Summary: National Bank of Greece S.A.

Prominent market shares in mortgages. Better-than-peers geographic diversification. Very high structural dependence on Eurosystem funding. High exposure to Greece's weak domestic economy. Large and rising stock of nonperforming assets. Poor profitability. Standard&Poor's Ratings Services' Selective Default 'SD' rating on National Bank of Greece S.A. (NBG) reflects our view that capital controls imposed on Greek banks on June 28, 2015, constitute a selective default under our criteria. In particular, the €420 weekly limit on deposit withdrawals reduces individuals' ability to access their deposits on a timely and in-full basis. Also, constraints to customers' ability to transfer funds abroad represent a selective default under our methodology. We also believe that NBG's liquidity position has severely deteriorated in recent months. NBG

...Standard & Poor's Ratings Services' Selective Default '##' rating on National Bank of Greece S.A. (NBG) reflects our view that capital controls imposed on Greek banks on June 28, 2015, constitute a selective default under our criteria. In particular, the 420 weekly limit on deposit withdrawals reduces individuals' ability to access their deposits on a timely and in-full basis. Also, constraints to customers' ability to transfer funds abroad represent a selective default under our methodology. We also believe that NBG's liquidity position has severely deteriorated in recent months. NBG has significantly increased its dependence on Eurosystem funding and we think it will remain extremely reliant on central bank funding to meet its liquidity needs. According to our estimate, reliance on Eurosystem funding increased to about 30% of its funding base at end-September 2015 from around 11% as of end-September 2014. This increase mainly resulted from the loss of market access and significant decrease...

Summary