S affirms Kazakh Temirbank at ‚B

canada goose outlet online uk Sept 26 Kazakhstan based Temirbank earnings generation capacity has recovered with demonstrated positive preprovision Canada Goose online income, so we no longer deduct one notch from the issuer credit rating for this factor. canada goose outlet online uk

canada goose outlet canada We have revised our capital assessment to adequate from strong, due to equity adjusted for tax loss carryforwards and RAC forecast being at around 9%, and consequently Temirbank SACP is now canada goose outlet canada

canada goose outlet Canada Goose Online We consider Temirbank to be a GRE with a moderate likelihood of canada goose uk shop extraordinary government support and we add one notch to the SACP for this factor, according to our methodology. 26, 2012, Standard Poor Ratings Services affirmed its long and short term counterparty credit ratings on Kazakhstan based. The outlook is stable. At the same time, the Kazakhstan national scale rating was affirmed atThe Canada Goose sale affirmation of the ratings on Temirbank canada goose uk black friday acknowledges the gradual recovery of Temirbank financial profile, in line with our expectations. canada goose outlet

canada goose outlet jackets Temirbank demonstrated improved core profitability with positive preprovision income as of year end 2011 and in the first half of 2012. Therefore, we are removing our one notch negative adjustment for poor earnings capacity. The increase in core earnings was mainly thanks to a restored net interest margin, Canada Goose Outlet which had increased to 2.9% as of midyear 2012 from 1.3% uk canada goose outlet at year end 2010, owing to new loans granted. We expect this positive trend to continue throughout the rest of 2012 2013, with a more active resumption of new lending. cheap Canada Goose However, accrued interest income still exceeds the income actually paid because of the remaining high portion of problematic assets. Nonperforming loans (NPLs; overdue more than 90 days) amounted to 43.9% on June 30, 2012. Net profit benefits from net recovery in provisions, reflecting continuous write backs on legacy assets, which balances new provisioning needs. Net profit also benefits from gains from Temirbank repurchase of its own debt securities. canada goose outlet jackets

canada goose outlet toronto canada goose coats factory The bank equity was adjusted for sizable tax loss carryforwards, which comprise a significant part of common shareholder equity (around 20%). As a result, RAC before diversification at year end 2011 amounted to 9.8%. We forecast it will be at about 9% buy canada goose jacket within the next 12 24 canada goose outlet months. This projection takes into account planned 10% 15% loan growth, positive retained earnings, and no dividend payouts. We have consequently revised our capital assessment downward to (range of 7% 10%) from (above 10%). canada Canada Goose Parka goose outlet toronto factory

official canada goose outlet The ratings on Temirbank reflect the bank business position, capital and earnings, risk position, funding, and liquidity, as our criteria define these terms. The stand alone credit profile (SACP) is now official canada goose outlet

canada goose outlet parka We classify Temirbank as a government related entity (GRE). In our opinion, there is a likelihood that Kazakhstan government would provide timely and extraordinary support to Temirbank in the event of financial distress. In accordance with our criteria https://www.getcanadagooseoutlet.com for GREs, we based this opinion on: canada goose outlet parka

canada canadian goose jacket goose outlet new york city The bank link with the government through its 79.9% shareholder, Samruk Kazyna (BBB+/Stable/A 2; Kazakhstan national scale The bank is currently one of the government largest investments in the canada goose uk outlet financial canada goose black friday sale sector. canada goose outlet new york city

canada goose outlet uk sale Temirbank importance to Kazakhstan economy because the bank has a small market share and does not buy canada goose jacket cheap provide a public service or function canada goose store that other domestic banks could not readily undertake. canada goose outlet uk sale

goose outlet canada Based on these factors, and according to canada goose clearance sale our criteria, the long term rating on Temirbank benefits from one notch of uplift above its SACP. Given the amount of problem loans the bank has, we expect NPLs to decline only gradually over the next 12 months. goose outlet canada

canada goose outlet reviews If we Canada Goose Coats On Sale perceived that the government stance toward the bank is no longer consistent with a high likelihood of support, we would remove the one notch of uplift that we currently factor into the ratings. We could also consider lowering the ratings if we observed further deterioration in asset quality in the next 12 months. This could happen if the quality of newly originated loans were weak, reflecting relaxed underwriting practices. At the same time, a potential merger with weaker canada goose coats on sale Alliance Bank JSC canada goose (B /Stable/C; Kazakhstan national scale could worsen the risk profile of the newly formed entity. However, we see this merger as a long term process and don currently factor its impact on our ratings and outlook on Temirbank. canada goose outlet reviews

canada goose outlet store We could raise the ratings if Temirbank demonstrated a significant and sustainable improvement in asset quality, with a material reduction in problematic assets, which would improve its risk position. An improvement in capitalization, with RAC above 10% caused by earnings growing faster than risk weighted assets, could be positive for the ratings, as well canada goose outlet store.