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10/05/2013
Co-op Bank Downgraded By Moody's
The debt rating for the Co-operative Bank has been downgraded by ratings agency Moody's.
The downgrade comes after the Co-op said last month that it was no longer pursing a deal to purchase 632 branches of Lloyds Banking Group.
At the time, the bank said it withdrew from negotiations due to negative economic forecasts.
Just hours after the downgrade, Co-op Chief Executive Barry Tootell resigned with immediate effect.
His decision was due to the bank's failure to conclude the talks with Lloyds.
He is to be replaced by interim CEO Rod Bulmer.
However, there are further worries for the organisation after Moody's said it may need "external support".
It released a statement in response, to reassure its investors, saying: "We are disappointed by the ratings downgrade announced by Moody’s.
"We have a strong funding profile and high levels of liquidity, which are significantly above the regulatory requirements.
"We do acknowledge, like the rest of our banking sector peers, the need to strengthen our capital position in light of the broader economic downturn and the pending introduction of enhanced regulatory requirements, and we have a clear plan to drive this forward throughout the coming months."
Moody’s said the bank may need additional funds to support gaps in its balance sheet.
(JP/CD)
The downgrade comes after the Co-op said last month that it was no longer pursing a deal to purchase 632 branches of Lloyds Banking Group.
At the time, the bank said it withdrew from negotiations due to negative economic forecasts.
Just hours after the downgrade, Co-op Chief Executive Barry Tootell resigned with immediate effect.
His decision was due to the bank's failure to conclude the talks with Lloyds.
He is to be replaced by interim CEO Rod Bulmer.
However, there are further worries for the organisation after Moody's said it may need "external support".
It released a statement in response, to reassure its investors, saying: "We are disappointed by the ratings downgrade announced by Moody’s.
"We have a strong funding profile and high levels of liquidity, which are significantly above the regulatory requirements.
"We do acknowledge, like the rest of our banking sector peers, the need to strengthen our capital position in light of the broader economic downturn and the pending introduction of enhanced regulatory requirements, and we have a clear plan to drive this forward throughout the coming months."
Moody’s said the bank may need additional funds to support gaps in its balance sheet.
(JP/CD)
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24 April 2013
Co-op Bank Purchase Falls Through
A Llyods Banking Group sale of 632 bank branches to the Co-op group has fallen through. It had been hoped that by buying the branches the Co-op would create a bigger competitor to the main high street banks. However, the continued economic downturn and tougher regulatory environment imposed on banks has been blamed for the collapse of the sale.
Co-op Bank Purchase Falls Through
A Llyods Banking Group sale of 632 bank branches to the Co-op group has fallen through. It had been hoped that by buying the branches the Co-op would create a bigger competitor to the main high street banks. However, the continued economic downturn and tougher regulatory environment imposed on banks has been blamed for the collapse of the sale.
14 February 2012
UK Credit Rating Outlook 'Downgraded'
The UK's top credit rating is under threat after an international ratings agency said its outlook was "negative". The decision was announced as Moody's downgraded the credit rating of a number of eurozone countries, including Italy, Portugal and Spain.
UK Credit Rating Outlook 'Downgraded'
The UK's top credit rating is under threat after an international ratings agency said its outlook was "negative". The decision was announced as Moody's downgraded the credit rating of a number of eurozone countries, including Italy, Portugal and Spain.
19 July 2012
Co-op Buys Lloyds Bank Branches
Terms have been agreed for the Co-op to buy 632 branches of Lloyds TSB and Cheltenham and Gloucester. The Co-operative Group will pay Lloyds Banking Group £350m upfront and up to an additional £400m based on the performance of the combined business. European regulators demanded the sale after Lloyds bought HBOS during the financial crisis.
Co-op Buys Lloyds Bank Branches
Terms have been agreed for the Co-op to buy 632 branches of Lloyds TSB and Cheltenham and Gloucester. The Co-operative Group will pay Lloyds Banking Group £350m upfront and up to an additional £400m based on the performance of the combined business. European regulators demanded the sale after Lloyds bought HBOS during the financial crisis.
29 June 2005
Woodward reshuffles side for second test
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British and Irish Lions head coach Sir Clive Woodward has named seven new players in his starting fifteen for this weekend’s second test against New Zealand in Wellington.
05 May 2011
Bank Of England Maintains Bank Rate At 0.5%
The Bank of England’s Monetary Policy Committee today voted to maintain the official Bank Rate paid on commercial bank reserves at 0.5%. The Committee also voted to maintain the stock of asset purchases financed by the issuance of central bank reserves at £200 billion. The previous change in Bank Rate was a reduction of 0.5 percentage points to 0.
Bank Of England Maintains Bank Rate At 0.5%
The Bank of England’s Monetary Policy Committee today voted to maintain the official Bank Rate paid on commercial bank reserves at 0.5%. The Committee also voted to maintain the stock of asset purchases financed by the issuance of central bank reserves at £200 billion. The previous change in Bank Rate was a reduction of 0.5 percentage points to 0.
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