DBRS Assigns Provisional Ratings to E-CARAT 8

DBRS, Inc. (DBRS) has today assigned provisional ratings of AAA (sf) and AA (sf) to the Class A and Class B Notes, respectively, issued by E-CARAT S.A., acting for and on behalf of its Compartment 8. The receivables securitised consist of primarily consumer loan contracts related to the financing of new and used motor vehicles.

The ratings are based on DBRS’s review of the following analytical considerations:

-- Transaction capital structure and form and sufficiency of available credit enhancement.
-- Relevant credit enhancement in the form of a cash reserve account and various forms of subordination, including the Class B Notes and a Subordinated Note. Credit enhancement levels are sufficient to support the DBRS-projected expected cumulative net loss assumption under various stress scenarios at a AAA (sf) standard for the Class A Notes and a AA (sf) standard for the Class B Notes.
-- The ability of the transaction to withstand stressed cash flow assumptions and repay investors according to the terms under which they have invested.
-- The transaction parties’ capabilities with respect to originations, underwriting, servicing and financial strength.
-- The credit quality of the collateral and ability of the Servicer to perform collection activities on the collateral.

Notes:
All figures are in euros unless otherwise noted.

The applicable methodologies are Legal Criteria for European Structured Finance Transactions (December 2014), Derivative Criteria for European Structured Finance Transactions (October 2014), Rating European Consumer and Commercial Asset-Backed Securitisations (December 2014), Operational Risk Assessment for European Structured Finance Servicers (January 2015) and Unified Interest Rate Model for European Securitisations (January 2013), which can be found on dbrs.com under Methodologies.

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