A.M. Best Comments on Indicative Rating of Series 2003-1 Bonds.OLDWICK, N.J. -- A.M. Best Co. --Issued by Tarrytownsecond LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control ; Extends Target Date to June June: see month. 14, 2005 The indicative rating of "a-" of Tarrytownsecond LLC's issuance of $63 million of Class A Asset-Backed Bonds, Series 2003-1, due December December: see month. 2011 remains unchanged despite the missed target date of March 31, 2005, for completion of the transaction's ramp-up. Further, A.M. Best has extended the target date for the transaction's completion to June 14, 2005. If this target date is missed, A.M. Best will take further action on the rating, including a rating withdrawal. The indicative rating remains under review with developing implications. On June 17, 2004, A.M. Best downgraded the indicative rating to "a" from its initial level of "aa-" issued on January 20, 2004. The downgrade Downgrade A negative change in the rating of a security. Notes: For example, an analyst may downgrade a stock from strong buy to buy, or a bond rating agency may downgrade a bond from AAA to AA. was primarily due to the collateral manager's (Seabury Insurance Services I, LLC) inability to acquire the targeted life settlement balance in order to meet the June 14, 2004, ramp-up deadline. The collateral manager subsequently amended a·mend v. a·mend·ed, a·mend·ing, a·mends v.tr. 1. To change for the better; improve: amended the earlier proposal so as to make it more comprehensive. 2. the indenture An agreement declaring the benefits and obligations of two or more parties, often applicable in the context of Bankruptcy and bond trading. The term indenture primarily describes secured contracts and has several applications in U.S. law. (Amended and Restated Indenture of December 23, 2004) and set a target date of March 31, 2005, for completion of the transaction's ramp-up. On March 7, 2005, A.M. Best downgraded the indicative rating to "a-" based on the $203.4 million of policy face value acquired up to that point and the additional projected life settlements, which were to be purchased by March 31, 2005. The March 31, 2005, targeted date passed without completion of the ramp-up and recently, A.M. Best met with the collateral manager to discuss its plan for quickly concluding the transaction and to discuss the extension of the transaction's target date for completion to June 14, 2005. A.M. Best will continue to monitor other significant aspects of the transaction that could affect the rating, such as the specific mortality profile and actual market prices of the additional life settlements to be purchased for the transaction and the pace of the collateral manager's acquisition program. For Best's Debt Ratings, all other Best's Ratings Best's rating A rating A.M. Best Co. assigns to insurance companies based on the company's ability to meet its obligations to its policyholders. , an overview of the rating process and rating methodologies, please visit http://www.ambest.com/ratings. A.M. Best Co., established in 1899, is the world's oldest and most authoritative insurance rating and information source. For more information, visit A.M. Best's Web site at http://www.ambest.com. |
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