Fitch Ratings Upgrades GMAC Series 1999-C2.Business Editors NEW YORK--(BUSINESS WIRE)--July 7, 2003 GMAC's commercial mortgage 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 1999-C2, $51.2 million class B certificates are upgraded to 'AA+' from 'AA' by 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. . Fitch also upgrades $48.7 million class C to 'A+' from 'A', $14.6 million class D to 'A' from 'A-', $41.4 million class E to 'BBB+' from 'BBB' and $12.2 million class F to 'BBB' from 'BBB-'. In addition, Fitch affirms the following classes: $81.1 million class A-1, $549 million class A-2 and interest only class X are affirmed at 'AAA' by Fitch. The $12.2 million class G, $46.3 million class H, $7.3 million class J, $19.5 million class K, $7.3 million class L, $4.9 million class M and $9.4 million class N are not rated by Fitch. The rating affirmations follow Fitch's annual review of the transaction which closed in June 1999. The rating upgrades reflect the improved loan performance and additional 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 provided by the 7% reduction of the pool collateral balance since closing from $974 million to $904 million, as well as the defeasance of eight loans (11%) during May 2003. GMAC GMAC General Motors Acceptance Corporation GMAC Graduate Management Admission Council GMAC Give Me A Call GMAC Genetic Manipulation Advisory Committee GMAC Genetic Modification Advisory Committee (Singapore) GMAC Give Me A Chance Commercial Mortgage Corp., the master servicer, collected year-end (YE) 2002 financials for 73% of the pool balance. Based on the information provided the resulting YE 2002 weighted average debt service coverage ratio The debt service coverage ratio (DSCR), or debt service ratio, is the ratio of net operating income to debt payments on a piece of investment real estate. It is a popular benchmark used in the measurement of an income-producing property’s ability to produce (DSCR DSCR See: Debt-service coverage ratio ) is 1.55 times (x) compared to 1.42x at issuance for the same loans. Currently, three loans (1.3%) are in special servicing. The largest loan (0.61%) is secured by a retail property in College Station, TX and is currently 90 days delinquent. The special servicer, GMAC Commercial Mortgage Corp., is currently in its initial review of the loan. The next largest specially serviced loan (0.45%) is secured by a multifamily property in Dallas, TX and is currently 90 days delinquent; discussions are ongoing with the borrower. Fitch reviewed credit assessments of the Ingram Micro Ingram Micro, Inc. NYSE: IM a Fortune 100 company founded in 1979 and based in Santa Ana, California. It is the world’s largest technology distributor and a leading technology sales, marketing and logistics company. loans (7.8%). The loans are both leased to a single tenant, Ingram Micro Inc., currently rated 'BBB-' with a Negative Rating Outlook by Fitch. Ingram Micro Inc. is a wholesale provider of technology products which has been affected by lower information technology spending. Fitch will continue to monitor this transaction, as surveillance is ongoing. |
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