OREANDA-NEWS. A.M. Best has placed under review with implications the issue ratings on three tranches of securities issued by 321 Henderson Receivables V LLC (Series 2008-3) (the issuer), a special purpose Nevada limited liability company: the issue rating of “aaa” on $74,646,000 Class A-1 8.00% Fixed Rate Asset Backed Notes, Series 2008-3 under review with negative implications; the issue rating of “aaa” on $9,389,000 Class A-2 8.00% Fixed Rate Asset Backed Notes, Series 2008-3 under review with negative implications; and the issue rating of “bb+” on $4,695,000 Class B 10.00% Fixed Rate Asset Backed Notes, Series 2008-3 under review with developing implications.

The rating actions are attributed to the release of “Best’s Insurance-Linked Securities & Structures Methodology,” which includes updated versions to its default matrices. The “Best’s Idealized Default Rates of Insurers” and “Best’s Idealized Default Matrix” have been replaced by the “Best’s Idealized Issuer Default Matrix” and “Best’s Idealized Issue Default Matrix,” respectively. The newly issued “Best’s Idealized Issuer Default Matrix” may have an impact on the estimated default probabilities of the notes, which are derived from the stochastic modeling incorporating default rates of insurance carriers providing the payments. In addition, the new “Best’s Idealized Issue Default Matrix” also may have an impact on the ratings of the notes.

The ratings will remain under review until A.M. Best completes its assessment, using the two updated matrices, of the issuer’s ability to fulfill its financial obligations.