S&P Raises Rtgs in Morgan Stanley's U.K. CMBS Deal.Business Editors LONDON--(BUSINESS WIRE)--March 3, 2003 Standard & Poor's--Standard & Poor's Ratings Services Ratings Service A company, such as Moody's or Standard & Poor's, that rates various debt and preferred stock issues for safety of payment of principal, interest, or dividends. said today it raised its credit ratings on the class C, D, and E notes issued by Bromios (European Loan Conduit No. 7) PLC. At the same time, the class C and D notes were removed from CreditWatch where they had been placed on Aug. 13, 2002 (see list below). The rating action is a result of further property sales in a commercial real estate loan that makes up the collateral currently backing the notes (the "Portfolio Loan") and primarily reflects the strong levels of support provided by overcollateralization at the new rating levels and the credit quality of the remaining assets. The Portfolio Loan and the other loan in this transaction, the Mayfair Place loan, which has already been repaid, were both originated by Morgan Stanley  To comply with Wikipedia's , the introduction of this article needs a complete rewrite. Dean Witter Dean Witter may refer to:
The purpose of the Portfolio Loan was to execute a phased sell-down of the assets. As a result of the borrowers' property sales strategy, substantial prepayments Prepayments Payments made in excess of scheduled mortgage principal repayments. of the loan to date have resulted in redemption of the higher-rated classes, with junior classes left outstanding. As highlighted in Standard & Poor's presale pre·sale n. 1. The period before something, such as a work of art, is available for sale to the public. 2. An exclusive or private sale held before an advertised sale. credit report, the weighted-average cost of junior class notes is likely to exceed the post-swap income from the Portfolio Loan. The terms of the transaction incorporate an available funds cap feature. Under this, interest that is payable to holders of the class D and E notes is capped at the amount that is available after paying interest to holders of higher priority notes and other senior expenses. Any interest shortfall on the class D and E notes is extinguished ex·tin·guish tr.v. ex·tin·guished, ex·tin·guish·ing, ex·tin·guish·es 1. To put out (a fire, for example); quench. 2. To put an end to (hopes, for example); destroy. See Synonyms at abolish. 3. , with noteholders not entitled en·ti·tle tr.v. en·ti·tled, en·ti·tling, en·ti·tles 1. To give a name or title to. 2. To furnish with a right or claim to something: on any future interest payment date to claim against the issuer in this respect. Given the terms of the transaction, any failure of the class D and E noteholders to receive interest was not considered to be a constraint in upgrading the class D and E notes.
RATINGS LIST
Bromios (European Loan Conduit No.7) PLC
GBP341.85 Million Commercial Mortgage-Backed Floating-Rate Notes
Class Rating
To From
C AAA A/Watch Pos
D AAA BBB/Watch Pos
E AAA BB
ANALYST E-MAIL ADDRESSES See Internet address. e-mail address - electronic mail address stuart_nelson@standardandpoors.com ronan_fox@standardandpoors.com clay_hunt@standardandpoors.com simon_collingridge@standardandpoors.com StructuredFinanceEurope@standardandpoors.com Copyright 2003, Standard & Poor's Ratings Services |
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