Laurentian Bank Slides on Analyst Downgrade Over Credit Risks
- National Bank cuts rating on Laurentian to underperform
- Credit agencies are concerned about risks at Laurentian Bank
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Laurentian Bank of Canada’s mounting troubles have put its credit rating at risk, according to the latest analyst to downgrade the Montreal-based lender.
A series of snowballing setbacks prompted National Bank of Canada analyst Gabriel Dechaine to cut his rating to underperform from sector perform. It’s his second downgrade in just over a month; he last lowered his rating on the bank in September following Laurentian’s strategic review that ended without finding a buyer. Since then, new challenges have emerged, including a service outage and the departure of key leaders.