DBRS Assigns and Confirms the Ratings to Notes Issued by Cars Alliance Auto Loans France Master

DBRS Ratings Limited (DBRS) has assigned and confirmed the AAA (sf) ratings to the following Series of Class A Notes issued by Cars Alliance Auto Loans France Master (the “Issuer”):
• EUR 38.3 million Series 2012-15 maturing 27 August 2013
• EUR 38.3 million Series 2012-16 maturing 25 November 2013
• EUR 100.0 million Series 2013-3 maturing 25 February 2014
• EUR 135.0 million Series 2013-7 maturing 27 May 2014
• EUR 78.7 million Series 2013-8 maturing 25 July 2013

DBRS also discontinues the AAA (sf) ratings to the Series 2012-1, Series 2012-2, Series 2012-3, Series 2012-4 and Series 2012-5 Class A Notes due to full repayment.

The rating confirmation follows a review of the performance of the underlying receivables and the signing of the amendment agreements to the transaction on 5 July 2013.

The amendment agreements removed the weighted average seasoning trigger as a portfolio revolving condition, and changed the Commingling Reserve Rating Condition definition. The updated Commingling Reserve Rating Condition will reference the rating of RCI Banque rather than the Servicer (DIAC SA) so long as RCI Banque remains the majority shareholder of the Servicer. DIAC SA is currently 100% owned by RCI Banque. The Commingling Reserve Rating Condition was previously breached in January 2013 and will continue to be breached following the amendment. As a result, the Commingling Reserve Fund has been funded and is at the required level.

The underlying receivables are performing within DBRS expectations and there is sufficient Class A credit enhancement available to support DBRS projected net losses at a AAA (sf) level.

The Issuer is a master trust securitisation backed by a pool of receivables which consists of auto loans related to new and used motor vehicles originated in France by DIAC SA, a French subsidiary RCI Banque. The transaction revolving period extends until the July 2016 payment date, subjectto certain portfolio revolving conditions being met. During the revolving period the Issuer may acquire additional receivables and issue further Series of Notes with different expected maturities based on the amortisation profile of the additional receivables. The transaction originally closed on 25 May 2012. Since the transaction closed, replenishment of the underlying receivables has met the portfolio revolving conditions on each payment date.

Société Générale, S.A. serves the role of Account Bank for the transaction. Société Générale complies with the DBRS legal criteria for the ratings of the Class A Notes.

Notes:
All figures are in Euros unless otherwise noted.

The principal methodologies applicable are:
• Rating European Consumer and Commercial Asset-Backed Securitisations
• Legal Criteria for European Structured Finance Transactions
• Operational Risk Assessment for European Structured Finance Servicers
• Master European Structured Finance Surveillance Methodology

These can be found on dbrs.com under Methodologies. For a more detailed discussion of sovereign risk impact on Structured Finance ratings, please refer to DBRS commentary “The Effect of Sovereign Risk on Securitisations in the Euro Area”.

The sources of information used for this rating include monthly investor reports provided by EuroTitrisation. DBRS considers the information available to it for the purposes of providing this rating was of satisfactory quality

The most recent rating action on this transaction took place on 25 May 2012, when the final rating was assigned.

The individual linking document for this transaction is located at http://www.dbrs.com/research/259032/linking-document-cars-alliance-auto-loans-france-master.pdf

For further information on DBRS’s historic default rates published by the European Securities and Markets Administration (“ESMA”) in a central repository see http://cerep.esma.europa.eu/cerep-web/statistics/defaults.xhtml.

Ratings assigned by DBRS Ratings Limited are subject to EU regulations only.

The lead analyst responsibilities for this transaction have been transferred to Keith Gorman.

Initial Lead Analyst: Bruno Franco
Initial Rating Date: 25 May 2012
Rating Committee Chair: Claire Mezzanotte

Lead Surveillance Analyst: Keith Gorman
Rating Committee Chair: Mike Babick
Office: DBRS Ratings Limited, 1, Minster Court, Mincing Lane, London EC3R 7AA