OREANDA-NEWS. Fitch Ratings has withdrawn Russia-based KIT Finance Investment Bank's (KF) ratings following its merger with Absolut Bank (AB; B/Stable; b) on 18 April 2014. As a result, KF ceased to exist as a legal entity.

Fitch will assess in detail the implications of the merger for AB's credit profile in the coming months. AB's ratings take into account of contagion risks from KF (see, 'Fitch Downgrades Absolut Bank to 'B' from 'BB+'; Off RWN; Outlook Stable', dated 31 May 2013, on www.fitchratings.com), in large part due to the latter's weaker profile and significant legacy problem and other non-core assets. However, most of these assets were acquired, before the merger, by entities associated with Russian non-state pension fund Blagosostoyanie (which controls AB) to reduce contagion risks.

KF's ratings were as follows (all withdrawn)
Long-term Issuer Default Rating (IDR): 'B', Outlook Stable
Short-term IDR: 'B'
National Long-term Rating: 'BBB-(rus)'; Outlook Stable
Viability Rating: 'b-'
Support Rating: '4'