Kroll Bond Rating Agency assigned a BBB+ senior unsecured debt rating, BBB subordinated debt rating and K2 short-term debt rating to Beverly Hills, Calif.-based PacWest Bancorp.
The rating agency also assigned A- deposit and senior unsecured debt ratings, a BBB+ subordinated debt rating and K2 short-term deposit and debt ratings to PacWest Bancorp subsidiary Pacific Western Bank.
The outlook for all the long-term ratings is stable.
Kroll said the ratings are supported by PacWest Bancorp's strong postcrisis profits, driven by the company's stable credit quality, good risk-adjusted margin and favorable efficiency metrics. The company also has a comparatively strong core deposit funding base and diversified loan book, solid core capital levels and management team expertise.
The ratings are constrained by the company's elevated credit risk profile and its reliance on spread revenue.