Press Release

DBRS Upgrades Rating on GM Financial Automobile Leasing Trust 2017-PP3 to AAA (sf)

Auto
July 02, 2019

DBRS, Inc. (DBRS) upgraded its rating on the 2017-PP3 Note issued by GM Financial Automobile Leasing Trust 2017-PP3 to AAA (sf) from AA (high) (sf).

The rating upgrade reflects the following key analytical considerations:

(1) Transaction capital structure, current ratings and form and sufficiency of available credit enhancement.
(2) The transaction parties’ capabilities with regard to origination, underwriting and servicing.
(3) The credit quality of the collateral pool and historical performance as of May 2019.

The transaction is a securitization of U.S. auto leases with a solitary class of rated securities. The deal benefits from credit enhancement consisting of overcollateralization (OC) and a reserve account. As of the May 2019 Distribution Date, OC was at its target; the reserve account was fully funded to its required level; credit enhancement was 38.23%; the Indenture Note factor was 33.79%; the pool factor of the Aggregate Securitization Value of the collateral was 45.91%; and delinquencies aged 30+ days were 1.29% and delinquencies aged 60+ days were 0.43%. Cumulative credit losses were approximately $11,819 and the cumulative residual gain on returned vehicles was $22,265,331.

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

The principal methodology is DBRS Master U.S. ABS Surveillance Methodology, which can be found on dbrs.com under Methodologies & Criteria.

The rated entity or its related entities did not participate in the rating process for this rating action. DBRS did not have access to the accounts and other relevant internal documents of the rated entity or its related entities in connection with this rating action.

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

This rating is endorsed by DBRS Ratings Limited for use in the European Union. The following additional regulatory disclosures apply to endorsed ratings:

The last rating action on this transaction took place on July 5, 2018, when DBRS upgraded the rating on the 2017-PP3 Note to AA (high) (sf) from A (sf).

For further information on DBRS historical default rates published by the European Securities and Markets Authority (ESMA) in a central repository, see: http://cerep.esma.europa.eu/cerep-web/statistics/defaults.xhtml.

Lead Analyst: Jayce Fox, Senior Vice President, U.S. ABS Surveillance – Global Structured Finance
Rating Committee Chair: Tim O’Neil, Managing Director, Head of Canadian Structured Finance – Global Structured Finance
Initial Rating Date: July 6, 2017

For more information on this credit or on this industry, visit www.dbrs.com or contact us at info@dbrs.com.

DBRS, Inc.
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New York, NY 10005 USA

Ratings

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