S&P raises outlook on Toronto-Dominion Bank
Written on July 1, 2010
Standard & Poor’s Ratings Services revised its outlook for Toronto-Dominion Bank to positive from stable.
One reason cited for the revision was the expectation that TD Bank would successful integrate its most recently announced U.S. acquisitions, including The South Financial Group.
South Financial (NASDAQ: TSFG), headquartered in Greenville, S. C., does business in Florida as Mercantile Bank and has 17 offices and $755.7 million in assets in the Tampa Bay area.
S&P said in a release that Toronto-based TD Bank has outperformed some of its domestic peers and it expects the bank to continue its strong domestic performance.
“In addition, TD Bank appears to have successfully exported its domestic business model into the [United States] where it was able to establish a formidable retail presence,” the release said payday loan online. It now ranks as the sixth-largest bank in North America by branches and holds the No. 4 position in North America by deposits.
However, growth in the United States exposes TD Bank to economic and asset quality difficulties, S&P said.
S&P also affirmed its bank and related entities, including its “AA-” long-term and “A-1+” short-term counterparty credit ratings.
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