Moody's on Feb. 2 affirmed Evansville, Ind.-based Old National Bancorp's long-term issuer rating and senior unsecured rating of A3.
It also affirmed subsidiary Old National Bank's long-term issuer rating of A3, long-term deposit rating of Aa3 and short-term deposit rating of P-1.
Moody's said the affirmations reflect the company's "prudent underwriting" and "sustainable market position in Indiana." The outlook, which was revised downward from "stable" after the acquisition of Anchor Bancorp Inc. and Old National's consequent capital decline, is still "negative." Moody's expects "higher profitability," however, and a boost from rate hikes and the new corporate tax rate.
