S&P Affirms BND's Positive Rating
BISMARCK–August 23, 2010– Standard & Poor’s (S&P) Ratings Services recently gave Bank of North Dakota a Counterparty Credit Rating of A+/Stable/A-1. This rating reflects the Banks good capital and strong asset quality.
“In these uncertain economic times it is important that the Bank maintain its high standards,” said BND President Eric Hardmeyer. “S&P affirmed our positive rating from last year in part due to the relative strength of North Dakota’s economy and application of criteria for government-related entities.”
Hardmeyer concludes that despite the Bank’s concentration in North Dakota, BND’s relatively diverse loan portfolio and strong asset quality is better than those of its comparably rated peers which should keep BND’s asset-quality ratios above average. Standard & Poor’s cites North Dakota’s steadily growing economy and the state’s low unemployment as further factors in the stable outlook.
BND’s affiliation with the State of North Dakota and the state’s explicit guaranty of all deposits in BND, as codified in North Dakota Century Code also contributed to Standard & Poor’s affirming BND’s ‘AA+’ deposit rating.
Click the following link to read Standard & Poor’s report on Bank of North Dakota in its entirety.
Bank of North Dakota (BND) was established in 1919 and is the only state-owned bank in the United States. BND is overseen by the Industrial Commission of North Dakota, consisting of Gov. John Hoeven as chairman, Attorney General Wayne Stenehjem, and Agriculture Commissioner Doug Goehring.