Strong capitalization. Expected continued close ties with major shareholder, Swedbank AB. Robust earnings capacity. Strong regional brand. Concentration risk due to regional operations and narrow market focus. Small size relative to main competitors. The stable outlook on Swedish savings bank Swedbank Sjuharad reflects our expectation that the bank will maintain close cooperation with Swedbank, which should support robust earnings capacity and its ability to continue building up capital. In our base case, we forecast limited impairment losses of between 15 basis points and 20 basis points in 2014 and 2015, which will also support earnings and capital levels. We could take a negative rating action if we saw that Swedbank Sjuharad's ties to Swedbank were weakening, or if Swedbank Sjuharad
