2011-11-22
Kroll Bond Rating Agency (KBRA) seeks public comment on its Auto Loan ABS Rating Methodology released today which provides detailed insight into the rating methodology of prime and subprime U.S. auto loan asset-backed securities (ABS). KBRA's rating of an auto loan ABS transaction addresses the quality and expected performance of the underlying collateral; the originator and servicer’s business model and operational strength; and the transaction terms including the capital structure, credit enhancement, and legal structure.
KBRA’s approach emphasizes a focus on prevailing industry and credit trends, the integration of originator and servicer evaluations with the transaction analysis, and timely post-issuance surveillance of pool performance, servicer operations and market conditions. "With this Auto Loan Methodology, we continue to provide complete transparency into our methodologies and processes which present market participants with our strong analytical approach and reliable ratings followed by robust surveillance", said James Nadler, President.
Comments should be submitted to abs-auto-comments@krollbondratings.com on or before December 19, 2011. Following the review and evaluation of all submissions, KBRA will publish a final version of this report. The Auto Loan ABS Rating Methodology can be found at www.krollbondratings.com.
Contact:
Rosemary Kelley
Senior Director
917-281-3296
rkelley@krollbondratings.com
Eric Williamson
Senior Managing Director
917-281-3280
ewilliamson@krollbondratings.com
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