In view of the typical convergence of business risks that occur among subsidiaries of a common holding company, the ratings on Woori Bank take into consideration the collective credit profiles of Woori Finance Holdings Co. Ltd.'s (WFH) major operating subsidiaries. Supporting factors for the ratings on Woori are its good market position, which helps it maintain a satisfactory net interest margin and stable funding base, and its improving risk management skills. Over the medium term, Woori should be able to leverage its strong branch network, the second largest among Korea's domestic commercial banks, to generate stable revenues, and consequently maintain its financial profile. The bank's risk management skills are still moderate but are likely to improve over the medium term,
