Fitch Affirms 12 & Lowers 1 Class of Delta EETCs.CHICAGO -- 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 affirmed 12 classes and downgraded one class of the Delta Airlines equipment trust certificates (ETCs) and enhanced equipment trust certificates (EETCs) transactions listed below. In addition, all transactions have been removed from Rating Watch Negative. Fitch placed all rated Delta ETC ETC - ExTendible Compiler. Fortran-like, macro extendible. "ETC - An Extendible Macro-Based Compiler", B.N. Dickman, Proc SJCC 38 (1971). and EETC EETC Enhanced Equipment Trust Certificate EETC Energy and Environment Technology Center EETC Early Education and Training Centre (Hong Kong) EETC Energy & Environmental Technologies Conference EETC Electronic Engineering Times - China transactions on Rating Watch Negative on Sept. 16, 2005 following Delta Air Lines' (Delta) bankruptcy filing on Sept. 14, 2005. On Dec. 13, 2005, Fitch withdrew Delta's Issuer Default Rating (IDR IDR In currencies, this is the abbreviation for the Indonesian Rupiah. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. ) and senior unsecured debt Unsecured debt Debt that does not identify specific assets that the debtholder is entitled to in case of default. rating. As per Fitch's criteria, Fitch's EETC rating begins with the rating on the corporate entity and takes into account the collateral supporting the transaction. As Delta is currently under bankruptcy protection and has no Fitch rating, Fitch primarily looked to at the aircraft collateral supporting the transactions to evaluate the current ratings on the outstanding notes. Fitch reviewed current values on the aircraft as well as potential stresses based on a number of factors including the aircraft type, vintage, and supporting engines. The 1992 and 1993 ETC transactions remain concerns as they are supported by poorer collateral including MD-11's. The EETC transactions have significantly better prospects for recovery as they are primarily supported by more liquid aircraft, including B737-800's, and newer vintage aircraft. E-EETCs: Delta Air Lines European Enhanced Equipment Trust Certificates, series 2001-2 -- Class A affirmed at 'BBB-'; -- Class B remains at 'CCC'. EETCs: Delta Air Lines pass-through certificates Pass-Through Certificates (PTCs) are instruments that evidence the ownership of two or more Equipment Trust Certificates. In other words, Equipment Trust Certificates may be bundled into a pass-through structure as a means of diversifying the asset pool and/or increasing the size , series 2000-1 -- Class A-1 affirmed at 'B'; -- Class A-2 affirmed at 'B'; -- Class B remains at 'CCC'; -- Class C remains at 'CC'. Delta Air Lines pass-through certificates, series 2001-1 -- Class A-1 affirmed at 'B'; -- Class A-2 affirmed at 'B'; -- Class B remains rated 'CCC'; -- Class C remains rated 'CC'. Delta Air Lines pass-through certificates, series 2002-1 -- Class C downgraded to 'CC' from 'CCC'. ETCs: Delta Air Lines equipment trust certificates, series 1992 -- Class B2 remains at 'CC'. Delta Air Lines equipment trust certificates, series 1993 -- Class A2 remains at 'CC'. 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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