The ratings on Switzerland-based Banque Cantonale Vaudoise (BCV) reflect the bank's stand-alone creditworthiness and factor in Standard&Poor's Ratings Services' opinion that the bank's improved financials will prove to be sustainable, thanks to a well-implemented strategy. Offsetting factors include the bank's limited growth potential in its home region, the Canton of Vaud (A+/Stable/--), and concentration on the real estate sector and local small and midsize enterprises (SMEs). BCV is the second-largest cantonal bank in the Swiss Confederation (Switzerland, AAA/Stable/A-1+). As is typical for cantonal banks, BCV has a public mission role in the economic development of the Canton of Vaud. Consequently, its activities are largely concentrated across a strong franchise in the canton. BCV focuses on three main core
