Sweden-based Skandinaviska Enskilda Banken (SEB)demonstrated resilient earnings during 2009, despite high impairment charges, and extended the duration of its long-term funding without recourse to any guaranteed funding from the government. As the Baltic economies of Estonia, Lithuania, and Latvia emerge from a sharp economic correction, we expect the bank to have significantly lower loan loss provision needs in 2010. We are affirming our 'A/A-1' long- and short-term counterparty credit ratings on SEB and revising the outlook to stable from negative. The stable outlook reflects our view that the most difficult phase in the credit cycle in the Baltic countries is now over. On Feb. 23, 2010, Standard&Poor's Ratings Services revised its outlook on Sweden-based Skandinaviska Enskilda Banken AB
