In the above snapshot, the SACP reflects the unsupported group credit profile of the Lloyds group. The bank holding company rating shown applies to Lloyds Banking Group PLC. The issuer credit rating applies to its two core operating subsidiaries: Lloyds Bank PLC and Bank of Scotland PLC. Leading franchise in U.K. retail banking and strong positions in U.K. commercial and corporate banking, and insurance. Solid capitalization. Supportive funding and liquidity profiles. Market volatility and expected weaker economic conditions following U.K. vote to exit the EU. Still rebuilding statutory profitability, although the drag on earnings from nonrecurring items is declining. The negative outlook reflects the negative trend we see for economic risk in the U.K. and our view that Lloyds' creditworthiness
