Correction - Fitch Takes Rating Actions on FMAC Franchise Transactions.CHICAGO -- (This replaces the release that went out on March 20, 2009; it corrects the ratings of the series 1996-A, 1997-B, and 1998-C.) Fitch Ratings Fitch Ratings An international rating agency for financial institutions, insurance companies, and corporate, sovereign, and municipal debt. Fitch Ratings has headquarters in New York and London and is wholly owned by FIMALAC of Paris. has taken the following rating actions on FMAC FMAC Find, Meet, Attract, Close FMAC Financial and Management Accounting Committee FMAC Fédération Mondiale des Anciens Combattants (French: World Veterans Federation) FMAC FEMA Map Assistance Center FMAC FPGA Mission Assurance Center Loan Receivables Receivables An asset designation applicable to all debts, unsettled transactions or other monetary obligations owed to a company by its debtors or customers. Receivables are recorded by a company's accountants and reported on the balance sheet, and they and include all debts owed Trusts as listed below: Series 1996-A --Class A-1 IO affirmed af·firm v. af·firmed, af·firm·ing, af·firms v.tr. 1. To declare positively or firmly; maintain to be true. 2. To support or uphold the validity of; confirm. v.intr. at 'AAA'; --Class B-1 revised to 'D/RR6' from 'C/DR6'; --Class B-2 revised to 'D/RR6' from 'C/DR6'; --Class C-1 revised to 'D/RR6' from 'C/DR6'; --Class C-2 revised to 'D/RR6' from 'C/DR6'. Series 1996-B --Class A-X A-X Ajax, Ontario remains at 'C'; --Class A-1 revised to 'C/RR3' from 'C/RR1'; --Class A-2 revised to 'D/RR3' from 'C/RR3'; --Class B revised to 'D/RR6' from 'C/DR6'; --Class C revised to 'D/RR6' from 'C/DR6'; --Class D revised to 'D/RR6' from 'C/DR6'; --Class E revised to 'D/RR6' from 'C/DR6'. Series 1997-A --Class A-X affirmed at 'AA'; --Class B upgraded to 'AA' from 'A'; --Class C affirmed at 'BB'; --Class D revised to 'D/RR2' from 'C/DR2' --Class E revised to 'D/RR6' from 'C/DR6'; --Class F revised to 'D/RR6' from 'C/DR6'. Series 1997-B --Class A-X affirmed at 'B'; --Class A affirmed at 'B' and 'DR1' removed; --Class B revised to 'D/RR2' from 'C/RR3'; --Class C revised to 'D/RR6' from 'C/DR6'; --Class D revised to 'D/RR6' from 'C/DR6'; --Class E revised to 'D/RR6' from 'C/DR6'; --Class F revised to 'D/RR6' from 'C/DR6'. Series 1997-C --Class A-X affirmed at 'BBB'; --Class B revised to 'D/RR2' from 'C/DR1'; --Class C revised to 'D/RR6' from 'C/DR6'; --Class D revised to 'D/RR6' from 'C/DR6'; --Class E revised to 'D/RR6' from 'C/DR6'; --Class F revised to 'D/RR6' from 'C/DR6'. Series 1998-A --Class A-X remains at 'C'; --Class A-2 revised to 'C/RR3' from 'C/RR2'; --Class A-3 revised to 'D/RR3' from 'C/RR2' --Class B revised to 'D/RR6' from 'C/DR6'; --Class C revised to 'D/RR6' from 'C/DR6'; --Class D revised to 'D/RR6' from 'C/DR6'; --Class E revised to 'D/RR6' from 'C/DR6'; --Class F revised to 'D/RR6' from 'C/DR6'. Series 1998-B --Class A-X remains at 'C'; --Class A-2 revised to 'D/RR1'from 'C/RR1'; --Class B revised to 'D/RR6' from 'C/DR6'; --Class C revised to 'D/RR6' from 'C/DR6'; --Class D revised to 'D/RR6' from 'C/DR6'; --Class E revised to 'D/RR6' from 'C/DR6'; --Class F revised to 'D/RR6' from 'C/DR6'. Series 1998-C --Class A-X affirmed at 'BB'; --Class A-2 affirmed at 'BB'; --Class A-3 affirmed at 'BB'; --Class B affirmed at 'B-' and 'DR1' is removed; --Class C revised to 'D/RR3' from 'C/DR6'; --Class D revised to 'D/RR6' from 'C/DR6'; --Class E revised to 'D/RR6' from 'C/DR6'; --Class F revised to 'D/RR6' from 'C/DR6'. Series 1998-D --Class A-3 affirmed at 'AAA' and placed on Rating Watch Negative. Note: Class A-3 is affirmed and placed on Rating Watch Negative based on the strength of an FSA FSA Financial Services Authority FSA Food Standards Agency (UK) FSA Farm Service Agency (USDA) FSA Financial Services Agency (Japan) insurance policy. FSA is currently rated 'AAA' and on Rating Watch Negative by Fitch fitch: see polecat. . The upgrade on the class B note in the 1997-A transaction is a result of the significant credit support available over its short expected remaining life. Additionally, Fitch anticipates limited near-term loss within the pool. In its analysis, detailed below, Fitch found credit support for the class B to be commensurate com·men·su·rate adj. 1. Of the same size, extent, or duration as another. 2. Corresponding in size or degree; proportionate: a salary commensurate with my performance. 3. with the upgraded rating after the application of expected losses. For the remaining transactions, in its analysis, Fitch found credit support to be consistent with when the transaction was last reviewed while recovery prospects for the distressed notes had changed, leading to an affirmation A solemn and formal declaration of the truth of a statement, such as an Affidavit or the actual or prospective testimony of a witness or a party that takes the place of an oath. An affirmation is also used when a person cannot take an oath because of religious convictions. of all long-term ratings and the revisions to the Recovery Ratings. Fitch's analysis incorporated anticipated losses on defaulted collateral given the servicer's and Fitch's recovery expectations. Fitch's recovery expectations are based on historical collateral-specific recoveries experienced in the franchise Asset Backed Securities (ABS (Automatic Backup System) See backup program. ) sector. The resulting anticipated collateral losses were then applied to the transaction structure, enabling Fitch to assess the impact of the losses on the securities and available 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 . Fitch's rating definitions and the terms of use Terms of Use are rules set up by the owner of an intellectual property or service to govern how they may be legally used. In many cases, terms of service are used as a contractual agreement between a company and users of a service they provide. of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental are also available from the 'Code of Conduct' section of this site. |
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