Press Release

DBRS Morningstar Assigns BBB (high) Credit Rating to EFN’s US$750 million 6.319% Senior Notes due 2028, Trend Positive

Non-Bank Financial Institutions
December 04, 2023

DBRS, Inc. (DBRS Morningstar) assigned a credit rating of BBB (high) to the US$750 million 6.319% Senior Unsecured Notes due December 4, 2028 (the Notes) issued by Element Fleet Management Corp. (EFN or the Company). The net proceeds from the Notes will be used to repay all of the Company’s outstanding indebtedness under its BMO Term Facility and CIBC Term Facility and to pay related fees and expenses, and utilized for working capital and general corporate purposes. The trend on the Notes is Positive.

ENVIRONMENTAL, SOCIAL, GOVERNANCE CONSIDERATIONS
There were no Environmental/Social/Governance factors that had a significant or relevant effect on the credit analysis.

A description of how DBRS Morningstar considers ESG factors within the DBRS Morningstar analytical framework can be found in the DBRS Morningstar Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings [July 4, 2023] https://www.dbrsmorningstar.com/research/416784/dbrs-morningstar-criteria-approach-toenvironmental-social-and-governance-risk-factors-in-credit-ratings.

Notes:
All figures are in Canadian Dollars unless otherwise noted.

The principal methodology is the Global Methodology for Rating Non-Bank Financial Institutions [September 1, 2023] https://www.dbrsmorningstar.com/research/420144/global-methodology-for-rating-non-bank-financial-institutions. In addition, DBRS Morningstar uses the DBRS Morningstar Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings https://www.dbrsmorningstar.com/research/416784/dbrs-morningstar-criteria-approach-to-environmental-social-and-governance-risk-factors-in-credit-ratings in its consideration of ESG factors

The credit rating methodologies used in the analysis of this transaction can be found at: https://www.dbrsmorningstar.com/about/methodologies.

The primary sources of information used for this credit rating include Morningstar Inc. and Company Documents. DBRS Morningstar considers the information available to it for the purposes of providing this credit rating was of satisfactory quality.

The credit rating was initiated at the request of the rated entity.

The rated entity or its related entities did participate in the credit rating process for this credit rating action.

DBRS Morningstar had access to the accounts, management and other relevant internal documents of the rated entity or its related entities in connection with this credit rating action.

This is a solicited credit rating.

The conditions that lead to the assignment of a Negative or Positive trend are generally resolved within a 12-month period. DBRS Morningstar’s outlooks and credit ratings are under regular surveillance.

For more information on this credit or on this industry, visit www.dbrsmorningstar.com.

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