The ratings on Rabobank Nederland and its subsidiaries reflect the group's extremely sound business and financial profiles, and low risk profile. In recent years, it has strengthened its already-strong market position in the Netherlands, while at the same time improving its operating performance, limiting its cost of risk, and maintaining its high level of capitalization. Rabobank Nederland acts as the central clearer for the Dutch cooperative banking system, which is bound by a cross-guarantee scheme under which members pledge to support each other's obligations. For this reason, Standard&Poor's views Rabobank Nederland and the other members of the Dutch cooperative banking system (Rabobanks) as representing a unified credit risk. Rabobank has a strong franchise in the domestic retail market,
