Outlooks For Iceland's Top 3 Banks Revised To Positive On Our More Favorable View Of The Economy

We foresee solid GDP growth for Iceland for the next two years and expect economic imbalances to decline further. We have revised our economic risk trend for Iceland to positive from stable, and expect a continued improvement in the banking system's asset quality. We have therefore revised the outlooks for Arion Bank, Islandsbanki, and Landsbankinn to positive from stable, and affirmed the 'BB+/B' long- and short-term ratings. We have also affirmed our 'BB-/B' ratings on Housing Financing Fund; the outlook remains stable. STOCKHOLM (Standard&Poor's) Oct. 14, 2014--Standard&Poor's Ratings Services said today it revised its outlooks on three commercial banks in Iceland--Arion Bank, Islandsbanki hf, and Landsbankinn hf.--to positive from stable. We affirmed our 'BB+/B' long- and

...+ We foresee solid GDP growth for Iceland for the next two years and expect economic imbalances to decline further. + We have revised our economic risk trend for Iceland to positive from stable, and expect a continued improvement in the banking system's asset quality. + We have therefore revised the outlooks for Arion Bank, Islandsbanki, and Landsbankinn to positive from stable, and affirmed the '##+/B' long- and short-term ratings. + We have also affirmed our '##-/B' ratings on Housing Financing Fund; the outlook remains stable. STOCKHOLM (Standard & Poor's) Oct. 14, 2014--Standard & Poor's Ratings Services said today it revised its outlooks on three commercial banks in Iceland--Arion Bank, Islandsbanki hf, and Landsbankinn hf.--to positive from stable. We affirmed our '##+/B' long- and short-term counterparty credit ratings on these banks. In addition, we affirmed the '##-/B' ratings on Housing Financing Fund Ibudalanasjodur (HFF); the outlook remains stable. The outlook revisions for...

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