Fitch Rates RBC Taxable TOB Trust Series E-68
OREANDA-NEWS. Fitch Ratings has assigned a 'AA/F1+/ Negative Outlook rating to the RBC Municipal Floater Notes (Floater Notes) of the RBC Taxable TOB Trust Series E-68
KEY RATING DRIVERS
The 'AA/F1+'/Negative Outlook rating assigned to the Floater Notes is based on the support provided by an irrevocable direct-pay letter of credit (LOC) issued by Royal Bank of Canada, acting through a New York branch (RBC, rated 'AA/F1+/ Negative Outlook), which has an initial stated expiration date of April 5, 2019, unless such date is extended or earlier terminated.
The LOC provides full and sufficient coverage of principal plus an amount equal to 35 days of interest at a maximum rate of 9% based on a year of 365/366 days and purchase price for tendered bonds.
The rating is exclusively tied to the long and short-term rating that Fitch maintains on the bank providing the LOC and will reflect all changes to that rating.