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|Capital One Financial Corp. Senior Debt Upgraded To Investment Grade by Moody s|
FALLS CHURCH, Va., June 24 /PRNewswire/ -- Moody's Investors Service this
week raised the credit rating of Capital One Financial Corporation (NYSE: COF)
to Baa3 on its senior debt. The company's subsidiaries, Capital One Bank and
Capital One, F.S.B., received upgrades on Deposits to Baa1 and Senior Debt to
This upgrade brings Capital One Financial Corporation's senior debt rating
into investment grade, reflecting the consolidated company's successful track
record since its initial public offering in 1994. Moody's cited Capital One's
strong financial fundamentals, increased funding and product diversity, and
continued success in applying its Information-Based Strategy as the primary
reasons for the upgrade. Capital One Financial Corporation and Capital One
Bank have approximately $4.5 billion in outstanding senior debt.
"Our company is built on a foundation of very conservative risk
management, as evidenced by the industry's lowest charge-off rate. We are
glad to be recognized by the leading rating agency," said Richard D. Fairbank,
Chairman and Chief Executive Officer.
"Capital One has established a strong track record since the company went
public almost five years ago," said David Willey, Senior Vice President of
Corporate Financial Management. "Moody's ratings action validates the
benefits of our innovative Information-Based Strategy in developing and
managing all aspects of our business. This upgrade should reduce our marginal
funding costs significantly and improve Capital One's funding flexibility.
Our fixed income investors and shareholders have always been extremely
supportive of Capital One's management and strategic direction and now they
are being rewarded for their support."
Headquartered in Falls Church, Virginia, Capital One Financial Corporation
(www.CapitalOne.com) is a holding company whose principal subsidiaries,
Capital One Bank and Capital One, F.S.B., offer consumer lending and deposit
products. Capital One's subsidiaries collectively had 18.0 million customers
and $17.4 billion in managed loans outstanding as of March 31, 1999. Capital
One trades on the New York Stock Exchange under the ticker symbol "COF" and is
included in the S&P 500 Index.
SOURCE Capital One Financial Corporation