The commercial paper rating of Los Angeles-based...

The commercial paper rating of Los Angeles-based Home Savings of America, the nation’s largest savings and loan, has been lowered to A-2 from A-1 by Standard & Poor’s. According to the rating agency, Home Savings’ recent purchase of Bowery Savings Bank “has resulted in higher leverage, seen in a declining equity-to-assets ratio. Earnings and debt coverage ratios have also declined, reflecting the recent lack of gains on asset sales, a major source of income over the past few years.” S&P; said it also lowered the rating on Home Savings’ certificates of deposit to single-A-minus/A2 from single-A/A1.