Fraust, Bart, American Banker
The following actions were taken by the credit rating agencies last week:
BankSouth Corp.: Thomson BankWatch upgraded the short-term rating to TBW-2 from TBW-3, citing increased earnings capacity and improved asset quality over the past year.
Chase Manhattan Corp.: Fitch Investors Service Inc. assigned an AAA rating to Chase Manhattan Grantor Trust 1993-A, comprising $750 million of securities backed by auto loans. Fitch cited the quality of the receivables, the 7% cash collateral account, the sound legal structure, and the strong service capabilities of Chase.
Community First Bankshares: Thomson BankWatch assigned a BBB-minus rating to the Fargo, N.D., company's $20 million in subordinated debt due April 15, 2000.
The agency said that since completing the management buyout of 21 banks in Minnesota and North and South Dakota from First Bank System Inc. in 1987, Community has shown consecutive years of solid performance.
Daishi Bank: Moody's assigned a first-time rating of Baa 1 for long-term deposits and Prime-2 for short-term deposits to this $29 billion-asset bank based in Niigata, Japan.
The bank plays an important role in its region but faces strong competition from smaller banks.
First American Corp.: Thomson BankWatch assigned a BBB-plus rating to the Nashville company's subordinated debt. Stabilizing earnings and progress in tackling operating expenses and loan problems were cited. …