Strong position in U.K. retail banking and leading positions in U.K. commercial and corporate banking, and insurance. Strong management focus to rapidly improve the bank's funding and liquidity profile, and accelerate the reduction in its typically riskier, non-core assets. Government support, which includes a 39.2% common equity stake. Credit performance remains worse than most peers. Below-average risk-adjusted capital, by our measures. Underlying income growth prospects appear weak, and a number of nonrecurring items continue to weigh on capital generation. Standard&Poor's Rating Services' outlook on U.K.-based Lloyds TSB Bank PLC is stable. We assume that Lloyds will make further strides to improve its funding and liquidity profile, over and above the beneficial impact of the ongoing reduction in its
