Strong market position and franchise as one of the two largest banking groups in Israel. Sound liquidity profile, supported by deep domestic funding base and international subsidiaries' deposit-gathering capabilities. Diverse revenue base. Moderately high likelihood of extraordinary government support, if required. Comparatively high credit risk profile, due to concentration in Israel and loan portfolio concentrations. Diminished earnings due to low interest rates and risk to asset quality if rates rise. Increased risk of a major correction that could harm credit quality due to rising house prices in Israel. Moderate capitalization. Standard&Poor's Ratings Services' outlook on Israel-based Bank Leumi le-Israel B.M. (Leumi) is stable, reflecting our view that the bank's business and financial profile will remain relatively unchanged over
