Fitch lowers Carcade to B+

Fitch Ratings said it downgraded Carcade LLC's long-term issuer default ratings to B+ from BB- and removed them from Rating Watch Negative.

The outlook is negative.

Fitch said the downgrade reflects Carcade's: (a) Weaker performance, driven by a narrower interest margin and reduced cost efficiency; (b) extended track record of significant asset quality problems, reflected in an above-peers cost of risk; and (c) a more vulnerable funding profile and liquidity position.

At the same time, the ratings also consider the company's reasonable franchise, diversified lease book and acceptable leverage, the agency said.

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