DBRS Confirms Notes issued by TAGUS – STC, S.A. (EnergyOn No. 1)

DBRS, Inc. (DBRS) has today confirmed the Class A1 Notes issued by TAGUS – SOCIEDADE DE TITULARIZAÇÃO DE CRÉDITOS, S.A. (EnergyOn No. 1) at ‘A’ (low) (sf) and removed the notes from Under Review with Negative Implications.

Based on the DBRS Portuguese Electricity Tariff methodology, the rating of the above transaction is limited to a three notch increase above the current local currency sovereign rating of the Republic of Portugal. DBRS has confirmed Portugal’s sovereign rating of BBB (low) with the Negative Trend maintained (see press release issued on November 30, 2012 “DBRS Confirms Portugal at BBB (low) with Negative Trend”).

For a description of the DBRS Portuguese Electricity Tariff methodology, please refer to the link to the methodology.

Please also refer to the DBRS Commentary entitled The Effects of Sovereign Risk on Securitisations in the Euro Area by clicking the link below.

Notes:
The principal methodologies applicable are:
• Rating Portuguese Electricity Tariff Securitisations
• Legal Criteria for European Structured Finance Transactions
• Operational Risk Assessment for European Structured Finance Servicers
• Unified Interest Rate Model Methodology for European Securitisations
• Master European Structured Finance Surveillance Methodology
• Swap Criteria for European Structured Finance Transactions

The sources of information used for this rating include parties involved in the rating, including but not limited to investor remittance reports. DBRS considers the information available to it for the purposes of this rating action was of satisfactory quality.

For additional information on these ratings, please refer to the linking document.

This credit rating has been issued outside the European Union (EU) and may be used for regulatory purposes by financial institutions in the EU.

This rating is endorsed by DBRS Ratings Limited for use in the European Union.

Lead Analyst: Mark Zelmanovich
Rating Committee Chair: Claire Mezzanotte
Initial Rating Date: April 8, 2011