We have reviewed Germany-based Commerzbank's ability to strengthen its business model and reduce its large noncore loan book over the next two years. We are lowering our ratings on Commerzbank to 'A-/A-2' from 'A/A-1' and removing them from CreditWatch negative because the bank will likely face increasing difficulties in achieving a stronger and sustainable performance. The negative outlook on Commerzbank indicates the possibility of a downgrade if the expected tangible progress in Commerzbank's derisking is more than offset by the negative trends we see in economic risks across many European banking sectors, including Germany's. On May 28, 2013, Standard&Poor's Ratings Services lowered its long- and short-term counterparty credit ratings and its senior unsecured debt ratings on Germany-based Commerzbank
