Chrysler Financial Corporation issues $500 million of asset-backed certificates through J.P. Morgan Securities Inc.NEW YORK--(BUSINESS WIRE)--Nov. 22, 1994--Chrysler Financial Corporation today issued $500 million of asset-backed certificates through its CARCO Auto Loan Master Trust. The certificates, which are rated Aaa by Moody's Investors Service Moody's Investors Service A leading global credit rating, research and risk analysis firm. Moody's Investors Service A leading firm engaged in credit rating, risk analysis, and research of fixed-income securities and their issuers. and AAA by Standard & Poor's Ratings Group, have an average life of 2.70 years and were priced at 99.985 to yield 7.889%, or 41 basis points over the corresponding U.S. Treasury U.S. Treasury Created in 1798, the United States Department of the Treasury is the government (Cabinet) department responsible for issuing all Treasury bonds, notes and bills. Some of the government branches operating under the U.S. Treasury umbrella include the IRS, U.S. . J.P. Morgan Securities Inc. was the lead manager for the transaction. The assets of the trust are receivables generated through revolving credit agreements Revolving credit agreement A legal commitment in which a bank promises to lend a customer up to a specified maximum amount during a specified period. revolving credit agreement See line of credit. entered into by dealers to purchase or finance automobile and light duty truck inventory. The credit enhancement Credit Enhancement A method whereby a company attempts to improve its debt or credit worthiness. Notes: Credit enhancements take many different forms. An example of a credit enhancement would be conversion rights added on to a debt instrument in order to lower the issuing for the transaction is provided by subordination equal to 11.1% of the principal balance of the securities and a reserve fund. This transaction was the second issue by CARCO Auto Loan Master Trust this year and the first for which J.P. Morgan Securities Inc. was lead manager. CONTACT: J.P. Morgan Securities Inc., New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Richard Mahony, 212/648-9589 |
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