The ratings of Buffalo-based HSBC USA Inc. and its bank subsidiary, HSBC Bank USA, with $84.1 billion in assets, reflect the implied and demonstrated support of its parent, HSBC Holdings plc. (HSBC Group), its improved business profile and strong franchise in New York State, and relatively good asset qualityThe ratings of Buffalo-based HSBC USA Inc. and its bank subsidiary, HSBC Bank USA, with $84.1 billion in assets, reflect the implied and demonstrated support of its parent, HSBC Holdings plc. (HSBC Group), its improved business profile and strong franchise in New York State, and relatively good asset quality—although the weak economic environment has led to an increase in loan loss provisioning. The ratings are also based on satisfactory risk-adjusted profitability and low capital levels. HSBC USA has grown largely through acquisitions and has expanded into the 10th-largest commercial bank holding company in the U.S. at June 30, 2002. The acquisition of Manhattan-based Republic Bank of New York (RNB) at year-end 1999, accounted for as a purchase acquisition, catapulted the
