WAYNE, N.J., March 14 /PRNewswire-FirstCall/ -- Valley National Bank,
the wholly-owned subsidiary of Valley National Bancorp (NYSE: VLY)
("Valley"), announced today that Moody's Investors Service has raised the
ratings of Valley National Bank based on Valley's "strong asset quality,
good operating efficiency, the profitability and balance inherent in its
mix of commercial and consumer businesses and the strength of its New
Jersey deposit franchise."
Rating Factors Old Rating New Rating
Bank Deposits A2 A1
Issuer Rating A2 A1
"Valley is pleased with the Moody's upgrade," said Gerald H. Lipkin,
Chairman, President & CEO. "It is consistent with Valley's longstanding
focus on credit quality and the fundamentals of long-term performance for
its shareholders. The increase in our credit ratings by Moody's is timely,
in light of the recent headline news attributable to the difficulties in
the subprime mortgage market, and further supports Valley's credit culture.
Valley has historically refrained from originating or purchasing subprime
mortgage loans for either its mortgage or investment portfolios. Valley's
long standing opposition to option arms and subprime lending is based upon
its strategy to build shareholder value without offering products that
offer short term rewards but could have a negative effect in the long
term."
Valley's approach to mortgage lending has consistently produced lower
delinquencies than most of its competitors. At the end of February,
Valley's $2.5 billion residential mortgage and home equity portfolio had
delinquencies totaling approximately 0.22 percent, in contrast to 2.57
percent for industry-wide prime mortgage portfolios during the fourth
quarter of 2006 as recently reported by the Mortgage Bankers Association
("MBA"). The MBA also stated subprime mortgage delinquencies rose to 13.33
percent in the fourth quarter of 2006; as noted above, Valley does not
participate in the subprime market.
For more information about Valley National Bank and its products and
services, please visit http://www.valleynationalbank.com or call Customer Service
24/7 at 1-800-522-4100.
Forward-Looking Statements
The foregoing contains forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. Such statements are
not historical facts and include expressions about management's confidence
and strategies and management's expectations about new and existing
programs and products, relationships, opportunities, taxation, technology
and market conditions. These statements may be identified by such forward-
looking terminology as "expect," "believe," "view," "opportunity," "allow,"
"continues," "reflects," "typically," "usually," "anticipate," or similar
statements or variations of such terms. Such forward-looking statements
involve certain risks and uncertainties. Actual results may differ
materially from such forward-looking statements. Factors that may cause
actual results to differ from those contemplated by such forward-looking
statements include, among others, the following: unanticipated changes in
the direction of interest rates, effective income tax rates, loan and
investment prepayments and assumptions, levels of loan quality and
origination volume, relationships with major customers, as well as the
effects of unanticipated economic conditions and legal and regulatory
barriers including compliance issues related to AML/BSA compliance and the
development of new tax strategies or the disallowance of prior tax
strategies. Valley assumes no obligation for updating any such forward-
looking statement at any time.
SOURCE Valley National Bank
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Related links:
http://www.valleynationalbank.com/
http://www.prnewswire.com/comp/141340.html /
CONTACT:
Dianne M. Grenz of Valley National Bank,
Senior Vice President and Director Shareholder and Public
Relations, +1-973-305-3380
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