Kroll Bond Rating Agency Assigns BBB+/K2 Senior Long-Term & Short-Term Debt Ratings to Capital Bank Financial Corp.

NEW YORK--()--Kroll Bond Rating Agency (KBRA) has assigned a senior unsecured long-term rating of BBB+, a subordinated debt rating of BBB, and a short-term debt rating of K2 to Capital Bank Financial Corp. (NASDAQ: CBF) (CBF or “the Company”), a bank holding company headquartered in Coral Gables, Florida. In addition, KBRA has assigned a senior unsecured debt/deposit rating of A-, and a short-term rating of K2 to the subsidiary bank, Capital Bank, NA (“the Bank”). The outlook on all ratings is stable.

The ratings are supported by CBF’s astute and experienced management team combined with solid financial fundamentals. Currently, CBF’s capital ratios are robust in comparison to similarly rated peers. While capital ratios are anticipated to gradually decline in future periods, they are expected to remain comfortably above “well capitalized” minimums. Profitability is moderately below the average of rated peers, but is expected to increase in tandem with continued loan growth and efficiency measures. Asset quality is comfortable and expected to improve owing to continued declines of legacy problem loans from acquired portfolios and a low incidence of problems from new originations. Legacy problem loans are currently marked at conservative discounts to original loan values.

The ratings are based on KBRA’s Global Bank and Bank Holding Company Rating Methodology, published on January 28, 2015.

To view the full report, please click here: www.krollbondratings.com/show_report/2799

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About Kroll Bond Rating Agency

KBRA is registered with the U.S. Securities and Exchange Commission as a Nationally Recognized Statistical Rating Organization (NRSRO). In addition, KBRA is recognized by the National Association of Insurance Commissioners (NAIC) as a Credit Rating Provider (CRP).

Contacts

Analytical Contacts:
Kroll Bond Rating Agency
Isabelle Nana, Associate
inana@kbra.com, (240) 394-4153
or
Joe Scott, Senior Director
jscott@kbra.com, (646) 731-2438
or
Christopher Whalen, Senior Managing Director
cwhalen@kbra.com, (646) 731-2366

Contacts

Analytical Contacts:
Kroll Bond Rating Agency
Isabelle Nana, Associate
inana@kbra.com, (240) 394-4153
or
Joe Scott, Senior Director
jscott@kbra.com, (646) 731-2438
or
Christopher Whalen, Senior Managing Director
cwhalen@kbra.com, (646) 731-2366