S&P revises Wells Fargo outlook to negative from stable

Standard & Poor's late Tuesday revised its outlook on Wells Fargo & Co. to negative, from stable, saying risks for "the magnitude of the reputational damage" have increased in the wake of the unauthorized accounts scandal and the potential for ongoing legal and regulatory investigations. Moreover, Wells Fargo's leadership is in transition, S&P's said. The credit-ratings agency kept its debt rating on Wells Fargo at A/A-1, based on the bank's "extensive nationwide franchise, good asset quality, diversified earnings, and solid capital position." Shares of Wells Fargo fell 0.3% in late trading after ending the regular session up 1%. Wells Fargo's former CEO John Stumpf announced his surprise retirement last week.

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