We revised our outlook on the Austrian State of Vorarlberg to negative from stable on March 19, 2021. The ratings on Hypo Vorarlberg benefit from the bank's very strong link and important role to its majority owner the State of Vorarlberg. We affirmed our long- and short-term ratings on Hypo Vorarlberg at 'A+/A-1'. The negative outlook now reflects a potential downgrade of the State of Vorarlberg as well as our view that economic risk for the Austrian banking system could increase over the medium term as a result of the economic slowdown related to the pandemic. This could hamper the bank's capitalization and asset quality. On March 23, 2021, S&P Global Ratings affirmed its 'A+/A-1' long- and short-term issuer credit
