Recipient email addresses will not be used in mailing lists or redistributed.
Use semicolon to separate each address, limit to 20 addresses.
characters you see
You have successfully sent the research.
Please note: some research requires a paid subscription in order to access.
Already a customer?
Don't want to see this again?
Accept our to continue to Moodys.com:
AND SCROLL DOWN!
By clicking “I AGREE” [at the end of this document],
you indicate that you understand and intend these terms and conditions to be
the legal equivalent of a signed, written contract and equally binding, and
that you accept such terms and conditions as a condition of viewing any and all
Moody’s information that becomes accessible to you [after clicking “I AGREE”] (the
“Information”). References herein to “Moody’s” include Moody’s
Corporation, Inc. and each of its subsidiaries and affiliates.
Terms of One-Time Website Use
you have entered into an express written contract with Moody’s to the contrary,
you agree that you have no right to use the Information in a commercial or
public setting and no right to copy it, save it, print it, sell it, or publish
or distribute any portion of it in any form.
acknowledge and agree that Moody’s credit ratings: (i) are current opinions of
the future relative creditworthiness of securities and address no other risk; and
(ii) are not statements of current
or historical fact or recommendations to purchase, hold or sell particular
securities. Moody’s credit ratings and
publications are not intended for retail investors, and it would be reckless
and inappropriate for retail investors to use Moody’s credit ratings and
publications when making an investment decision. No
warranty, express or implied, as the accuracy, timeliness, completeness,
merchantability or fitness for any particular purpose of any Moody’s credit
rating is given or made by Moody’s in any form whatsoever.
3. To the extent permitted by law, Moody’s and its directors,
officers, employees, representatives, licensors and suppliers disclaim
liability for: (i) any indirect, special, consequential, or incidental losses
or damages whatsoever arising from or in connection with use of the
Information; and (ii) any direct or compensatory damages caused to any person
or entity, including but not limited to by any negligence (but excluding fraud
or any other type of liability that by law cannot be excluded) on the part of
Moody’s or any of its directors, officers, employees, agents, representatives,
licensors or suppliers, arising from or in connection with use of the
4. You agree to read [and
be bound by] the more detailed disclosures regarding Moody’s ratings and the
limitations of Moody’s liability included in the Information.
5. You agree that any disputes relating to this agreement or your use of
the Information, whether sounding in contract, tort, statute or otherwise,
shall be governed by the laws of the State of New York and shall be subject to
the exclusive jurisdiction of the courts of the State of New York located in
the City and County of New York, Borough of Manhattan.
21 Apr 2011
USD 2,036 million of debt securities affected
Paris, April 21, 2011 -- Moody's has reviewed the above Trafigura Securitisation Finance
plc transaction in conjunction with various amendments (the Amendments)
to the transaction documents effected in April 2011. Moody's has taken no action
on the rating of the Class A and B notes as well as on the Senior and
Junior Variable Funding Notes (VFN) as a result of the review.
A detailed list of the ratings are available at the end of this press
release. The maximum issuance amount of the VFN is 1,606.5
Trafigura Securitisation Finance plc is a securitisation of trade receivables
originated by the Trafigura group which has revolved since its closing
date in May 2004. The securitised trade receivables are generated
from the sale of oil products, metal concentrates, iron ore
and coal. The portfolio performances have been in line with expectations
since the rating was assigned in 2007, showing very limited delinquency
and dilution rates (both were lower than 0.2% of the portfolio
outstanding balance since closing).
The amendments will have the effect, among other things, of
extending the transaction legal final maturity, extending the revolving
period by 5 years, allowing for the purchase of receivables from
customers in two additional industrial sectors (Iron Ore and Coal),
adding a Senior and Junior VFN Noteholder and reducing the credit enhancement
to previous levels as of closing date. Additional details on Moody's
review of the transaction are stated below.
The Notes are backed by a pool of receivables extended to Trafigura's
customers. As Trafigura's banks provide letters of credit
(Documentary credit) on part of Trafigura's customers, the
portfolio credit risk is not only on the receivable end debtor but also
on Trafigura's banks. As of March 2011, the banking
industry accounted for 68% of the pool while 28% were exposures
to oil companies and 3% to the metals and mining industry industries.
The portfolio includes on average a total of 50 debtors and can bear large
exposure to a single borrower up to the concentration limits linked to
single debtors rating.
At the same time, the contractual term of the receivables is very
short and in practice has been no more than one month.
Moody's modelled the portfolio credit risk using CDOROM under various
portfolio composition scenario given the debtor concentration limits.
The CDOROM correlation framework reflects the short term and industrial
concentration specificities of such portfolio. Moody's analysed
historical defaults and rating migrations in the banking, oil,
metal, and coal industries. The CDOROM industrial sector
overconcentration correlation stress was removed while the industries
correlation assumptions were increased as follow: Banking:
27% vs 12%, Oil and gas: 17% vs 12%,
Metals and Mining: 27% vs 12%. Further,
Moody's assumed a default probability equivalent to B1 for the non
The various portfolio composition scenario were modelled given the minimum
updated credit enhancement of 15% for the Class A Notes and Senior
VFN and 9% for the Class B and Junior VFN (down from 17%
and 11% respectively), but at the same levels as of transaction
closing date which were part of this amendment.
Overall, the transaction amendments were assessed under the revised
correlation and default probability assumptions. The various portfolio
scenario were build to anticipate possible portfolio modifications during
the extended revolving period.
In addition to its quantitative analysis, Moody's reassessed
the transaction structural features and the operational risks.
The Aaa (sf) rating of the series of the Class A Notes and the Senior
VFNs and the Baa2 (sf) rating of the Class B Notes and the Junior VFNs
take into consideration the following structural features:
- The credit protection, which consists of over-collateralization
provided by a floor of 15% for the Senior Notes and 9% for
the Junior Notes, together with a floating level of subordination,
based on a dynamic formula and including multiples of past dilution and
- The debtors concentration limits, including a minimum of
30% of debtors rated at least A3 and a maximum of 30% of
debtors being non-rated or non-investment grade debtors.
- Early amortisation triggers linked to a deterioration of the
performance of the receivables.
In addition to the above structural features, the transaction ratings
are based on the following operational risk mitigants:
- Société Générale (Aa2/P-1)
has been appointed since closing in 2004 as back-up servicer in
the transaction. Moody's thinks that Société
Générale would be able to step in rapidly as back-up
servicer if needed as it receives daily receivables reporting.
-A cash reserve is available as a liquidity source to cover senior
fees and coupons for a period of 13 weeks. Société
Générale also acts as cash manager for Trafigura Securitisation
- The transaction is subject to early amortisation triggers linked
to a deterioration of the credit quality of Trafigura.
- The obligors are directed to pay their invoice balances to one
collection account that is held in the name of the Issuer with Deutsche
Bank (Aa3/P-1) which mitigates the commingling credit risk.
Trafigura is one of the world's largest independent commodities traders.
Trafigura Beheer B.V., which was established in 1993,
is registered in Amsterdam, The Netherlands, and trades through
its Swiss branches in Geneva and Lucerne. It has a network of 67
offices in over 44 countries, with major locations in, Geneva,
Stamford, Houston, Singapore and London.
The ratings address the expected loss posed to investors by the legal
final maturity of the notes. In Moody's opinion, the structure
allows for timely payment of interest and ultimate payment of principal
with respect to the Notes by the legal final maturity.
The principal methodologies used in this rating were "Refining the ABS
SME Approach: Moody's Probability of Default Assumptions In The
Rating Analysis of Granular Small and Mid-sized Enterprise portfolios
in EMEA" published in March 2009, "Moody's Approach to Rating Granular
SME Transactions in Europe, Middle East and Africa" published in
June 2007, "Moody's Approach to Rating Trade Receivables Backed
Transactions", published in July 2002 and "Global Structured Finance
Operational Risk Guidelines: Moody's Approach to Analyzing Performance
Disruption Risk" methodology published on March 2011.
Detailed list of notes ratings affirmed:
- Aaa (sf) to the USD 400 million Class A Asset-Backed Floating-Rate
Notes due 2012; and
- Aaa (sf) to the USD 1,495 million Senior Variable Funding
- Baa2 (sf) to the USD 30 million Class B Asset-Backed Floating-Rate
Notes due 2012.
- Baa2 (sf) to the USD 111.5 million Junior Variable Funding
Vice President - Senior Analyst
Structured Finance Group
Moody's France SAS
JOURNALISTS: 44 20 7772 5456
SUBSCRIBERS: 44 20 7772 5454
Senior Vice President
Structured Finance Group
Moody's Italia S.r.l
Moody's France SAS
Moody's affirms ratings of Trafigura Securitisation Finance Plc, trade receivables ABS, following deal amendment
96 Boulevard Haussmann
JOURNALISTS: 44 20 7772 5456
SUBSCRIBERS: 44 20 7772 5454
No Related Data.
© 2019 Moody’s Corporation, Moody’s Investors Service, Inc., Moody’s Analytics, Inc. and/or their licensors and affiliates (collectively, “MOODY’S”). All rights reserved.
CREDIT RATINGS ISSUED BY MOODY'S INVESTORS SERVICE, INC. AND ITS RATINGS AFFILIATES (“MIS”) ARE MOODY’S CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES, AND MOODY’S PUBLICATIONS MAY INCLUDE MOODY’S CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES. MOODY’S DEFINES CREDIT RISK AS THE RISK THAT AN ENTITY MAY NOT MEET ITS CONTRACTUAL FINANCIAL OBLIGATIONS AS THEY COME DUE AND ANY ESTIMATED FINANCIAL LOSS IN THE EVENT OF DEFAULT OR IMPAIRMENT. SEE MOODY’S RATING SYMBOLS AND DEFINITIONS PUBLICATION FOR INFORMATION ON THE TYPES OF CONTRACTUAL FINANCIAL OBLIGATIONS ADDRESSED BY MOODY’S RATINGS. CREDIT RATINGS DO NOT ADDRESS ANY OTHER RISK, INCLUDING BUT NOT LIMITED TO: LIQUIDITY RISK, MARKET VALUE RISK, OR PRICE VOLATILITY. CREDIT RATINGS AND MOODY’S OPINIONS INCLUDED IN MOODY’S PUBLICATIONS ARE NOT STATEMENTS OF CURRENT OR HISTORICAL FACT. MOODY’S PUBLICATIONS MAY ALSO INCLUDE QUANTITATIVE MODEL-BASED ESTIMATES OF CREDIT RISK AND RELATED OPINIONS OR COMMENTARY PUBLISHED BY MOODY’S ANALYTICS, INC. CREDIT RATINGS AND MOODY’S PUBLICATIONS DO NOT CONSTITUTE OR PROVIDE INVESTMENT OR FINANCIAL ADVICE, AND CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT AND DO NOT PROVIDE RECOMMENDATIONS TO PURCHASE, SELL, OR HOLD PARTICULAR SECURITIES. NEITHER CREDIT RATINGS NOR MOODY’S PUBLICATIONS COMMENT ON THE SUITABILITY OF AN INVESTMENT FOR ANY PARTICULAR INVESTOR. MOODY’S ISSUES ITS CREDIT RATINGS AND PUBLISHES MOODY’S PUBLICATIONS WITH THE EXPECTATION AND UNDERSTANDING THAT EACH INVESTOR WILL, WITH DUE CARE, MAKE ITS OWN STUDY AND EVALUATION OF EACH SECURITY THAT IS UNDER CONSIDERATION FOR PURCHASE, HOLDING, OR SALE.
MOODY’S CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT INTENDED FOR USE BY RETAIL INVESTORS AND IT WOULD BE RECKLESS AND INAPPROPRIATE FOR RETAIL INVESTORS TO USE MOODY’S CREDIT RATINGS OR MOODY’S PUBLICATIONS WHEN MAKING AN INVESTMENT DECISION. IF IN DOUBT YOU SHOULD CONTACT YOUR FINANCIAL OR OTHER PROFESSIONAL ADVISER.
ALL INFORMATION CONTAINED HEREIN IS PROTECTED BY LAW, INCLUDING BUT NOT LIMITED TO, COPYRIGHT LAW, AND NONE OF SUCH INFORMATION MAY BE COPIED OR OTHERWISE REPRODUCED, REPACKAGED, FURTHER TRANSMITTED, TRANSFERRED, DISSEMINATED, REDISTRIBUTED OR RESOLD, OR STORED FOR SUBSEQUENT USE FOR ANY SUCH PURPOSE, IN WHOLE OR IN PART, IN ANY FORM OR MANNER OR BY ANY MEANS WHATSOEVER, BY ANY PERSON WITHOUT MOODY’S PRIOR WRITTEN CONSENT.
CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT INTENDED FOR USE BY ANY PERSON AS A BENCHMARK AS THAT TERM IS DEFINED FOR REGULATORY PURPOSES AND MUST NOT BE USED IN ANY WAY THAT COULD RESULT IN THEM BEING CONSIDERED A BENCHMARK.
All information contained herein is obtained by MOODY’S from sources believed by it to be accurate and reliable. Because of the possibility of human or mechanical error as well as other factors, however, all information contained herein is provided “AS IS” without warranty of any kind. MOODY'S adopts all necessary measures so that the information it uses in assigning a credit rating is of sufficient quality and from sources MOODY'S considers to be reliable including, when appropriate, independent third-party sources. However, MOODY’S is not an auditor and cannot in every instance independently verify or validate information received in the rating process or in preparing the Moody’s publications.
To the extent permitted by law, MOODY’S and its directors, officers, employees, agents, representatives, licensors and suppliers disclaim liability to any person or entity for any indirect, special, consequential, or incidental losses or damages whatsoever arising from or in connection with the information contained herein or the use of or inability to use any such information, even if MOODY’S or any of its directors, officers, employees, agents, representatives, licensors or suppliers is advised in advance of the possibility of such losses or damages, including but not limited to: (a) any loss of present or prospective profits or (b) any loss or damage arising where the relevant financial instrument is not the subject of a particular credit rating assigned by MOODY’S.
To the extent permitted by law, MOODY’S and its directors, officers, employees, agents, representatives, licensors and suppliers disclaim liability for any direct or compensatory losses or damages caused to any person or entity, including but not limited to by any negligence (but excluding fraud, willful misconduct or any other type of liability that, for the avoidance of doubt, by law cannot be excluded) on the part of, or any contingency within or beyond the control of, MOODY’S or any of its directors, officers, employees, agents, representatives, licensors or suppliers, arising from or in connection with the information contained herein or the use of or inability to use any such information.
NO WARRANTY, EXPRESS OR IMPLIED, AS TO THE ACCURACY, TIMELINESS, COMPLETENESS, MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE OF ANY CREDIT RATING OR OTHER OPINION OR INFORMATION IS GIVEN OR MADE BY MOODY’S IN ANY FORM OR MANNER WHATSOEVER.
Moody’s Investors Service, Inc., a wholly-owned credit rating agency subsidiary of Moody’s Corporation (“MCO”), hereby discloses that most issuers of debt securities (including corporate and municipal bonds, debentures, notes and commercial paper) and preferred stock rated by Moody’s Investors Service, Inc. have, prior to assignment of any rating, agreed to pay to Moody’s Investors Service, Inc. for ratings opinions and services rendered by it fees ranging from $1,000 to approximately $2,700,000. MCO and MIS also maintain policies and procedures to address the independence of MIS’s ratings and rating processes. Information regarding certain affiliations that may exist between directors of MCO and rated entities, and between entities who hold ratings from MIS and have also publicly reported to the SEC an ownership interest in MCO of more than 5%, is posted annually at www.moodys.com
under the heading “Investor Relations — Corporate Governance — Director and Shareholder Affiliation Policy.”
Additional terms for Australia only: Any publication into Australia of this document is pursuant to the Australian Financial Services License of MOODY’S affiliate, Moody’s Investors Service Pty Limited ABN 61 003 399 657AFSL 336969 and/or Moody’s Analytics Australia Pty Ltd ABN 94 105 136 972 AFSL 383569 (as applicable). This document is intended to be provided only to “wholesale clients” within the meaning of section 761G of the Corporations Act 2001. By continuing to access this document from within Australia, you represent to MOODY’S that you are, or are accessing the document as a representative of, a “wholesale client” and that neither you nor the entity you represent will directly or indirectly disseminate this document or its contents to “retail clients” within the meaning of section 761G of the Corporations Act 2001. MOODY’S credit rating is an opinion as to the creditworthiness of a debt obligation of the issuer, not on the equity securities of the issuer or any form of security that is available to retail investors.
Additional terms for Japan only: Moody's Japan K.K. (“MJKK”) is a wholly-owned credit rating agency subsidiary of Moody's Group Japan G.K., which is wholly-owned by Moody’s Overseas Holdings Inc., a wholly-owned subsidiary of MCO. Moody’s SF Japan K.K. (“MSFJ”) is a wholly-owned credit rating agency subsidiary of MJKK. MSFJ is not a Nationally Recognized Statistical Rating Organization (“NRSRO”). Therefore, credit ratings assigned by MSFJ are Non-NRSRO Credit Ratings. Non-NRSRO Credit Ratings are assigned by an entity that is not a NRSRO and, consequently, the rated obligation will not qualify for certain types of treatment under U.S. laws. MJKK and MSFJ are credit rating agencies registered with the Japan Financial Services Agency and their registration numbers are FSA Commissioner (Ratings) No. 2 and 3 respectively.
MJKK or MSFJ (as applicable) hereby disclose that most issuers of debt securities (including corporate and municipal bonds, debentures, notes and commercial paper) and preferred stock rated by MJKK or MSFJ (as applicable) have, prior to assignment of any rating, agreed to pay to MJKK or MSFJ (as applicable) for ratings opinions and services rendered by it fees ranging from JPY125,000 to approximately JPY250,000,000.
MJKK and MSFJ also maintain policies and procedures to address Japanese regulatory requirements.