DBRS Finalizes Ratings of CNH Capital Canada Wholesale Trust CW 2006-1, Class A and Class B at AAA and A

Dominion Bond Rating Service (DBRS) has today finalized the ratings of CNH Capital Canada Wholesale Trust (the Trust) CW 2006-1, Class A at AAA and CW 2006-1, Class B at “A” (collectively, the Notes). The Notes will be supported by an ownership interest in a portfolio of dealer floorplan receivables originated by CNH Capital Canada Ltd. and secured by a first perfected security interest in the underlying equipment. During the revolving period, the Trust will acquire additional secured dealer floorplan receivables that meet certain established criteria at closing. The Notes are expected to provide for structured bullet payments via the collection of principal payments captured during an accumulation period. The ratings incorporate the following considerations:

(1) The strong and consistent net loss levels and historically short repayment period of the receivables originated by the Originators. Losses have been as low as 0% and the monthly repayment time frame on the receivables has averaged 17.65% for the period of August 2004 to May 2006.

(2) The high level of credit enhancement supporting the Notes, provided by overcollateralization of 12.36%, cash of 1.50%, initial annual interest support of 2% and additional seller’s interest of 7% for dilution. As well, the CW 2006-1, Class B notes provide additional support of 7.58% for the CW 2006-1, Class A notes.

(3) The repayment of the underlying receivables linked to the earlier of the sale of the equipment or a predetermined amortization schedule based on equipment type. This provides for an enhancement over the structure found in other dealer floorplan financings.

(4) The funding of the portfolio with floating rate notes matching the underlying interest cost base for the prime-based receivables, eliminating the need for a swap to absorb the fixed/floating rate mismatch.

Stress tests that used assumptions including servicer fees and large increases in delinquency and credit losses indicate that the credit enhancement provides sufficient protection to the Notes to warrant the AAA and “A” ratings.

Finalization of the ratings is contingent upon receipt of final documents conforming to information already received.