Very strong capitalization Good market position and brand in its Australian home state of Queensland Weaker business franchise strength outside Queensland Funding profile vulnerable to competitive pressures in a stressed operating environment The stable outlook reflects our expectation that Bank of Queensland Ltd.'s (BoQ) board and senior management have the capacity and willingness to return the bank's risk-adjusted capital (RAC) ratio to a level in excess of 15% over the next 12 to 18 months. An alternative and less likely scenario for an unchanged rating is a stronger business position offsetting a fall in BoQ's forecast RAC ratio to between 10% and 15% (in the absence of any significant issues emerging on other aspects of our assessment, including risk appetite,
