New York, April 05, 2006 -- MOODY'S RATED THE FOLLOWING ABCP PROGRAMS PRIME-1 DURING THE PERIOD
MARCH 28, 2006 THROUGH APRIL 3, 2006:
MOODY'S ASSIGNS PRIME-1 RATING TO IXIS FP FINANCIAL PRODUCTS' VERSAILLES
ASSETS, LLC AND VERSAILLES CDS, LLC
Moody's has assigned a Prime-1 rating to the commercial paper notes
issued by Versailles CDS LLC ("Versailles CDS") and Versailles
Assets, LLC ("Versailles Assets"). Versailles
CDS and Versailles Assets are newly established, partially supported,
multiseller programs sponsored and administered by IXIS Financial Products
Inc. ("IXIS FP", rated Aaa/Prime-1).
Versailles Assets was set up to purchase or make loans secured by financial
assets in different currencies, including but not limited to US
dollar, Sterling and Euros and issue notes backed by these assets.
Versailles Assets will not issue notes to investors, but instead
will only issue notes to Versailles CDS. Versailles CDS will purchase
investments, primarily the Prime-1-rated notes issued
by Versailles Assets, and fund these purchases by issuing notes
in the capital market that are maturity matched to the investments they
acquire by Versailles Assets.
Moody's Prime-1 rating assigned to Versailles Assets is based
on, among other things; (i) the credit quality of the asset
pools, which will be reviewed by Moody's before purchase,
(ii) transaction-specific liquidity facilities from Prime-1-rated
banks equal to the face amount of ABCP, and (iii) the ability of
IXIS FP as administrator.
Moody's Prime-1 rating assigned to Versailles CDS is based
on, among other things: (i) program-level credit enhancement
equal to the greater of $100 million or 10% of the outstanding
investments purchased (excluding investments issued to fund highly rated
assets that are rated Aa2 or higher), (ii) the credit quality of
the underlying investments purchased by Versailles CDS, (iii) the
liquidity support provide through the maturity matched nature of the investments
purchased and notes issued by Versailles CDS, and (iv) the ability
of IXIS FP as administrator.
For further details, please see Moody's press release dated March
THE RATINGS OF THE FOLLOWING ABCP PROGRAMS WERE AFFIRMED BY MOODY'S AT
PRIME-1 DURING THE PERIOD MARCH 28, 2006 THROUGH APRIL 3,
HVB'S BUFCO PURCHASES BLACK FOREST ABCP BACKED BY $100 MILLION
Bavaria Universal Funding Corp. ("BUFCO"), a partially supported
program sponsored by Bayerische Hypo- und Vereinsbank AG ("HVB",
rated A2/Prime-1/D+), has purchased ABCP from its sister
conduit, Black Forest Funding Corp. ("Black Forest").
The Black Forest ABCP is backed by a $100 million revolving loan
facility that finances equipment leases and loans. The transaction
is fully supported through program-level credit enhancement in
the form of a letter of credit provided by HVB.
With this transaction, BUFCO has $2.4 billion in total
asset purchase commitments, with $736.1 million in
program-level credit enhancement.
DEUTSCHE BANK'S GEMINI PURCHASES NANTUCKET ABCP BACKED BY SIX TRANSACTIONS
Gemini Securitization Corp., LLC ("Gemini"), a partially
supported, multiseller ABCP conduit sponsored by Deutsche Bank AG
(Aa3/Prime-1/B-), has purchased ABCP from its sister
conduit, Nantucket Funding Corp., LLC ("Nantucket").
The details of the six transactions backed by Nantucket ABCP are as follows:
(i) a $600 million facility used to finance residential mortgage
loans for an unrated obligor. This transaction is fully supported
by a liquidity facility provided by Deutsche Bank.
(ii) a student loan facility that has been increased to $500 million
from $275 million. The facility provides warehouse financing
for federally-guaranteed student loans. This transaction
is fully supported by a liquidity facility provided by Deutsche Bank.
(iii) a $300 amortizing facility for recreational vehicle and marine
loans originated by an unrated bank. The facility is guaranteed
by a Aaa-rated financing company and is fully supported by a liquidity
facility provided by Deutsche Bank.
(iv) a $150 million co-purchased share of Aaa-rated
notes used to finance trade receivables for a non-investment-grade-rated
obligor. This transaction benefits from a financial guarantee insurance
policy provided by Aaa-rated Financial Guarantee Insurance Company
("FGIC"). Therefore, investors are not exposed
to risks associated with the performance of the underlying asset.
The liquidity facility is at the Nantucket level and funds the transaction
so long as FGIC is rated Caa3 and above, and no insurer default
(v) a $150 million portfolio of retail agricultural and construction
equipment receivables for a non-investment-grade-rated
obligor. This transaction is fully supported by a liquidity facility
provided by Deutsche Bank
(vi) a $130 million dealer floorplan loan facility that has been
increased from $60 million for an international automobile finance
company. This transaction is fully supported by a liquidity facility
provided by Deutsche Bank.
For transactions that are fully supported by liquidity, Gemini's
program-level credit enhancement was not increased for the asset
purchases. Gemini has total asset commitments of $17.2
billion, with $9.3 billion of outstanding ABCP.
Gemini's total program-level credit enhancement is $644
million (with a floor of $250 million).
SUMITOMO MITSUI'S MANHATTAN ASSET FUNDING INCREASES INTEREST IN EXISTING
LOAN AND LEASE RECEIVABLE PURCHASE FACILITY
Manhattan Asset Funding Company LLC ("Manhattan"), a partially supported,
multiseller conduit, sponsored by Sumitomo Mitsui Banking Corp.
("SMBC", rated A1/Prime-1/D), has increased its interest
in an existing loan and lease purchase facility from $50 million
to $60 million. The facility finances the telecommunications
equipment of the U.S. subsidiary of an investment-grade-rated
Japanese electronics manufacturer and distributor. The transaction
benefits from a minimum of 7.5% transaction-specific
credit enhancement in the form of overcollateralization, which adjusts
dynamically depending upon asset performance. The transaction also
benefits from 10% incremental program-level credit enhancement.
This transaction is partially supported by a liquidity facility provided
With this transaction, Manhattan has about $3.9 billion
in total purchase commitments and $320 million in program-level
For a more detailed description of these ABCP programs, see Moody's
website at http://www.moodys.com
Structured Finance Group
Moody's Investors Service
MOODY'S ABCP RATING ACTIONS FOR THE SEVEN-DAY PERIOD ENDED APRIL 3, 2006
Structured Finance Group
Moody's Investors Service