The most significant variables affecting the rating of the transaction are the credit quality of YKB, its GCA score and the sovereign rating.
Investor presentation on 31 March 2017 provided by YKB
It factors in BCP's limited role in the group, which is primarily in the form of exchange of information and the sharing of some common customers, and, in Fitch's opinion, manageable reputational risk for YKB
if it did not support BCP in case of need.
In the past several years, liquidity profiles at Turkish banks - including YKB - have tightened considerably as loan growth has exceeded customer deposit growth.
Such was the case at YKB, and the result was an operating profit sharply lower than that of 2013 but still higher than that of 2012.
YKB's Long-term and Support ratings are upgraded to be in line with those of Kocbank and to reflect the higher potential support YKB can expect to receive in case of need from KFS.
Cukurova has used the proceeds of the transaction to pay back a substantial portion of the debt, reducing the total amount owed to YKB to USD0.
YKB reported a consolidated regulatory capital ratio of 16.
YKB is the fourth largest private commercial bank in Turkey with consolidated total assets of USD12.
has had a long-standing relationship with NCR both in terms of hardware and software solutions and through the company's Channel Partner Program, whereby NCR has supported the bank's internal maintenance of its ATM network.
In relation to this, YKB announced on June 11, 2002 that it had applied to Turkey's Banking Regulatory and Supervisory Board (BRSA) to merge Pamukbank into YKB.
It has also been announced by BRSA that Pamukbank's two board members in YKB have been replaced with two board members from BRSA.