NEW YORK -- Standard & Poor's Corp. raised its outlook on the ratings of BankAmerica Corp., Security Pacific Corp., and Rainier Bancorp to positive from stable.
At the same time, the ratings agency affirmed BankAmerica's senior debt at A and the subordinated debt as A-minus. The company's BBB rating on its preferred stocks was also affirmed.
In changing its outlook, S&P cited the bank's strategic benefits from the acquisition of Security Pacific, particularly the larger market share it gained throughout the West and the opportunity to make substantial cost cuts.
S&P said those benefits offset the problems of assuming Security Pacific's load of doubtful loans and the risk of integrating a large and troubled institution.
