OREANDA-NEWS. Fitch Ratings-Frankfurt/London-07 April 2015: Fitch Ratings has affirmed the notes of S-Core 2007-1 GmbH as follows:

Class A1 secured notes (ISIN: XS0312778680): paid in full
Class A2 secured notes (ISIN: XS0312801763): paid in full
Class B secured notes (ISIN: XS0312778920): paid in full
EUR7.4m class C secured notes (ISIN: XS0312779068): affirmed at 'Csf' ; RE: revised to 5% from 0%
EUR12.4m class D secured notes (ISIN: XS0312779142): affirmed at 'Csf'; RE: 0%
EUR19.7m class E secured notes (ISIN: XS0312779225): affirmed at 'Csf'; RE: 0%

The transaction is a cash securitisation of certificates of indebtedness (Schuldscheindarlehen) to German SMEs originated and serviced by Deutsche Bank AG (A+/Negative/F1+).

KEY RATING DRIVERS

S-Core 2007-1 reached scheduled maturity in April 2014. The companies' remaining Schuldschein loans that were securitised in the pool and which were not restructured or extended previously became due shortly before the scheduled maturity date. The class C, D and E notes are still outstanding. As of the last investor report (January 2015), two companies remained in the portfolio. According to the manager, a waiver of debt has been agreed with one of the companies and no further repayments will be received.

The maturity of the other company's loan has been extended. As of the January 2015 report, the loan's outstanding notional equalled EUR1.5m. Fitch does not have information on the repayment prospects of this company, and given the unsecured nature of the loan, the agency does not expect a full repayment of the outstanding class C notes. Further, Fitch expects that class D and E noteholders will not receive any repayment. This is reflected in the 'Csf' ratings.

For the class C notes Fitch has revised its recovery estimate (RE) to 5% from 0% to reflect possible repayments from the non-performing company that might still occur until the legal final maturity in April 2016. For the remaining notes the REs were maintained at 0%.

RATING SENSITIVITES

After scheduled maturity, the transaction is primarily sensitive to repayments from the companies with defaulted or restructured loans.

Fitch assigns RE to all notes rated 'CCCsf' or below. REs are forward-looking recovery estimates, taking into account Fitch's expectations for principal repayments on a distressed structured finance security.

Fitch has checked the consistency and plausibility of the information it has received about the performance of the asset pool and the transaction. There were no findings that were material to this analysis. Fitch has not reviewed the results of any third party assessment of the asset portfolio information or conducted a review of origination files as part of its ongoing monitoring.

Fitch did not undertake a review of the information provided about the underlying asset pool ahead of the transaction's initial closing. The subsequent performance of the transaction over the years is consistent with the agency's expectations given the operating environment and Fitch is therefore satisfied that the asset pool information relied upon for its initial rating analysis was adequately reliable.

Overall Fitch's assessment of the information relied upon for the agency's rating analysis according to its applicable rating methodologies indicates that it is adequately reliable.