Printer Friendly

PREMIER AUTO TRUST 1992-5 ASSET BACKED NOTES RATED 'AAA' BY FITCH -- FITCH FINANCIAL WIRE --

 PREMIER AUTO TRUST 1992-5 ASSET BACKED NOTES RATED 'AAA' BY FITCH
 -- FITCH FINANCIAL WIRE --
 NEW YORK, Sept. 17 /PRNewswire/ -- Premier Auto Trust 1992-5 $900 million Asset Backed Notes are rated 'AAA' by Fitch. The Asset Backed Certificates, Class I representing an "interest only" class are also rated 'AAA'. The $37.5 million Asset Backed Certificates, Class B are rated 'A'. The Class B certificates are subordinated to the notes and the Class I certificates. Principal and interest will be distributed monthly to the Class B holders while the noteholders will receive principal and interest on a quarterly basis. Interest payments due the Class I holders at a pass-through rate of 2.85 percent will be distributed monthly and will be based on a notional amount.
 The ratings are based on the levels of credit enhancement, which, in turn, reflect the high quality of the auto receivables. The exceptional performance of those loans previously securitized by Chrysler Financial Corp. (CFC) combined with the Chrysler Credit Corp's excellent servicing capabilities also support the ratings. In addition, the strong legal structure should prevent any delay in payments to the noteholders and certificateholders in the event of a Chrysler bankruptcy.
 The receivables consist of installment sale contracts secured by new and used automobiles and light duty trucks. The pool is well diversified with concentrations in Texas, New York, California, and New Jersey. Although there is very little seasoning, Fitch believes Chrysler's prudent origination policies strongly contribute to the overall credit quality of the pool. Furthermore, the amount of excess spread will offset any delinquencies and losses arising from the lack of payment histories.
 Credit enhancement for the notes and Class I certificates will be provided by the 4 percent subordinated interest of the certificates and a reserve fund which will be funded with an initial deposit of 5.75 percent of the initial pool balance. The certificates will be protected from delinquencies and losses by the 5.75 percent reserve fund. Also, the weighted average excess spread of about 350 basis points will be available monthly to offset delinquencies and losses. Because of the Class I certificates, the amount of available excess spread for this transaction is less than other Premier transactions. However, Fitch believes that the amount of excess spread available is still relatively high and continues to be a strong characteristic.
 The notes will be secured by receivables totaling approximately $487 million and a pre-funding account established at closing. A deposit will be made to the pre-funding account equal to approximately $450 million and will be used to purchase new receivables by the March 1993 distribution date. In addition, deposits equal to 5.75 percent of the new receivables will be made to the reserve account as new receivables are purchased by the trust. Funds will also be deposited to account for any "negative carry" (interest due to the note and certificate holders in excess of reinvestment earnings on the pre-funding account).
 -0- 9/17/92
 /CONTACT: Suzanne Mistretta, 212-908-0637, or Mary Griffin, 212-908-0537, both of Fitch/ CO: Premier Auto Trust 1992-5 ST: IN: AUT SU: RTG


SM -- NY040 -- 0575 09/17/92 11:03 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Sep 17, 1992
Words:524
Previous Article:NU HORIZONS DECLARES 5 PERCENT STOCK DIVIDEND
Next Article:BELLSOUTH ENTERPRISES EXPANDS ATLANTA PCS TRIAL


Related Articles
PREMIER AUTO TRUST 1992-2 ASSET BACKED NOTES RATED 'AAA' BY FITCH -- FITCH FINANCIAL WIRE --
GMAC 1992-B CLASS A ASSET-BACKED CERTIFICATES RATED 'AAA' BY FITCH -- FITCH FINANCIAL WIRE --
PREMIER AUTO TRUST 1992-3 ASSET BACKED NOTES RATED 'AAA' BY FITCH -- FITCH FINANCIAL WIRE --
GMAC 1992-D CLASS A ASSET BACKED CERTIFICATES RATED 'AAA' BY FITCH -- FITCH FINANCIAL WIRE --
PREMIER AUTO TRUST 1992-4 ASSET BACKED NOTES RATED 'AAA' BY FITCH --FITCH FINANCIAL WIRE (FFW)--
CARCO AUTO LOAN MASTER TRUST SERIES 1992-1 RATED 'AAA' BY FITCH -- FITCH FINANCIAL WIRE --
PREMIER AUTO TRUST 1993-4 MONEY MARKET NOTES 'AAA/F-1+' BY FITCH -- FITCH FINANCIAL WIRE --
PREMIER AUTO TRUST 1993-5 MONEY MARKET NOTES RATED 'F-1+' BY FITCH -- FITCH FINANCIAL WIRE --
PREMIER AUTO TRUST 1994-1 MONEY MARKET NOTES 'F-1+' BY FITCH -- FITCH FINANCIAL WIRE --
PREMIER AUTO TRUST 1994-4 RATED 'AAA' BY FITCH -- FITCH FINANCIAL WIRE --

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters