DBRS Assigns Provisional Ratings to World Financial Network Credit Card Master Note Trust Series 2017-C

DBRS, Inc. (DBRS) assigned provisional ratings to the following classes of notes (the Series 2017-C Notes) issued by World Financial Network Credit Card Master Note Trust (the Issuing Entity) as follows:

-- $300,000,000 Class A rated AAA (sf)
-- $23,000,000 Class M rated AA (sf)
-- $15,000,000 Class B rated A (high) (sf)

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

-- The form and sufficiency of available credit enhancement.
-- DBRS has performed an operational risk review to assess the capability of Comenity Bank’s (Comenity) origination and servicing functions in Columbus, Ohio. DBRS deems Comenity to be an acceptable originator and servicer.
-- The performance and quality of the credit card receivables pool.
-- The legal structure and presence of legal opinions that will address the true sale of the assets to the Issuing Entity, the non-consolidation of the special-purpose vehicle with Comenity, the fact that the trust has a valid first-priority security interest in the assets and the consistency with DBRS’s “Legal Criteria for U.S. Structured Finance.”

The ratings on the Series 2017-C Notes reflect sufficient credit enhancement levels for each of the ratings, the credit quality of the collateral loan pool, the historical portfolio performance and the effectiveness of the dual waterfall payment structure and legal structure. The ratings address the timely payment of interest and full payment of principal by the legal final maturity date. There are currently 11 term series and one variable funding note outstanding prior to the issuance of the Series 2017-C Notes. The total invested amount of all currently outstanding term notes is $5.8 billion as of September 30, 2017.

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

The principal methodology is Rating U.S. Credit Card Asset-Backed Securities, which can be found on dbrs.com under Methodologies.

The rated entity or its related entities did participate in the rating process. DBRS had access to the accounts and other relevant internal documents of the rated entity or its related entities.

Please see the attached appendix for additional information regarding the sensitivity of the assumptions used in the rating process.