Moody's upgraded Busan Bank's LT Deposit Ratings to A3

Moody’s upgraded Busan Bank’s credit ratings by 2 notches, to A3

 Busan Bank(CEO Lee, Jang ho) announced on May 4, 2007 that Moody’s Investors Service upgraded its Foreign Currency Long Term Deposit Ratings to A3 from Baa2 and BFSR to C- from D.  Also the Foreign Currency Debt Rating for subordinated obligations is changed from A3 from Baa3, for which Busan Bank is the only issuer among the regional banks. 

 The rationale for such changes comes from Busan Bank’s sustainable competitiveness in its target market, proved by its steadily increasing market share in recent years.  In addition, the bank’s improved profitability, quality assets and strong capital base altogether provided background for the upgrade. 

Busan Bank mentioned that the A3 grade on the Foreign Currency Ratings is same as the sovereign grade of Korea, that Moody’s has taken into account the fact that the bank’ s favorable earnings trend is likely to continue throughout the year that the year 2007 earnings target is achievable, and strengthen its position as the leading bank in the region.