Fitch to Rate Nissan Master Owner Trust Receivables 2013-A Issues Presale
CHICAGO -- February 19, 2013
Fitch Ratings expects to rate Nissan Master Owner Trust Receivables (NMOTR),
series 2013-A as follows:
--$600,000,000 class A notes 'AAAsf', Outlook Stable.
Fitch's stress and rating sensitivity analysis are discussed in the presale
report released today, 'Nissan Master Owner Trust Receivables 2013-A'
available at 'www.fitchratings.com'.
KEY RATING DRIVERS
Good Quality of Receivables: The receivables backing 2013-A include over 90%
new vehicles and are mainly Nissan and Infiniti new and used vehicles, as well
as a small portion of those of other manufacturers.
Asset Concentrations: Dealers are subject to specific concentration limits,
mitigating the risk of individual dealer defaults and losses. Furthermore, the
exposure to individual vehicle types, dealer credit ratings, and state
concentrations are mitigated with concentration limits.
Strong Dealer Network: Based on a review of dealer financial metrics and
NMAC's internal dealer risk ratings (categorized into four distinct groups),
the financial health of the participating dealer network is currently viewed
as strong, with the majority of dealers profitable in 2012.
Strong Trust Performance: NMOTR has continued to experience positive trends in
overall performance, including elevated monthly payment rates (MPRs) and asset
yields, low agings and delinquencies, and no dealer defaults and trust losses.
Sufficient Credit Enhancement: Initial credit enhancement (CE) for the class A
notes is 19.90%, a decline from the prior series (21.10%), consisting of
19.50% overcollateralization (OC) and a 0.40% reserve (of the initial
collateral balance). Structural features, including early amortization
triggers, mitigate risks stemming from dealer/manufacturer
Consistent Origination and Servicing: NMAC demonstrates adequate abilities as
an originator, underwriter, and servicer, as evidenced by the historical
delinquency and loss performance of NMOTR.
Legal Structure Integrity: The legal structure of the transaction provides
that a bankruptcy of NMAC would not impair the timeliness of payments on the
Additional information is available at 'www.fitchratings.com'. The ratings
above were solicited by, or on behalf of, the issuer, and therefore, Fitch has
been compensated for the provision of the ratings.
Applicable Criteria and Related Research:
--'Global Rating Criteria for Dealer Floorplan ABS' (Jan. 22, 2013);
--'Global Structured Finance Rating Criteria' (June 6, 2012).
Applicable Criteria and Related Research: Nissan Master Owner Trust
Receivables, Series 2013-A (US ABS)
Global Rating Criteria for Dealer Floorplan ABS
Global Structured Finance Rating Criteria
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
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 Ratings, Inc., 70 W Madison St, Chicago, IL 60611
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