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Bank Watch (May 3-9): CRE Credit Quality Could Weaken BB&T's Capital Position

Plus: Moody's Drops Utah-based Zions' Financial Strength to a D-; Washington's Venture Bank Looking To Raise Needed Capital; & UCBH Hit by Weakening CA, NV Markets

Moody's Investors Service downgraded the long-term ratings of BB&T Corp. in Charlotte, NC, and the bank financial strength rating of its operating bank and thrift. The downgrade resulted from Moody's view that BB&T's sizable real estate portfolio, both commercial and residential, will continue to experience heightened credit quality challenges as the housing market and broader U.S. economy remain weak.

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