DBRS Confirms Ratings on Senior Notes Issued by CarFin Finance International Limited

DBRS, Inc. (DBRS) has today confirmed the A (sf) rating on the Senior Notes issued by CarFin Finance International Limited (the Issuer).

The rating confirmation is based on DBRS’s review of the following analytical considerations:

-- Transaction amendments that provide for an increase in the maximum amount of Senior Note issuance, extend the expected maturity and amend the enhancement matrix for each country financed by the Issuer.
-- Relevant credit enhancement in the form of a letter of credit and subordination;
-- DBRS review of historical used vehicle market data in the European Union (EU) to determine the sufficiency of available credit enhancement relative to the assumed market value stresses in the event of a fleet liquidation;
-- DBRS review of the legal regime in each jurisdiction to determine the sufficiency of the liquid portion of the credit enhancement relative to the assumed bankruptcy stay and liquidation periods in each jurisdiction in the event of a French fleet liquidation;
-- The transaction parties’ financial strength and capabilities with respect to managing rental car operations; and
-- Hedging provisions in the transaction that are consistent with DBRS criteria for an (A) (sf) rating.

Notes:
All figures are in euros unless otherwise noted.

The principal methodology applicable is the Rating U.S. Rental Car Securitizations, which can be found on www.dbrs.com at http://www.dbrs.com/about/methodologies. Other methodologies and criteria referenced in this transaction are listed at the end of this press release.

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” on: http://www.dbrs.com/industries/bucket/id/10036/name/commentaries/.

The sources of information used for this rating include monthly investor reports and certain historical rental fleet information provided by Avis Budget EMEA Limited. DBRS considers the information available to it for the purposes of providing this rating was of satisfactory quality.

DBRS does not audit the information it receives in connection with the rating process, and it does not and cannot independently verify that information in every instance.

This rating concerns an existing financial instrument.

Information regarding DBRS ratings, including definitions, policies and methodologies are available on www.dbrs.com.

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

This credit rating has been issued outside the EU and is endorsed by DBRS Ratings Limited. It may be used for regulatory purposes by financial institutions in the EU.

Initial Lead Analyst: Michael Babick
Initial Rating Date: 8 August 2013
Initial Rating Committee Chair: Chuck Weilamann

Last Rating Date: 15 April 2015
Lead Surveillance Analyst: Jayce Fox
Rating Committee Chair: Chuck Weilamann

DBRS, Inc.
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The rating methodologies and criteria used in the analysis of this transaction can be found at: http://www.dbrs.com/about/methodologies.

-- Rating U.S. Rental Car Securitizations.