Moody's downgrades BNP, SocGen, Credit Agricole

MADRID (MarketWatch)
Moody's Investors Service on Friday downgraded the long-term debt ratings of French banks BNP Paribas SA , Societe Generale SA and Credit Agricole SA , citing funding constraints and deteriorating macroeconomic fundamentals.
The long-term ratings for BNP Paribas and Credit Agricole were cut by one notch to Aa3, while Societe Generale's rating was cut by one notch to A1.
The actions conclude reviews initiated June 15 and extended on Sept. 14.
Moody's said the outlooks on the long-term ratings for all three banks are negative.
It said "liquidity and funding conditions have deteriorated significantly," for all three banks, and their creditworthiness is being hurt by the "fragile operating environment for all European banks."