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02-17-2011, 09:21 AM
LONDON (MarketWatch) -- Moody's Investors Service said Thursday that it may downgrade the senior debt ratings of several Commerzbank AG group entities. The credit rating agency said it's put the ratings of Commerzbank AG, Commerzbank Europe (Ireland), Eurohypo AG and Deutsche Schiffsbank on review for a possible downgrade. In the case of Commerzbank AG, the group said it may cut its stand-alone rating to Baa2 from Baa1. The review is expected to be completed in the short term and the "transition risk" is likely to be limited to no more than two notches, the rating agency added. Moody's said the decision was due to factors including the substantial losses contributed by Eurohypo as well as Commerzbank's weak quality of earnings and modest profitability outlook.

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