The ratings on Belgium-based AXA Bank Europe S.A. (ABE) primarily reflect its status as a core member of the AXA insurance group (core operating subsidiaries insurer financial strength rating AA-/Stable). Additional rating factors are the bank's strong capitalization, strong asset quality, European banking role within AXA, and adequate market position in Belgium. Offsetting these factors are ABE's structurally weak profitability, limited business diversification, exposure to market risk, and the untested nature of its European banking strategy. Standard&Poor's downgraded AXA group to 'AA-' on March 30, 2010 (see AXA Group Lowered To 'AA-'; Capitalization And Operating Performance Recovering But Not Enough To Support An 'AA' Rating, published March 30, 2010.) The ratings on ABE are on a par with
