OREANDA-NEWS. On June 25, 2007 Standard&Poor's Ratings Services said that it raised its long-term counterparty credit rating on Russia-based TransCreditBank to "BB" from "BB-". At the same time, the "B" short-term counterparty credit rating was affirmed. The outlook is stable. Additionally, Standard&Poor's raised its Russia national scale rating on the bank to "ruAA" from "ruAA-", reported the press-centre of  TransCreditBank.
 
"The rating action reflects the bank's expanding customer franchise, improving financial performance, and a significant capital increase expected during this year", said Standard&Poor's credit analyst Elena Romanova.
 
The ratings continue to reflect the bank's substantial risk concentrations, particularly in the railway sector, and the continued high operating and credit risks inherent in the domestic banking environment.
 
The ratings also incorporate continued support, strategic and operational links with Russian Railways (JSC) (RZD; BBB+/Stable/--; Russia national scale rating "ruAAA"). "The stable outlook reflects our expectation that the bank will continue to grow rapidly, building and diversifying franchise", added Ms. Romanova.
 
The expected capital increase to be received from RZD has already been factored in the current ratings.