Fitch Downgrades 18 Spanish Banks

   on June 12 2012 11:04 AM
Spain is the latest victim of the euro zone crisis. Fitch Ratings downgraded 18 Spanish banks on Tuesday.
German exports and investments fell in the first quarter as French exports declined, too, for the second quarter in a row. Reuters

Fitch Credit Ratings downgraded the credit default ratings of 18 Spanish banks Tuesday, following the downgrade of the country's sovereign debt last week.

The downgrade of Spanish sovereign debt was factored into the decision to downgrade the banks, particularly those with heavy exposure to construction and real estate and those with low equity, Fitch said.

The banks affected by the downgrade are all domestic banks whose revenue generation and risk profiles are highly sensitive to the evolution of Spain's economy and its housing market, the credit rating agency said.

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