...TOKYO (Standard & Poor's) Nov. 1, 2006--Standard & Poor's Ratings Services today revised its outlooks to positive from stable on its long-term counterparty ratings on Japan's two major bank holding companies, eight major banks, and their six group companies (see list below), reflecting faster than expected improvement in their financial profiles. At the same time, Standard & Poor's affirmed the ratings on these groups and companies. "With Japan's economy growing steadily, the banks have recorded solid business performance underpinned by the stable operating environment," Standard & Poor's credit analyst Ryoji Yoshizawa said. The ratings on the banks and group companies may be raised if their profitability continues to improve and group capital strengthens, and if risks from credit concentration on large borrowers recedes. On the other hand, the ratings could come under pressure if the operating environment deteriorates, affecting the banks' earnings and capitalization, although the likelihood...
