DBRS Assigns Provisional Ratings to CIG Auto Receivables Trust 2016-1

DBRS, Inc. (DBRS) has today assigned provisional ratings to the following classes issued by CIG Auto Receivables Trust 2016-1 (CIGAR 2016-1):

-- Series 2016-1, Class A rated A (sf)
-- Series 2016-1, Class B rated BBB (sf)
-- Series 2016-1, Class C rated BB (sf)

The ratings are based on a review by DBRS of the following analytical considerations:
-- The Transaction’s capital structure and the form and sufficiency of available credit enhancement.
-- CIGAR 2016-1 has the ability to withstand stressed cash flow assumptions and repay investors according to the terms under which they have invested. The rating addresses the timely payment of interest on a monthly basis and the ultimate payment of principal.
-- Quality and experience of CIG management, as well as financial wherewithal made available to CIG by its ownership.
-- The capabilities of the transaction parties regarding originations, underwriting and servicing.
-- The credit quality of the collateral.
-- DBRS analyzed and for vintages that are not paid down in full, forecasts CNLs in its development of an expected loss for CIGAR 2016-1.
-- The presence of a hot backup servicer in the transaction.
-- The legal structure and presence of legal opinions that will address the true sale of the assets to the Issuer; the non-consolidation of the special-purpose vehicle with CIG; that the trust has a valid first-priority security interest in the assets; and consistency with the DBRS Legal Criteria for U.S. Structured Finance.

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

The applicable methodology is Rating U.S. Retail Auto Loan Securitizations, which can be found on our website under Methodologies.

The full report providing additional analytical detail is available by clicking on the link or by contacting us at info@dbrs.com.