Fitch Affirms MARC Finance M578 Notes
JPY1.5bn* Series M578 repackaged notes due 2017 affirmed at 'A-sf'; Outlook Stable
*as of 27 January 2015
KEY RATING DRIVERS
The rating reflects the first-to-default risk of the two risk-presenting entities - the collateral issuer (A/Stable) and the swap counterparty, BNP Paribas (A+/Stable), London branch.
The notes have been affirmed as there have been no changes to the Long-Term Issuer Default Ratings (IDR) of the two entities since the previous rating action in February 2014. The Outlook is Stable, reflecting the same status on the two entities.
RATING SENSITIVITIES
The ratings of the notes are sensitive to changes in the Long-Term IDRs of the two risk-presenting entities. Based on the applicable criteria, a one-notch downgrade of the collateral issuer would result in a one-notch downgrade of the notes, while a one-notch downgrade of the swap counterparty would not affect the ratings on the notes. A one-notch upgrade of either party would lead to a one-notch upgrade of the notes. This sensitivity only describes the matrix-implied rating impact and it should not be used as an indicator of possible future performance.
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