New York, July 07, 2009 -- Moody's ABCP rating actions for the seven-day period ended July
MOODY'S RATED THE FOLLOWING ABCP PROGRAM PRIME-1 DURING THE PERIOD
JUNE 30, 2009 THROUGH JULY 6, 2009:
MOODY'S ASSIGNS PRIME-1 RATING TO ARABELLA FINANCE LIMITED/ARABELLA
FINANCE LLC, SUCCESSOR ABCP PROGRAMME TO ARABELLA FUNDING LIMITED
In London, Moody's has assigned a definitive Prime-1 rating
to the asset-backed commercial paper ("ABCP") issued by Arabella
Finance Limited as issuer and Arabella Finance LLC as co-issuer
(together, "Arabella Finance"). Arabella Finance is a newly
established, partially supported, multiseller ABCP programme
sponsored by Bayerische Hypo- und Vereinsbank AG ("HVB",
rated A1/Prime-1/C-). Arabella Finance has been established
as a successor to Arabella Funding Ltd. ("Arabella Funding"),
a partially supported, multiseller ABCP programme established in
2001 by HVB.
All Assets funded through Arabella Funding will be transferred to Arabella
Finance within a few days and afterwards, all ABCP issued by Arabella
Funding will be repaid in full at maturity. Upon request from HVB,
Moody's plans to withdraw the Prime-1 rating assigned to Arabella
Funding after all outstanding ABCP issued by the program is repaid.
Arabella Funding will not issue any further ABCP after the rating withdrawal
Arabella Finance is authorized to issue up to EUR 10 billion of ABCP in
both the US and the Euro ABCP markets. Arabella Finance will use
the proceeds from the sales of its ABCP to advance funds under commissioning
agreements to asset purchasing companies, which will use the proceeds
to purchase assets, including trade and term receivables (but not
asset backed securities). Arabella Finance is structured as a prior
The Prime-1 rating assigned to the ABCP issued by Arabella Finance
is based on, among other factors, the following: (i)
Moody's review of all asset pools prior to inclusion in the programme's
portfolio; (ii) liquidity support provided by Prime-1-rated
banks; (iii) program-level credit enhancement in the form
of a standby letter of credit provided by HVB, London Branch;
(iv) hedging agreements provided by Prime-1-rated financial
institutions used to mitigate interest rate and currency risk; (v)
the experience and capability of HVB as program administrator; and
(vi) structural protections to ensure the bankruptcy-remoteness
of Arabella Finance Limited and Arabella Finance LLC.
For further details, please see Moody's press release dated
July 2, 2009.
THE RATINGS OF THE FOLLOWING ABCP PROGRAMS WERE AFFIRMED AT PRIME-1
DURING THE PERIOD JUNE 30, 2009 THROUGH JULY 6, 2009:
ABEL FUNDING/TASMAN FUNDING RESTRUCTURES PROGRAM
Abel Funding Pty Limited (Abel Funding)/Tasman Funding, Inc.
(Tasman Funding) has restructured its program due to the integration of
conduit operations by Royal Bank of Scotland plc from ABN Amro N.V
The amendments to the program include (i) the inclusion of a new special
purpose vehicle, Entourage Funding, acting as an asset holding
company for the Abel/Tasman program, (ii) increase in program-level
credit enhancement to 8% from 5%, (iii) the creation
of a loan agreement between Abel Funding and Tasman Funding, which
replaces the USD funding agreements, and (iv) enhancement in the
Abel Funding/Tasman Funding program is a partially supported, multiseller
asset-backed commercial paper (ABCP) conduit, now sponsored
by the Royal Bank of Scotland plc ("RBS," rated Aa3/Prime-1/C-).
Abel Funding issues ABCP in the Australian and European markets,
while Tasman Funding issues ABCP in the US market.
The Prime-1 ratings assigned to the ABCP issued by Abel Funding/Tasman
Funding are based on, among other factors, the following:
(i) analysis of the excepted loss on the underlying assets financed by
the program and the sufficiency of asset-level credit enhancement;
(ii) program-level credit enhancement sized at 8% of the
aggregate investments; (iii) asset-level liquidity facilities
provided by Prime-1 rated RBS; (iv) the experience of RBS
(Australia) Pty Limited as the program administrator; and (v) structural
protections to ensure the bankruptcy-remoteness of Entourage Funding,
Abel Funding, and Tasman Funding.
For further details, please see Moody's press release dated July
1, 2009. The ABCP Program Review for Abel Funding Pty Limited/Tasman
Funding, Inc. is available on Moody's website at www.moodys.com.
CALYON'S ATLANTIC ADDS $130 MILLION TRADE RECEIVABLE FACILITY
Atlantic Asset Securitization LLC ("Atlantic"), a partially supported,
multiseller conduit sponsored by Calyon (Aa3/Prime-1/D),
has added a $130 million trade receivable facility to its portfolio.
The receivables are originated by a non investment-grade-rated
producer and distributor of beverages. This transaction is supported
by a liquidity facility that funds for the face amount of ABCP as long
as Atlantic is not bankrupt.
With this transaction, Atlantic has $11.45 billion
in purchase commitments and $1.0 billion in program-level
THE RATING OF THE FOLLOWING USCP PROGRAM WAS AFFIRMED AT PRIME-1
THE PERIOD JUNE 30, 2009 THROUGH JULY 6, 2009:
LOUIS DREYFUS CORP. EXTENDS EXISTING USCP PROGRAM
Louis Dreyfus Corporation has extended and amended its existing US commercial
paper program supported by two irrevocable letters of credit issued by
Calyon, New York Branch ("Calyon," rated Aa3/Prime-1/D).
Calyon's irrevocable, direct-pay letters of credit
provide full support for the payment of commercial paper notes upon maturity.
One letter of credit supports a 364-day facility, while the
second letter supports a 2-year facility. The expiration
dates for both letters of credit were extended to May 2010.
Along with the facility extension, Louis Dreyfus reduced the combined
authorized issuance amount of the program to $358 million from
$451 million. Up to $182.3 million of CP may
be issued under the 364-day facility and up to $175.7
million of CP may be issued under the 2-year facility. Moody's
rating on the CP notes is based primarily on Calyon's Prime-1
JPMorgan Chase Bank, National Association (Aa1/Prime-1/B),
acting as depositary, will draw on the letter of credit to pay maturing
commercial paper notes.
Louis Dreyfus Corporation is a privately held company based in Wilton,
Connecticut that directly and through subsidiaries is engaged in trading
and merchandising and in some cases, processing of grains and oilseeds,
cotton, coffee, sugar, citrus products, freight,
and biofuels. The company is a wholly-owned indirect subsidiary
of Louis Dreyfus Commodities B.V. ("BV"),
a Dutch company and itself a majority-owned subsidiary of Louis
Dreyfus S.A.S., and one of the worldwide group
of BV subsidiaries that conducts the Louis Dreyfus Group's global
Louis Dreyfus Corporation has another letter of credit-backed USCP
program supported by an irrevocable, direct-pay letter of
credit issued by Barclays Bank PLC, New York Branch. The
program issues two series of notes, Series A and Series B,
and has an authorized issuance of $430 million. The Series
A notes can be issued up to an amount of $204 million and the Series
B notes can be issued up to an amount of $226 million.
The rating methodology used for the above-referenced ABCP programs
is described in "The Fundamentals of Asset-Backed Commercial
Paper" (February 2003). The rating methodology used for the
above-referenced USCP program is described in "LOC-Backed
CP Programs: Structure is Key" (August 2000). Moody's
monitors and analyzes these programs on an ongoing basis. The rating
actions apply to the CP issued by the ABCP programs and not the individual
transaction in the programs' portfolio. A detailed description
of each program is published in the ABCP Program Review. Some ABCP
programs have monthly updated performance information, which is
published in the Performance Overviews. All publications are available
on Moody's website: www.moodys.com.
Senior Vice President
Structured Finance Group
Moody's Investors Service
Moody's ABCP rating actions ending July 6, 2009
Structured Finance Group
Moody's Investors Service