OREANDA-NEWS. On August 03, 2007 Fitch Ratings has upgraded the ratings of Russia's Rosbank to Long-term Issuer Default (“IDR”) 'BB-' (BB minus) from 'B+', National Long-term 'A+(rus)' from 'A-(A minus)(rus)' and Individual ‘C/D’ from ‘D’, reported the press-centre of Rosbank.

The bank’s Support Rating Floor ‘B’ is affirmed.  The Support ‘4’ rating, together with the Long- and Short-term IDRs and National Long-term rating, remain on Rating Watch Positive.

The rating action reflects improvements in Rosbank’s efficiency and therefore performance, as well as continued strengthening of the bank’s retail franchise and improvements in credit risk management.

The Positive Watch on Rosbank’s ratings reflects the fact that Societe Generale ('AA' /Outlook Stable) has a call option until end-2008 to purchase a further stake in the bank from its current majority shareholder, Interros. Fitch views an exercise of the option as likely, which would enable Societe Generale to increase its stake to 50% plus 1 share from the current 20% minus 1 share. If Societe Generale becomes the majority owner of Rosbank, there will be a greater probability of support being forthcoming for Rosbank in case of need.