MOODY'S UPGRADES THE GUARANTEED CLASSES OF VANDERBILT'S MANUFACTURED HOUSING SECURITIES AND PLACES UNDER REVIEW FOR POSSIBLE UPGRADE CERTAIN MEZZANINE AND SUBORDINATE CERTIFICATES
36 Securities Upgraded and 26 Securities Under Review for Possible Upgrade
New York, February 17, 2005 -- Moody's Investors Service has upgraded the ratings on the guaranteed
certificates from Vanderbilt Mortgage and Finance Inc.'s
(Vanderbilt) manufactured housing securitizations. The ratings
on the upgraded securities are based on a corporate guarantee from Vanderbilt's
parent, Clayton Homes, Inc. (Clayton Homes).
The ratings action on the guaranteed classes was prompted by Moody's
announcement on February 17, 2005 that Clayton Homes' issuer
rating of Baa2 was being upgraded to Baa1 and concludes Moody's
ratings review, which began on January 20th, 2005.
In addition, Moody's has placed under review for possible
upgrade certain mezzanine and subordinate certificates from Vanderbilt.
The review was prompted by the build up in credit enhancement prior to
the crossover dates on the deals.
In 2003, Clayton Homes was acquired by Berkshire Hathaway Inc..
Clayton Homes through its affiliates, manufactures and sells manufactured
homes and modular homes, and owns and operates manufactured housing
communities.
Vanderbilt, a wholly owned subsidiary of Clayton Homes, was
founded in 1956. The company, which is principally located
in Maryville, Tennessee, was incorporated in 1977.
Vanderbilt is primarily engaged in the business of purchasing, originating
and servicing installment sales contracts for manufactured housing and
modular housing.
The completed ratings actions are as follows:
Vanderbilt Mortgage and Finance, Inc.
Manufactured Housing Contract Senior/Subordinate Pass-Through Certificates
Variable Rate Series 1995-B Class B-2, upgraded from
Baa2 to Baa1
8.15% Series 1996-A Class B-2, upgraded
from Baa2 to Baa1
8.25% Series 1996-B Class B-2, upgraded
from Baa2 to Baa1
8.00% Series 1996-C Class B-2, upgraded
from Baa2 to Baa1
8.13% Series 1997-A Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 1997-A Class IIB-3, upgraded
from Baa2 to Baa1
8.16% Series 1997-B Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 1997-B Class IIB-3, upgraded
from Baa2 to Baa1
7.83% Series 1997-C Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 1997-C Class IIB-3, upgraded
from Baa2 to Baa1
7.55% Series 1997-D Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 1997-D Class IIB-3, upgraded
from Baa2 to Baa1
7.69% Series 1998-A Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 1998-A Class IIB-3, upgraded
from Baa2 to Baa1
7.60% Series 1998-B Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 1998-B Class IIB-3, upgraded
from Baa2 to Baa1
8.75% Series 1999-A Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 1999-A Class IIB-3, upgraded
from Baa2 to Baa1
8.40% Series 1999-C Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 1999-C Class IIB-3, upgraded
from Baa2 to Baa1
8.75% Series 1999-D Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 1999-D Class IIB-3, upgraded
from Baa2 to Baa1
9.25% Series 2000-A Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 2000-A Class IIB-3, upgraded
from Baa2 to Baa1
9.25% Series 2000-B Class IB-2, upgraded
from Baa2 to Baa1
Variable Rate Series 2000-B Class IIB-3, upgraded
from Baa2 to Baa1
9.00% Series 2000-C Class B-2, upgraded
from Baa2 to Baa1
9.50% Series 2000-D Class B-2, upgraded
from Baa2 to Baa1
9.14% Series 2001-A Class B-2, upgraded
from Baa2 to Baa1
8.17% Series 2001-B Class B-2, upgraded
from Baa2 to Baa1
7.89% Series 2001-C Class B-2, upgraded
from Baa2 to Baa1
8.48% Series 2002-A Class B-2, upgraded
from Baa2 to Baa1
7.84% Series 2002-B Class B-2, upgraded
from Baa2 to Baa1
7.50% Series 2002-C Class B-2, upgraded
from Baa2 to Baa1
8.00% Series 2003-A Class B-2, upgraded
from Baa2 to Baa1
Vanderbilt Acquisition Loan Trust
Manufactured Housing Contract Senior/Subordinate Pass-Through Certificates
8.47% Series 2002-1 Class B-2, upgraded
from Baa2 to Baa1
The following classes are under review for possible upgrade:
Vanderbilt Mortgage and Finance, Inc.
Manufactured Housing Contract Senior/Subordinate Pass-Through Certificates
8.40% Series 1995-A Class A-5, rated
Aa3, under review for possible upgrade
8.55% Series 1995-A Class A-6, rated
A3, under review for possible upgrade
Variable Rate Series 1995-B Class A-6, rated Aa3,
under review for possible upgrade
Variable Rate Series 1995-B Class B-1, rated Baa2,
under review for possible upgrade
7.83% Series 1996-A Class A-6, rated
Aa3, under review for possible upgrade
7.73% Series 1996-A Class B-1, rated
Baa2, under review for possible upgrade
7.85% Series 1996-B Class A-6, rated
Aa3, under review for possible upgrade
7.73% Series 1996-B Class B-1, rated
Baa2, under review for possible upgrade
7.53% Series 1996-C Class A-6, rated
Aa3, under review for possible upgrade
7.45% Series 1996-C Class B-1, rated
Baa2, under review for possible upgrade
7.60% Series 1997-A Class IA-6, rated
Aa3, under review for possible upgrade
7.50% Series 1997-A Class IB-1, rated
Baa2, under review for possible upgrade
Variable Rate Series 1997-A Class IIB-1, rated Aa3,
under review for possible upgrade
Variable Rate Series 1997-A Class IIB-2, rated Baa2,
under review for possible upgrade
Variable Rate Series 1997-B Class IIB-1, rated Aa3,
under review for possible upgrade
Variable Rate Series 1997-B Class IIB-2, rated Baa2,
under review for possible upgrade
Variable Rate Series 1997-C Class IIB-1, rated Aa3,
under review for possible upgrade
Variable Rate Series 1997-C Class IIB-2, rated Baa2,
under review for possible upgrade
Variable Rate Series 1997-D Class IIB-1, rated Aa3,
under review for possible upgrade
Variable Rate Series 1997-D Class IIB-2, rated Baa2,
under review for possible upgrade
Variable Rate Series 1998-A Class IIB-1, rated Aa3,
under review for possible upgrade
Variable Rate Series 1998-A Class IIB-2, rated Baa2,
under review for possible upgrade
Variable Rate Series 1998-B Class IIB-1, rated Aa3,
under review for possible upgrade
Variable Rate Series 1998-B Class IIB-2, rated Baa2,
under review for possible upgrade
Variable Rate Series 1999-A Class IIB-1, rated Aa3,
under review for possible upgrade
Variable Rate Series 1999-A Class IIB-2, rated Baa2,
under review for possible upgrade
New York
Pramila Gupta
Managing Director
Structured Finance Group
Moody's Investors Service
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653
New York
Danise Chui
Associate Analyst
Structured Finance Group
Moody's Investors Service
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653