Russian rating agency RusRating is going to withdraw its national scale rating of BB (average level of creditworthiness among Russian issuers) on United Credit Bank (Yaroslavl) and the stable rating outlook due to the expiration of contractual relations with the lending institution. The relevant press release was posted on the rating agency's website on Tuesday.
RusRating noted that this rating was assigned to the bank last July.
At that time, rating supporting factors were business resources of its owners that allowed the bank to expand business aggressively, and also the low odds that the bank's credit risks would materialize.
At the same time, the bank's creditworthiness was dampened by such factors as insufficient transparency of its business model and financial possibilities of its owners, low capital adequacy, poor diversification of active operations and sources of the resource base, low collateral against granted loans and bank guarantees.
