On Jan. 22, 2009, Standard&Poor's Ratings Services revised its outlooks on Capital One Financial Corp. (Capital One) and subsidiaries Capital One Bank (USA) N.A. and Capital One N.A. to negative from stable. At the same time, we affirmed the counterparty credit ratings on the companies, including the 'BBB+' long-term counterparty credit rating on Capital One and the 'A-/A-2' counterparty credit ratings on the subsidiaries. The outlook revision was based on the firm's lower profitability as the weak phase of the consumer credit cycle elevated credit losses on loans, and on its substantial noncash goodwill adjustment. The ratings on Capital One reflect the McLean, Va.-based company's product mix, which, while broad, focuses on higher credit risk consumer lending, particularly
