Fitch Comments on Zions Bancorporation TRUPs CDO Impairment Announcement

  Fitch Comments on Zions Bancorporation TRUPs CDO Impairment Announcement

Business Wire

CHICAGO -- December 07, 2012

Zions Bancorporation (ZION) recently announced that it will likely take
additional impairment (OTTI) charges on its trust preferred (TRUPs)
collateralized debt obligations (CDOs) in the fourth quarter of 2012 (4Q'12)
given recent discussions with federal regulators regarding valuation
assumptions, according to Fitch Ratings. ZION estimates that this non-cash
charge would likely not exceed $100 million.

This additional OTTI is outside of Fitch's existing expectations. While Fitch
would note that the OTTI is non-cash and potentially pulls forward future OTTI
into the current period, to the extent that this charge causes a material net
income loss in 4Q'12 or constrains the incremental capital build of the
company, Fitch may consider revising its Rating Outlook to Stable from
Positive.

ZION is a $53 billion bank holding company operating a decentralized business
model through approximately 500 offices in 10 Western and Southwestern states:
Arizona, California, Colorado, Idaho, Nevada, New Mexico, Oregon, Texas, Utah
and Washington.

Additional information is available at www.fitchratings.com.

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Contact:

Fitch Ratings
Primary Analyst
Justin Fuller, CFA
Director
+1-312-368-2057
Fitch, Inc.
70 West Madison
Chicago, IL 60602
or
Secondary Analyst
Ed Thompson
Senior Director
+1-212-908-0364
or
Media Relations
Brian Bertsch
+1-212-908-0549
brian.bertsch@fitchratings.com
 
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