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 NEW YORK, Nov. 17 /PRNewswire/ -- Premier Auto Trust's 1993-6 $325 million class A-1 3.48 percent money market notes are rated 'F-1+' by Fitch. The $865 million class A-2 4.65 percent asset-backed notes and class A-3 floating rate asset-backed notes are rated 'AAA'. Premier Auto Trust's 1993-6 $60 million 4.875 percent asset-backed certificates are rated 'A+'. The ratings are based primarily on the characteristics of the retail auto receivables originated by Chrysler Credit Corp. as well as funds in the reserve account and excess spread. The rating also reflects the adequacy of the receivables' cash flow to pay timely principal and interest and the extremely remote likelihood that a Chrysler bankruptcy will delay payments to noteholders or certificateholders.
 The receivables will consist of installment sale contracts secured by new and used automobiles and light duty trucks. The initial receivable balance, which represents approximately 16 percent of the aggregate balance, consists of loans with original terms of up to 72 months. These loans are secured by Chrysler's higher ticket lines such as the Caravan, Grand Cherokee, Cherokee, Voyager, and Van conversion products. Offsetting the risks typically associated with extended term loans is CCC's excellent past experience with these loans, reflecting its prudent origination and underwriting criteria. Fitch analyzed data on a previously securitized Chrysler pool of extended term loans, which revealed net losses comparable to securitized pools of five-year loans. Subsequent receivables will have maximum loan terms of up to 60 months. The loan pool, seasoned approximately three months, has a weighted average remaining term of approximately 69 months. Delinquent accounts of up to 90 days past due are also included. While little seasoning and delinquent accounts may expose the pool to additional risk, this risk is substantially mitigated by the levels of credit enhancement and CCC's exceptional performance of its previous securitizations containing similar characteristics.
 Credit enhancement for the notes, a total of 8.5 percent, will be supported by the 4 percent subordination provided by the certificates, the reserve account, and build-up of overcollateralization from the application of excess spread. The reserve account is funded with an upfront cash deposit of 2.2 percent of the pool balance, of which 0.50 percent is reserved exclusively for the certificates. Under Fitch's 'AAA' stress scenario of 8 percent cumulative losses, all classes of notes survived. The certificates, benefitting from the 2.2 percent reserve account and overcollateralization, survived Fitch's 'A' stress scenario of 4.5 percent cumulative losses. When overcollateralization reaches 3.75 percent, the reserve fund will be reduced to 1.25 percent of the original pool balance, of which 0.50 percent is reserved exclusively for the certificates. Because the credit enhancement level for the certificates will build to 5.0 percent, Fitch believes that the certificates have an 'A+' level of protection.
 The financial structure provides for all principal payments collected from the receivables to be distributed first to the money market notes. Further, excess cash will be distributed as an additional amount of principal. Once the money market note balance equals zero or the October 1994 distribution date, whichever is later, the remaining notes receive pro-rata distributions of principal and will be entitled to 96 percent of collections. In addition, the remaining note classes are entitled to excess cash. The certificateholders will be entitled to 4 percent of principal after the money market balance is reduced to zero, or the October 1994 distribution date, whichever is later. Principal and interest on the notes and certificates will be distributed monthly. The class A-3 notes will accrue interest at a rate equal to one-month Libor plus 0.20 percent, subject to a cap of 12 percent covered by applying monthly excess cash generated by the receivables. Even under the assumption that class A-3 reaches the interest rate cap, approximately 290 basis points of excess cash is available.
 -0- 11/17/93
 /CONTACT: Rita Duggan, 212-908-0628 or Suzanne Mistretta, 212-908-0637, both of Fitch/

CO: Premier Auto Trust ST: New York IN: SU: RTG

WB -- NY100 -- 5669 11/17/93 16:29 EST
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Publication:PR Newswire
Date:Nov 17, 1993

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