Standard & Poor’s placed the ratings assigned to five tranches of notes issued by Mobius NCM-04 Trust on CreditWatch with positive implications and affirmed the ratings on three other tranches, after reviewing a restructure proposal submitted to note holders.
The proposal calls for A$35 million to be released from the lenders’ mortgage insurance deposit account and given to the trustee of the Mobius NCM-04 Support Trust while the trustee will, in turn, place A$6 million into the existing reserve account.
These funds would then provide additional credit enhancement to cover losses on the loans held by Mobius NCM-04 Trust.
If the restructure is adopted by note holders and executed as proposed, S&P said the rating on the Class C notes could be raised into the ‘A’ category; ratings on the Class D and M notes could be raised into the ‘BB’ category; the rating on the Class E notes could be raised into the ‘B’ category; and the rating on the Class F notes could be raised into the ‘CCC’ category.
- Mobius restructure proposed
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05 October 2009 6:39am
