Strong franchise in Italy, the German State of Bavaria, Austria, Poland, and Central and Eastern Europe. Business and revenue diversification. Adequate credit loss-absorption capacity through operating income. Weaker asset quality than peers', particularly in Italy due to high credit risk of Italian small and midsize enterprises. High economic risk in Central and Eastern Europe and the Commonwealth of Independent States, where the group has some holdings. Exposure to earnings volatility in market and investment banking activities. The ratings on Italy's UniCredit SpA, one of the largest pan-European banks, are supported by the group's strong franchises in Italy, the German State of Bavaria, Austria, Poland, and Central and Eastern Europe (CEE). In Standard&Poor's Ratings Services' view, the bank's business
