We classify HSBC USA Inc.'s bank subsidiary HSBC Bank USA N.A. as core to ultimate parent HSBC Holdings PLC and a beneficiary of extraordinary group support HSBC Bank USA N.A. is a material bank in the U.S. with a diversified set of businesses Profitability, though improving, has been relatively low compared with peers' Earnings power is mediocre, and the bank relies more on volatile capital-market revenues Regulatory risk remains elevated, stemming from a deferred prosecution agreement The rating outlook on the nonoperating holding company (NOHC) HSBC USA Inc. and its bank subsidiary, HSBC Bank USA N.A., is stable, reflecting Standard&Poor's Ratings Services' rating outlook on their ultimate parent, HSBC Holdings PLC (HSBC). We expect our ratings on HSBC
