The rating agency S&P Global Ratings, on Monday it downgraded its rating outlook to negative from stable UBS Group and UBS Americas Holding the two non-operational parent companies of the UBS group.

The rating agency emphasizes that it sees risks related to the execution of the Credit Suisse (CS) acquisition plan by UBS.

“We see significant risk to the execution of Credit Suisse’s integration plan with UBS given the size and weaker credit profile of Credit Suisse and in particular the complexity involved in liquidating a large part of Credit Suisse’s investment banking activities. This could means a weakening of the competitive position of the new group or underperformance against its financial targets due to significant restructuring or litigation costs, pressure on revenue generation capacity or delays in cost reduction. In our baseline scenario, we already expect client flight to the new entity, particularly in the wealth management and domestic banking businesses, where both entities have significant client overlaps.” is specifically mentioned in the announcement.

The forced takeover of Credit Suisse by UBS against a lentil board together with the granting of strong financial guarantees by the Swiss authorities causes strong criticisms in Switzerland for “amateurism” and “damaging the country’s reputation as a financial center”.

But investors are not reassured either, amid a very negative global climate for the banking sector which has been hit by interest rate hikes by major central banks.

The Union des Banques Suisses gave in half-heartedly to become Credit Suisse’s savior under stifling pressure from the Swiss authorities, which had previously been the target of strong pressure from their big financial partners worried about possible contagion.