Following a review of Volkswagen Financial Services AG (VW FS) under Standard&Poor's revised bank criteria (published Nov. 9, 2011), we have affirmed our long- and short-term counterparty credit ratings on VW FS at 'A-/A-2'. The outlook is stable. Our ratings on VW FS factor in an 'a-' anchor for banks operating predominantly in Germany, and reflect our view of the company's weak business position, adequate capital and earnings, adequate risk position, average funding, and adequate liquidity. The ratings on VW FS factor in two notches of support to reflect the company's core status to its 100% ultimate owner Volkswagen AG (VW AG; A-/Stable/A-2). We are also affirming the 'K-1' Nordic scale rating on VW FS' core Sweden-based subsidiary
