Improving capitalization due to tangible progress in derisking the bank's noncore activities. Adequate funding and liquidity. Sound domestic market position in corporate and small and midsize enterprise (SME) banking, supported by a robust German economy. Low market share and earnings contribution from domestic retail activities. Limited options to improve earnings buffer over the next few years, given competition and low-yield environment. Loan portfolio skewed toward corporate and public sector lending, making the bank more exposed to event risk than retail banking peers. Standard&Poor's Ratings Services' outlook on Commerzbank AG is negative. We might lower our ratings if economic risks in Germany were to accelerate within the next 24 months. In such a scenario, we might revise down the
