Fitch Affirms Porsche Innovative Lease Owner Trust 2015-1
KEY RATING DRIVERS
The affirmation of the class A notes reflects loss coverage levels consistent with their current ratings. Hard credit enhancement (CE) has grown for all classes since close and residual performance has produced cumulative gains. The Stable Outlooks reflect Fitch's expectation that the notes will remain sufficiently enhanced to cover stressed credit and residual loss levels consistent with an 'AAAsf' rating.
Unanticipated increases in the frequency of defaults or deterioration in vehicle values could produce loss levels higher than the current expectations and impact available loss coverage. Lower loss coverage could impact ratings and Rating Outlooks, depending on the extent of the decline in coverage.
To date, the transaction has exhibited strong credit and residual performance, inside Fitch's initial expectations with rising loss coverage. Due to the growing CE levels and increased loss coverage afforded to the notes, a substantial deterioration in used vehicle values would have to occur to have a negative impact on the updated ratings.
DUE DILIGENCE USAGE
No third-party due diligence was provided or reviewed in relation to this rating action.
For Fitch's initial Key Rating Drivers, Rating Sensitivities and the full detail analysis for this transaction, please see the New Issue report titled 'Porsche Innovative Lease Owner Trust 2015-1 (US ABS),' dated May 7, 2015.
Fitch has affirmed the following ratings:
--Class A-2 notes at 'AAAsf'; Outlook Stable
--Class A-3 notes at 'AAAsf'; Outlook Stable
--Class A-4 notes at 'AAAsf'; Outlook Stable