth. This is reflected in our primary base-case assumptions that NIBC will maintain robust capitalization, by our measures, and that credit growth will not materially exceed that of Dutch peers. We could lower the ratings if we saw a deterioration in the bank's hitherto resilient asset quality--noting that its corporate book still includes some relatively large exposures relative to its capital base--or if its risk appetite evolved into that which we no longer consider consistent with an "adequate" risk position. This scenario could be relevant, in particular, if our forecast for our risk-adjusted capital (RAC) ratio is very close to our 10% threshold for a "strong" capital and earnings assessment. We consider...

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