The bank may need to rebuild its capitalization, given our expectation for higher credit losses. We are placing our rating on M&T on CreditWatch with negative implications. We will resolve the CreditWatch listing after we review the impact on earnings and capitalization using our recently introduced credit stress testing methodology and criteria. We might affirm the ratings with a negative outlook or lower them by one notch at most. On May 4, 2009, Standard&Poor's Ratings Services placed its 'A-/A-2' counterparty credit rating on M&T Bank Corp. and its 'A/A-1' counterparty credit ratings on related entities on CreditWatch with negative implications. The CreditWatch placement is part of an ongoing industry review and follows our recent criteria on stress testing
