Moody’s reduces ratings of 28 Spanish banks

Moody’s Investors Service reduced the long-term ratings of Spanish banks by 1-4 points from Baa3 on Monday, Interfax reports.

Banco Santander had its rating reduced from A3 to Baa2 with a negative forecast, Banco Bilbao Vizcaya Argentaria from A3 to Baa3, Bankia from Baa3 to Ba2.

Spain requested the EU to recapitalize banks. Spanish banks had to reserve €100 billion to cover real estate losses and need €40-80 billion more.