The ratings on Credit Suisse Group (CSG) reflect the combination of strong franchises in core group activities including private banking, investment banking, and Swiss domestic banking; strong profitability; good capitalization; and sound asset quality. The ratings also reflect CSG's above-average profit volatility, the underperformance of CSG's investment bank in recent years, and the fact that CSG has yet to exploit fully the synergies between business units--although major programs to change this are under way. Standard&Poor's Ratings Services considers that these management initiatives, together with greatly improved profitability, risk profile, and capitalization mean that CSG is structurally far more robust than in 2002, but remains weaker than some competitors. CSG is one of the world's largest financial groups, with
