Fitch Affirms Emigrant Ratings
Fitch Ratings has affirmed the long-term and short-term issuer default ratings for Emigrant Bancorp and its subsidiaries at "BBB+" and "F2," respectively. The outlook remains stable.
The rating agency said the ratings reflect the low-risk balance sheet of the company as well as its solid liquidity and funding positions, which benefit from the success of EmigrantDirect, the company's online deposit gathering unit.
Fitch also said the ratings recognize improving capital levels and Emigrant's low level of credit losses despite an "elevated" nonperforming asset ratio.
Fitch said that Emigrant's profitability level remains a ratings constraint.
Fitch said it expects Emigrant's nonperforming assets to remain elevated "given the weakness in the U.S. residential housing market and its potential impact on Emigrant's residential loan portfolio." (c) 2007 Mortgage Servicing News and SourceMedia, Inc. All Rights Reserved. http://www.mortgageservicingnews.com http://www.sourcemedia.com