Moody's Investors Service has upgraded $75 million of the senior debt of Synovus Financial Corp. to A3 from Baa1.
Moody's also raised the ratings for synovus' lead bank, Columbus Bank and Trust Co. for long-term deposits, other senior obligations, and counterparty obligations to A2 from A3.
The rating agency upgraded the bank's short-term deposits and other senior obligations to Prime-1 from Prime-2.
"The upgrades reflect Synovus' good asset quality, earnings, and capital levels." Moody's said.
Upbeat on the Southeast
Another factor was the positive outlook for economic growth in the southeastern United States, where Synovus' operations are concentrated.
Moody's noted the contribution of Synovus' Total System Services. a nonbank subsidiary that has a 24% market share in the bank card data-processing business.
Synovus owns more than 80% of TSS, which is the second-largest bank card data-processing company in the world.