Fitch Affirms Two Series of ARI Fleet Lease Trust

NEW YORK--(BUSINESS WIRE)-- Fitch Ratings has affirmed two series of notes issued by ARI Fleet Lease Trust as detailed below:

ARI Fleet Lease Trust 2013-A

--Class A-2 notes at 'AAAsf'; Outlook Stable;

--Class A-3 notes at 'AAAsf'; Outlook Stable.

ARI Fleet Lease Trust 2014-A

--Class A-2 notes at 'AAAsf'; Outlook Stable;

--Class A-3 notes at 'AAAsf'; Outlook Stable.

The ARI Fleet Lease Trust 2013-A and ARI Fleet Lease Trust 2014-A pool have collateral characteristics and risks similar to corporate collateralized debt obligations (CDOs) and auto lease securitizations. As such, Fitch used elements of the rating methodologies detailed in the criteria for both of these asset classes which include 'Global Rating Criteria for Corporate CDOs' dated July 2014 and 'Criteria for Rating U.S. Auto Lease ABS' dated April 2014. For detail regarding the application of these criteria, please refer to the ARI Fleet Lease Trust 2013-A (US ABS) and ARI Fleet Lease Trust 2014-A (US ABS) presale reports available on 'www.fitchratings.com'.

KEY RATING DRIVERS:

The affirmation of the notes reflects the stable performance of the underlying lease receivables as evidenced by low delinquency and loss rates, as well as increasing support provided by credit enhancement.

As compared to the transaction's inception, the obligor and industry concentrations remain similar. The current pools maintain a strong concentration of investment grade obligors, consistent since close. Fitch's analysis of ARI Fleet Lease Trust 2013-A and ARI Fleet Lease Trust 2014-A incorporates the derivation of net loss expectations utilizing its proprietary Portfolio Credit Model, the results of which continue to support the assigned ratings.

Fitch will continue to monitor economic conditions and their impact and the trust level performance variables and update the ratings accordingly.

RATING SENSITIVITY:

Unanticipated increases in the frequency of defaults could produce default levels higher than the projected base case default proxy and impact available default coverage and multiples levels. Lower default coverage could impact ratings and Rating Outlooks, depending on the extent of the decline in coverage. In Fitch's initial review of the transaction, the notes were found to have limited sensitivity to changes in obligor credit profiles and recovery rates associated with the high concentration of truck collateral in the pool. A material deterioration in performance would have to occur within the asset pool to have potential negative impact on the outstanding ratings.

For further detail on the rating sensitivity analysis, please refer to Fitch's presale titled 'ARI Fleet Lease Trust 2013-A (US ABS)' and 'ARI Fleet Lease Trust 2014-A (US ABS)' available at 'www.fitchratings.com'.

Individual Representations, Warranties, and Enforcement Mechanisms reports are available for all structured finance transactions initially rated on or after Sept. 26, 2011 at 'www.fitchratings.com'.

Additional information is available at 'www.fitchratings.com'.

The information used to assess these ratings was sourced from the issuer, periodic trustee reports, note valuation reports, and the public domain.

Applicable Criteria and Related Research:

--'Criteria for Rating U.S. Auto Lease ABS' dated April 2014;

--'Criteria Rating Criteria for Corporate CDOs' dated July 2014;

--'Global Structured Finance Rating Criteria' dated August 2014;

--'Representations, Warranties, and Enforcement Mechanisms in Global Structured Finance Transactions' dated April 17, 2012;

--'ARI Fleet Lease Trust 2013-A (US ABS)' Dated March 2013;

--'ARI Fleet Lease Trust 2013-A - Appendix' dated March 2013;

--'ARI Fleet Lease Trust 2014-A (US ABS)' Dated March 2014;

--'ARI Fleet Lease Trust 2014-A - Appendix' dated March 2014.

Applicable Criteria and Related Research:

ARI Fleet Lease Trust 2013-A (US ABS)

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=704306

ARI Fleet Lease Trust 2013-A -- Appendix

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=704373

Representations, Warranties and Enforcement Mechanisms in Global Structured Finance Transactions

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=799248

Global Rating Criteria for Corporate CDOs

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=753057

Criteria for Rating U.S. Auto Lease ABS

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=746763

Global Structured Finance Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=754389

ARI Fleet Lease Trust 2014-A -- Appendix

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=743177

ARI Fleet Lease Trust 2014-A (US ABS)

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=743115

Additional Disclosure

Solicitation Status

http://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=981696

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE.

Fitch Ratings
Surveillance Analyst
Eugene Kushnir
Associate Director
+1-212-908-0830
Fitch Ratings, Inc.
33 Whitehall St.
New York, NY 10004
or
Committee Chairperson
Du Trieu
Senior Director
+1-312-368-2091
or
Media Relations:
Sandro Scenga, New York, +1 212-908-0278
Email: [email protected]

Source: Fitch Ratings

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Top 7 AC Repair Companies Kansas City MO 2026: All 4 One Heating and Cooling Earns #1 Spot for Reliable Emergency AC Repair Services
• BIGG Digital Assets Announces Name Change to Surge Digital Inc. and Share Consolidation
• Real and RE/MAX Holdings Announce Real's Receipt of Court Approval of Proposed Arrangement in Connection with Proposed Combination