DBRS Assigns AA Rating to the Class A-R Loans of Garrison Middle Market II LP

DBRS, Inc. (DBRS) has today assigned a rating of AA (sf) to the Class A-R Loans that are contemplated to be issued under the Garrison Middle Market II LP revolving credit facility, up to the Total Class A-R Commitment of $75,000,000, as per the Credit Agreement, dated as of May 26, 2015. The Class A-R Loans will be collateralized primarily by a portfolio of U.S. middle market corporate loans and other corporate obligations. Garrison Middle Market II LP is managed by Garrison Middle Market II GP LLC. The DBRS rating on the Class A-R Loans addresses Garrison Middle Market II LP’s ability to make timely payments of interest and ultimate payment of principal on or before the Stated Maturity (as defined in the Credit Agreement referred to above).

The rating reflects the following:

(1) The Credit Agreement dated May 26, 2015.

(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 collateralized loan obligation management capabilities of Garrison Middle Market II GP LLC.

To assess portfolio credit quality, DBRS provides a credit estimate or internal assessment for each non-financial corporate obligor in the portfolio, not rated by DBRS. 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.

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

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

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