In a note Moody's noted Intesa's direct exposure to the Italian sovereign and its pronounced focus on domestic business. The management of both UniCredit and Intesa Sanpaolo have said they currently have no funding problems. Besides its downgrade of Italian banks, Moody's also cut its ratings on the debt of a series of state-controlled Italian companies including oil and gas group Eni, utility Enel, defense company Finmeccanica and power grid operator Terna.