DBRS Comments on BB&T Corporation’s RWA Adjustment: Sr. at A (high)

DBRS, Inc. (DBRS) has today commented on BB&T Corporation’s (BB&T or the Company) 2012 form 10-K disclosure regarding adjustments to its calculation of risk weighted assets (RWA) for certain unfunded lending commitments. DBRS notes that these adjustments resulted in a $4.6 billion increase to its RWAs from its January 13, 2013 earnings release. While the negative 34 bps impact to the Company’s solid regulatory capital ratios is moderate, the need for the adjustments to RWAs is of concern and indicates a weakness within BB&T’s internal controls. BB&T’s management team has a solid track record regarding maintaining appropriate internal controls. DBRS anticipates that the Company will be focusing more time and energy fortifying its risk controls. Additional evidence of weakness or problems with internal controls could result in negative rating actions. BB&T Corporation’s Issuer & Senior Debt rating is A (high), with a Stable trend.

Notes:
All figures are in U.S. dollars unless otherwise noted.

[Amended on May the 23rd, 2014 to remove unnecessary disclosures.]