On Jan. 11, 2004, Standard&Poor's Ratings Services revised the outlook on Commerzbank AG to stable from negative. At the same time, the long-term 'A-' and short-term 'A-2' counterparty credit ratings were affirmed. The outlook change reflects Commerzbank's progress in its restructuring, strict cost control, and further improved asset quality. Standard&Poor's views the downsizing of the investment banking operations as positive because they were oversized, not aligned to the needs of Commerzbank's customers, and highly vulnerable to market developments. The combination of these measures are expected to contribute to strong earnings growth--from low levels--in 2005. Reduced overhead charges following restructuring measures in the fourth quarter of 2003, continued efficiency improvements particularly in retail banking and asset management,
