DBRS Rates Citizens Financial Group, Inc. at AA (low)

Dominion Bond Rating Service (“DBRS”) has today assigned ratings to Citizens Financial Group, Inc. and eight of its banking subsidiaries as indicated above. All trends are Stable.

The ratings of Citizens Financial Group, Inc. (“CFG” or the “Company”) are underpinned by both its successful community-centered business franchise and its full ownership by The Royal Bank of Scotland plc (“RBS” – rated AAp by DBRS). CFG represents RBS’s principal U.S. banking platform and its largest investment outside of the U.K., accounting for about 13% of RBS’s pre-tax earnings in 2004. CFG benefits from being part of a large successful banking group, particularly in having access to capital and resources that have supported its expansion. Although CFG’s operations are largely autonomous, DBRS believes that RBS has the incentives and financial resources to support CFG should support be required.

Through multiple acquisitions and organic growth, CFG created a powerful top-ten commercial and community banking franchise with a large distribution network in 13 states in the New England, mid-Atlantic and midwest regions. The 2004 purchase of Charter One Financial, Inc. significantly expanded CFG’s regional coverage by adding over 600 branches in four midwestern and two northeast states.

A strong deposit franchise and clean asset quality characterize CFG’s profile. The Company has top-tier deposit market shares in several of its markets, and more than half of the branches are located in markets where it has at least 10% deposit market share. The composition of deposits is good, with only a small portion in uninsured deposits. The loan portfolio is highly granular, lacks material risk concentrations, and is performing well. The high asset quality maintained throughout the past five years and several acquisitions attest to the Company’s conservative underwriting discipline and prudent due diligence process.

The primary challenges for CFG are achieving sustained loan and deposit growth in its newer, relatively slow growth, and highly competitive midwestern markets, and restoring its tangible capital, which has been weakened by acquisitions.

Headquartered in Providence, Rhode Island, CFG is the holding company for ten bank subsidiaries, including seven under the Citizens name, Charter One Bank, N.A., and two others. CFG, the tenth-largest commercial bank in the U.S., is a wholly owned subsidiary of The Royal Bank of Scotland plc. This bank, which is headquartered in Edinburgh, Scotland, and is owned by The Royal Bank of Scotland Group, plc, is the sixth-largest bank in the world. CFG’s branches are spread across a 13-state footprint comprising most of the New England, mid-Atlantic, and midwest U.S. regions. Primarily through acquisition, the Company has grown from a US$10 billion asset bank in 1995 to the tenth-largest bank holding company in the U.S. As of June 30, 2005, The Company had US$148 billion in assets, over 27,000 employees, 3,084 ATMs, and 1,634 banking offices.

Note: The RBS rating is based on public information.