Disciplined underwriting parameters, resulting in consistently low charge-off ratios Conservative business and credit strategies Good track record of earnings stability Business model is focused in primarily two states Significant commercial real estate exposure High dividend payout ratio that restrains capital accumulation Current interest rate environment has put negative pressure on earnings The stable outlook on Valley National Bancorp reflects Standard&Poor's Ratings Services' expectation that Valley will maintain its conservative business strategies and that the company's charge-off levels will remain stable. We believe that Valley's nonperforming loans and net credit losses will not increase substantially as a result of the ongoing economic uncertainty. If Valley's asset quality deteriorates significantly, or if earnings or capital decline, we could lower the
