The ratings on Coöperatieve Centrale Raiffeisen-Boerenleenbank B.A. (Rabobank Nederland) reflect our view of its strong financial position, closely controlled risk profile, and leading franchise in The Netherlands. To date, Rabobank Nederland has demonstrated relative resilience to the unfavorable economic and market environment in our view, largely due to its robust domestic retail business. Nevertheless, Standard&Poor's Ratings Services sees that following a strong overall performance in 2008, net earnings were 18% lower in the first half of 2009 due to increased impairment losses in Ireland and in certain Dutch corporate sectors. A further factor was domestic margin pressure caused by strong competition for deposits, which now appears to be abating. These factors were partly offset, we consider, by an
