![]() Information Disclosure Form referenced above. Information on the meaning of each rating category can be located here.įurther disclosures relating to this rating action are available in the U.S. Information Disclosure Form located here. Global Structured Finance Counterparty Methodologyįurther information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.Ī description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the U.S.Global Consumer Loan ABS Rating Methodology.To access ratings and relevant documents, click here. KBRA will also review the operative agreements and legal opinions for the transaction prior to closing.Ĭlick here to view the report. KBRA also conducted an operational assessment of Aqua, as well as a review of the transaction’s legal structure and transaction documents. KBRA applied its Global Consumer Loan ABS Rating Methodology and Global Structured Finance Counterparty Methodology as part of its analysis of the transaction’s underlying collateral pool and the proposed capital structure. The Company’s new President and CEO, Rich Morrin, most recently held the position of President of the Chrysler division of Santander Consumer USA. Founder Robert Chadwell, who previously served as the Company’s President and Chief Executive Officer (“CEO”), stepped down in October 2019, but continues to hold the position of Chairman of the Board of Directors of Aqua. The Watch Status was maintained in a more recent review in July 2020.Īqua was founded in 1985, incorporated on Januand is a consumer finance company operating in all 50 states. A review conducted in April 2020 resulted in the Aqua Finance Trust 2019-A (“Aqua 2019-A”) Class A, Class B, Class C and Class D Notes being placed on Watch Downgrade. Owing to this risk, KBRA increased its base case default assumptions for the subject pool in a manner that was consistent with recent portfolio reviews of the sector. The financial impact of COVID-19 has resulted in an economic slowdown and high unemployment, which can adversely impact the performance of the transaction and consumer loans in general. The preliminary ratings reflect the initial credit enhancement levels ranging from 30.30% for the Class A notes to 4.85% for the Class D notes. ![]() The assets purchased from the prefunding account must comply with certain eligibility criteria. The transaction includes a six-month prefunding period during which additional collateral may be funded up to approximately 30% of the total receivables. The collateral in the Aqua 2020-A transaction includes approximately $303.1 million of loans as of the Jstatistical cutoff date. The transaction is collateralized by a pool of retail installment sale contracts and agreements (“Contracts”) primarily used by consumers to purchase water treatment equipment or make home improvements. NEW YORK-( BUSINESS WIRE)-Kroll Bond Rating Agency, LLC (KBRA) assigns preliminary ratings to four classes of notes issued by Aqua Finance Trust 2020-A (“Aqua 2020-A”), a consumer loan asset-backed securities transaction.
0 Comments
Leave a Reply. |
Details
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |