On March 18, 2009, Standard&Poor's Ratings Services lowered its counterparty credit ratings on National Commercial Bank Jamaica Ltd. (NCB) to 'B-/C' from 'B/B'. The negative outlook remains. The rating action follows the downgrade of the foreign and local currency sovereign credit ratings on Jamaica to 'B-/C' from 'B/B'. NCB has large exposure to Jamaican government debt securities and loans to public entities. In addition, the deteriorating economic situation in Jamaica as well as a more challenging environment for the Jamaican banking system will continue to pressure the financial performance of the bank. The ratings on NCB reflect the bank's large exposure to Jamaica's government; larger-than-peers-average loan concentration; a relatively small operating environment with high indebtedness in a nondiversified
