Credit rating agency Standard & Poor's has lowered its ratings on Anglo Irish Bank. But S&P has removed the bank from creditwatch, which means it is no longer considering further downgrades.
The agency said the ratings reflected its expectations of continuing support from the Government, which may allow Anglo to stabilise 'its currently weak financial position'. Anglo's rating is now BBB+/A-2, from the previous A-/A-1.
'Anglo has announced that over time it intends to develop a broader business banking franchise,' S&P said. 'We consider that this is a highly demanding plan,' it added.
The agency said Government support would remain the key factor in its ratings on Anglo. A lower credit rating usually makes borrowing more expensive.
