Fitch revises RBS to positive

Fitch Ratings said it revised the outlook on Royal Bank of Scotland Group plc's long-term issuer default rating to positive and affirmed the long-term issuer default rating at BBB+, viability rating at bbb+ and short-term issuer default rating at F2.

The agency also revised the outlooks on the bank’s subsidiaries, including Royal Bank of Scotland plc and National Westminster Bank plc, whose long-term issuer default ratings were affirmed at A- and viability ratings at bbb+, and NatWest Markets plc, whose long-term issuer default rating was affirmed at BBB+ and viability rating at bbb+.

Fitch said the outlook revision reflects its view that a finalization of the civil settlement announced in principle with the U.S. Department of Justice on May 10 will be positive for the group as it removes the uncertainty over the timing and size of the penalty that has affected the group's ratings.

The agency believes that Royal Bank of Scotland’s long-term issuer default rating and viability rating could be upgraded if the group maintains sound operating profitability and capitalization as it progresses with its restructuring plan.

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