https://www.moodys.com/credit-ratings/US-Bancorp-credit-rating-284000?lang=en&cy=can
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"The downgrade also reflects Moody's view that governance no longer has a positive impact on U.S. Bancorp's ratings, but is instead a neutral component in its currently assigned ratings."
That nugget is shown at the top of page 2 of Moody's report. The U.S. Bancorp employees have been saying the same thing for much longer.
Mitsubishi UFJ Financial Group became the fifth largest shareholder in USB as of December 1, 2022, when the acquisition of Union Bank closed, with their 44.3 million shares pegged just over $45 a share. With Uncle Salty's Bank trading at a tick over 33 and a half Friday afternoon, that MUFG holding is worth about 500 million less than what they had on closing date and with a Moody's downgrade across the board, that might be a hard call to take from the largest bank in Japan.
Who would you belive, U.S Bank executive leadership or a longstanding financial ratings service and therein lies the bulk of the problems at USB, in my opinion, the bank is being led by individuals who have no experience or qualifications to run this size bank. What say you Berkshire Hathaway?
From the Moody's release:
New York, April 21, 2023 -- Moody's Investors Service ("Moody's") has downgraded all long-term and selected short-term ratings and assessments of U.S. Bancorp and its subsidiaries. The holding company's senior unsecured local and foreign currency ratings were downgraded to A3 from A2 and its local currency commercial paper rating was downgraded to Prime-2 from Prime-1. At its bank subsidiary, U.S. Bank National Association, long-term local currency bank deposits were downgraded to Aa3 from Aa2 and short-term local currency bank deposits were affirmed at Prime-1. The bank's senior unsecured local currency rating was downgraded to A2 from A1, its local currency commercial paper rating was affirmed at Prime-1 and its baseline credit assessment (BCA) was downgraded to a2 from a1. A complete list of affected ratings appears below.
Following the rating action, the outlook on U.S. Bancorp and its subsidiaries was changed to stable from negative