The economic risks under which French banks, including Crédit Agricole, operate have increased in our view, leaving them moderately more exposed to the potential of a lengthier recession in the eurozone. We have revised our outlook on French banking group Crédit Agricole (rated entity Crédit Agricole S.A.) to negative from stable, and affirming our 'A/A-1' long and short-term ratings. Our negative outlook on CASA factors in the possibility that an increase in France's banking industry risks and any potential lowering of the sovereign ratings, or a deterioration of the economic situation across the eurozone, could occur before the bank has delivered a sufficient and sustainable increase in its capital position to cushion any negative impact on its creditworthiness. As previously
