DBRS Assigns AAA (sf) Rating to the Advances of Cerberus AUS Levered LP Revolving Credit Facility

DBRS, Inc. (“DBRS”) has today assigned a rating of AAA (sf) to the Revolving Credit Facility (the “Facility”) contemplating advances to be made by the lenders thereunder up to a total commitment of $65,000,000 pursuant to the Credit Agreement dated as of December 17, 2012. The Facility is collateralized primarily by a portfolio of U.S. middle market corporate loans and other corporate obligations. The Facility is managed by CAL I GP LLC, an affiliate of Cerberus Capital Management, L.P. The DBRS rating addresses Cerberus AUS Levered LP’s ability to make timely payments of interest and ultimate payment of principal on or before the Final Maturity Date of the Facility.

The rating reflects the following:

(1) The Credit Agreement dated December 17, 2012.

(2) The integrity of the transaction structure.

(3) DBRS’s assessment of the portfolio quality.

(4) Adequate credit enhancement to withstand projected collateral loss rates under various cash flow stress scenarios.

(5) DBRS’s assessment of the origination, servicing and CLO management capabilities of Cerberus Capital Management, L.P.

To assess portfolio credit quality, DBRS provides a credit estimate for each U.S. non-financial corporate obligor in the portfolio. Credit estimates are not ratings; rather they represent a model-driven default probability for each obligor that is used in assigning a rating to the Facility.

The principal methodology is Rating Methodology for CLOs and CDOs of Large Corporate Credit, which can be found on our website under Methodologies.

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

Note:
All figures are in U.S. dollars unless otherwise noted.