: S&P lowers ratings for U.S. Bancorp, subsidiaries
U.S. Bancorp USB had its long-term credit ratings downgraded to “A” from “A+” by S&P Global Ratings on Thursday, with the credit-rating firm saying the bank’s outperformance compared to its rivals had “narrowed.” “Although U.S. Bancorp (USB) continues to generate higher earnings than its large regional bank peers, we believe its overall performance advantage has narrowed as those peers have gained market share and delivered stable results,” S&P Global said, adding that the bank might need to build capital ratios to meet regulatory requirements by the end of next year should its assets grow. S&P said its outlook for the bank was “stable.” The credit-rating firm also lowered its ratings on U.S. Bancorp’s subsidiaries — including U.S. Bank, MUFG Union Bank and Elavon Financial Services — to “A+” from “AA-“. Shares of U.S. Bancorp were unchanged after hours.
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