OREANDA-NEWS. Fitch Ratings has affirmed seven classes of Credit Suisse First Boston Mortgage Securities Corp. (CSFB) commercial mortgage pass-through certificates series 2001-CF2. A detailed list of rating actions follows at the end of this press release.

KEY RATING DRIVERS

The affirmation of class G reflects high credit enhancement, the expected continued paydown from amortization, and defeasance. The affirmation of class H reflects the high likelihood of losses to the class.

As of the March 2015 distribution date, the pool's aggregate principal balance has been reduced by 98.5% to \$24.6 million from \$1.66 billion at issuance. The transaction is concentrated with only eight loans remaining; two are in special servicing, including the first (51.6%) and third largest loans (8.2%) in the pool. The second largest loan is defeased (26.9%). Interest shortfalls are currently affecting classes H through O. Fitch modeled losses of 42.9% of the remaining pool; expected losses on the original pool balance total 6.5%, including \$97.6 million (5.9% of the original pool balance) in realized losses to date.

The largest contributor to expected losses is a real estate owned (REO) a 172,640 square foot (sf) office property located in Jenkintown, PA (51.6% of the pool. The loan transferred to the special servicer in May 2013 and has been REO since June 2014. As of Sept. 30, 2014, the property was 71.6% occupied with a servicer-reported debt service coverage ratio (DSCR) well below 1.0x. Per the special servicer, the sale of the property will be considered after further lease up is achieved.

The next largest contributor to expected losses is a specially-serviced loan (8.1% of the pool) secured by a 151-pad five property manufactured housing community located in Vermont. The loan originally transferred to the special servicer in 2003 due to a dispute over a partial release. A foreclosure sale date is scheduled within the next week. As of February 2015, average occupancy and DSCR were a reported at 70% and 0.20x, respectively.

The remaining pool consists of four retail properties (12.4%), all of which are leased to Rite Aid (rated 'B' as of March 23, 2015 by Fitch), and one multifamily property (1%), all in tertiary locations.

RATING SENSITIVITY

The Rating Outlook on class G remains Stable due to increasing credit enhancement from continued pay down and full repayment supported by defeased collateral. Further upgrades to class G are not likely while larger loans remain in special servicing due to the risk of potential interest shortfalls. Fitch will not assign or maintain 'AAAsf' or 'AAsf' ratings for notes that it believes have a high level of vulnerability to interest shortfalls or deferrals, even if permitted under the terms of the documents (see 'Criteria for Rating Caps and Limitations in Global Structured Finance Transactions', dated May 28, 2014, for more details). The rating of class H will be downgraded to 'Dsf' should losses be realized.

Fitch affirms the following classes:

--\$1.7 million class G at 'Asf'; Outlook Stable;
--\$16.4 million class H at 'Csf'; RE 20%;
--\$5.4 million class J at 'Dsf'; RE 0%;
--\$0 class K at 'Dsf'; RE 0%;
--\$0 class L at 'Dsf'; RE 0%;
--\$0 class M at 'Dsf'; RE 0%;
--\$0 class N at 'Dsf'; RE 0%.

The class A-1, A-2, A-3, A-4, A-CP, B, C, D, E and F certificates have paid in full. Fitch does not rate the class O, NM-1, NM-2 and RA certificates. Fitch previously withdrew the rating on the interest-only class A-X certificates.

Additional information on Fitch's criteria for analyzing U.S. CMBS transactions is available in the Dec. 10, 2014 report, 'U.S. Fixed-Rate Multiborrower CMBS Surveillance and Re-REMIC Criteria', which is available at 'www.fitchratings.com' under the following headers:

Structured Finance >> CMBS >> Criteria Reports.