Solid capital base provides a buffer against historically volatile profitability Good underlying business performance Conservative liquidity management Specialized and concentrated franchise Track record of volatile profitability Heavily reliant on wholesale funding The ratings on NIBC Bank N.V. reflect its strong capital base and good asset quality, its niche business profile and position, wholesale funding reliance, and its track record of volatile profitability, exacerbated in recent years by its accounting treatment. The bank's reliance on wholesale funding is somewhat mitigated by its conservative liquidity management. Following a loss in 2007 from its exposure to U.S. subprime and commercial real estate (CRE) securities arising from financial markets activities, NIBC has refocused its operations on its traditional mid-cap Benelux corporate banking business, and
