S&P Global Ratings on May 9 affirmed and subsequently withdrew all the ratings of Mexico-based Fincomún, Servicios Financieros Comunitarios SA de CV SFP at the request of the issuer.
The affected ratings include the company's global scale long and short-term issuer ratings at B+ and B, respectively, and the long and short-term national scale ratings at mxBBB- and mxA-3, respectively. The outlook on both ratings is negative.
At the time of withdrawal, Fincomún's ratings reflected asset quality indicators that are weaker than average and coverage levels that are considerably lower than its peers.
However, S&P believes Fincomún's assets and efficiency will gradually improve due to a corrective program implemented by the Mexican banking regulator, the CNBV.
The negative outlook, on the other hand, also reflected the probability of a downgrade due to the company's weakening risk position, which may have impacted its overall credit profile.
This S&P Global Market Intelligence news article may contain information about credit ratings issued by S&P Global Ratings, a separately managed division of S&P Global. Descriptions in this news article were not prepared by S&P Global Ratings. The original S&P Global Ratings documents referred to in this news brief can be found here.