trending Market Intelligence /marketintelligence/en/news-insights/trending/q1IUMcdh0KAuldW9LTzL1g2 content
Log in to other products

Login to Market Intelligence Platform


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

If your company has a current subscription with S&P Global Market Intelligence, you can register as a new user for access to the platform(s) covered by your license at Market Intelligence platform or S&P Capital IQ.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *
  • We generated a verification code for you

  • Enter verification Code here*

* Required

In This List

Kroll affirms ratings of Franklin Financial Network, unit

Street Talk Episode 56 - Latest bank MOE shows even the strong need scale to thrive

South State CenterState MOE Shows Even The Strong Need Scale To Thrive

Talking Bank Stocks, Playing The M&A Trade With Longtime Investor

Report: Kashkari Says Fed In Holding Pattern But Rate Cut Still Possible

Kroll affirms ratings of Franklin Financial Network, unit

Kroll Bond Rating Agency affirmed the ratings of Franklin, Tenn.-based Franklin Financial Network Inc. and unit Franklin Synergy Bank.

Kroll affirmed Franklin Financial Network's senior unsecured debt rating of BBB, subordinated debt rating of BBB- and short-term debt rating of K3. The rating agency also affirmed Franklin Synergy Bank's deposit and senior unsecured debt ratings of BBB+, subordinated debt rating of BBB, and short-term deposit and debt ratings of K2. The outlook for all long-term ratings is negative.

The negative outlook for the long-term ratings reflects the company's above peer reliance on noncore funding and the material credit costs it incurred through the first half of 2019, Kroll said.

Kroll, however, noted that the company's ratings are supported by a solid capital position and solid deposit market share. The rating agency also expects capital metrics to remain relatively stable, including a tangible common equity ratio above 9%, despite anticipated capital redeployment.

Factors that constrain the ratings are sizable exposure to shared national credit, a construction and development lending concentration that exceeds regulatory guidance, and below-peer core earnings, Kroll said.