OREANDA-NEWS. Fitch Ratings has upgraded one class and affirmed nine classes of Wachovia Bank Commercial Mortgage Trust, commercial mortgage pass-through certificates series 2003-C9. A detailed list of rating actions follows at the end of this press release.

KEY RATING DRIVERS

The upgrade of class E is the result of increased credit enhancement from paydown of the senior classes and expected full repayment of the bond.

There are 10 loans remaining in the pool. Fitch designated five loans (79.3%) as Fitch Loans of Concern, which includes four specially serviced assets (77.6%). No loans are defeased. Fitch modeled losses of 43.3% of the remaining pool; expected losses on the original pool balance total 7.6%, including \$78.7 million (6.9% of the original pool balance) in realized losses to date. As of the January 2015 distribution date, the pool's aggregate principal balance has been reduced by 98.2% to \$20.7 million from \$1.15 billion at issuance. Interest shortfalls are currently affecting classes F through P.

The largest contributor to expected losses is the Southwest Commons Shopping Center (29.3% of the pool) a 84,983 square foot (sf) retail center located in Worcester, MA, approximately 45 miles west of Boston. The loan transferred to special servicing in February 2012 due to imminent default after the grocery anchor vacated. The asset became real estate owned (REO) in February 2013, and the special servicer is working on marketing and leasing the property. In addition, the special servicer reports that the property's occupancy is 34.9% as of December 2014.

The next largest contributor to expected losses is the specially-serviced Swan Creek MHC loan (17.2%), which is secured by a 201 pad mobile home community located in New Boston, MI, approximately 27 miles southwest of Detroit. The loan transferred to special servicing in Dec. 2013 due to maturity default. The servicer reports that the property appears to be 50% occupied.

The third largest contributor to expected losses is the South Shades Crest Station (11.2%), a 25,500 sf shadow anchored retail center located in Hoover, AL. The loan transferred to special servicing in December 2013 for maturity default. The loan became REO in November 2014. The special servicer reports the property was 51% occupied as of YE14.

RATING SENSITIVITIES

The Rating Outlook on class E is revised to Stable due to better than expected recoveries from specially serviced loans since last rating action. Ratings were capped at 'A' due to the risk of interest shortfalls as the pool is concentrated.

Fitch upgrades the ratings and revises the Outlooks for the following classes:

--\$291,277 class E to 'Asf' from 'Bsf'; Outlook to Stable from Negative.

Fitch affirms the ratings and assigns REs for the following classes:

--\$15.8 million class F at 'Csf'; RE 70%.
--\$4.6 million class G at 'Dsf'; RE 0%;
--\$0 class H at 'Dsf'; RE 0%;
--\$0 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%;
--\$0 class O at 'Dsf'; RE 0%.

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