(Sukuk.net Press) Standard & Poor's Ratings Services said today that it affirmed its 'BB-/B' counterparty credit ratings on Bahrain-based Arcapita Bank. The outlook remained negative. Standard & Poor's then withdrew its ratings on Arcapita at the bank's request.

The ratings affirmation reflects our conclusions that the assumptions factored into the ratings are still holding up. The ratings on Arcapita reflect our opinion of the bank's high leverage in the context of a very difficult economic and investment climate, as well as its pressured liquidity position. In our view, positive rating factors are the corrective measures that Arcapita is implementing and the support that the bank is receiving from shareholders. The ratings reflect our opinion of Arcapita's stand-alone credit profile and do not include any uplift for extraordinary external support.

The ratings withdrawal is subsequent to the issuer's request and means that Standard & Poor's will no longer carry out surveillance on the bank. At the time of the ratings withdrawal, the bank had no rated debt outstanding.

About Standard & Poor’s in the Gulf Cooperation Council
Standard & Poor's is the leading provider of financial market intelligence to customers in the Gulf’s credit risk management, wealth management, and data and information markets. Since entering the region in the early 1990’s, Standard & Poor's has become the largest provider of credit ratings in the G.C.C, rating 114 issuers. In equity markets, Shariah-compliant versions of Standard & Poor’s global and regional equity market indices - S&P 500, S&P Europe 350, S&P Japan 500 and S&P/IFCI GCC - have created new opportunities for Islamic investors to benchmark their international investments and for asset managers to create new investment products serving the Islamic community. Standard & Poor’s Fund Services launched a qualitative fund management rating service for regional asset managers in 2007.
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