Moody’s Downgrades 11 Banks, as Contagion Spreads

Moody's Corporation(NYSE:MCO) has cut the ratings of eleven European banks as the world looks on toward a Greek election this weekend. Moody's said that a Greek exit from the Eurozone would trigger further downgrades.

The banks downgraded by Moody's today included five Dutch banks, three French banks and one each from Luxembourg and Belgium. The move follows the recent downgrades of banks from Spain, Germany and Austria in the wake of Spain's banking problems and growing European worries.

The list of downgraded banks are; Rabobank Nederland, ING Groep N.V. (NYSE:ING), ABN AMRO Group N.V., LeasePlan Corporation N.V., Banqu Federative Du Credit Mutuel, Group BPC, Group CIC, KBC and Banque et Caisse Du Epargne De l'Etat.

There...