相關產業分類
Fitch Ratings-Taipei/Hong Kong/Singapore-12 June 2008: Fitch Ratings has today affirmed the 'F1(twn)' National Short-term rating on the New Taiwanese Dollar (NTD) 4.81 billion asset-backed Commercial Paper (CP), issued by Taiwan Life 2006-1 Securitisation Special Purpose Trust 1 ("the SPT").
The SPT was established in 2006 to issue NTD6.48bn CP via an asset-backed CP programme and NTD5.6bn of Equity Term Notes. At closing, the NTD12.08bn static portfolio comprised 22 NTD-denominated Taiwanese corporate and financial institution bonds and debentures.
The principal driver of the rating affirmation is the reduction in outstanding CP. Four assets have now fully amortised and thus the remaining portfolio notional has been reduced to NTD10.38bn per the March 2008 Trustee Report. When also including the additional amortisation of two assets in April 2008, a total of 31.8% of the remaining asset pool will mature by the end of 2008, which will further reduce the outstanding notional of the CP programme to NTD1.41bn from NTD6.48bn at closing .
The rating affirmation is also based on the credit quality of the remaining portfolio, with a largely unchanged Weighted Average Rating coupled with the adequate level of cash reserve (NTD216 million). Liquidity during the entire programme life is supported by an unconditional purchase agreement from China Bills Finance Corporation (Long- and Short-term foreign currency Issuer Default Rating 'BBB'/'F3', National Long- and Short-term rating 'A(twn)'/'F1(twn)'). Whilst this mechanism can mitigate some of the re-financing risks of the programme, the CP is as a result credit-linked to the underwriter. The program is scheduled to terminate in December 2014.
Fitch released updated criteria on April 30, 2008 for Corporate CDOs and, at that time, noted it would be reviewing its ratings accordingly to establish consistency for existing and new transactions. As part of this review, Fitch makes standard adjustments for any names on RWN or Outlook Negative, reducing such ratings for default analysis purposes by two and one notch, respectively. Fitch has noted its review will be focused first on ratings most exposed to risks it has highlighted in its updated criteria. Committees are also reviewing transactions that are least impacted by the new criteria and/or portfolio migration.
Contacts: David Wong, Hong Kong, +852 2263 9927/
david.wong@fitchratings.com; Jackie Lee, Taiwan, +8862 8175 7613 /
jackie.lee@fitchratings.com; Rachel Hardee, Hong Kong, 852 2263 9918
Media Relations: Lisa Lim, Singapore, Tel: +65 6796 7214.
Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, 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.
