Fitch Affirms Pacific Life Insurance Company's CMBS Servicer Ratings

NEW YORK--(BUSINESS WIRE)--Fitch Ratings affirms the commercial mortgage-backed securities (CMBS) servicer ratings for Pacific Life Insurance Company (Pacific Life), as follows:

--Master servicer rating affirmed at 'CMS2+';

--Primary servicer rating affirmed at 'CPS1';

--Special servicer rating affirmed at 'CSS2'.

The master and primary servicer ratings reflect Fitch's assessment of the company's ability to effectively service mortgage loans in CMBS transactions, investment grade financial strength, and robust internal control environment. The special servicer rating is reflective of the company's asset management staff and their ability to workout distressed loans. Each of the ratings take into consideration the experienced management team in Pacific Life's servicing organization.

Pacific Life has been originating and servicing mortgage loans since its inception in 1868 and in the 1970's began servicing loans for third party investors and clients. In recent years Pacific Life has been involved in CMBS servicing through primary or special servicing assignments in conjunction with its B-note investments and as an operating advisor, having been named operating advisor for eight CMBS securitizations, including two appointments in the last year. Pacific Life's recent focus has been on projects of $100+ million as well as refinancing existing, high quality assets in its portfolio.

As of June 30, 2012, Pacific Life's commercial mortgage loan servicing portfolio consisted of 529 loans totaling $9.6 billion, of which 282 loans totaling $1.4 billion were CMBS. As of the same date, Pacific Life was named master servicer and primary servicer for 282 loans in 12 transactions totaling $1.4 billion. In addition, the company was named special servicer on 12 CMBS transactions consisting of 274 loans totaling $1.7 billion. The company has had no specially serviced CMBS loans since 2009.

The servicer rating is based on the methodology described in Fitch's reports 'U.S. Commercial Mortgage Servicer Rating Criteria,' dated Feb. 18, 2011, and 'Global Rating Criteria for Structured Finance Servicers' dated Aug. 16, 2010, available on Fitch's web site 'www.fitchratings.com'.

Additional information is available at 'www.fitchratings.com'. The ratings above were solicited by, or on behalf of, the issuer, and therefore, Fitch has been compensated for the provision of the ratings.

Applicable Criteria and Related Research:

--'U.S. Commercial Mortgage Servicer Rating Criteria' (Feb. 18, 2011);

--'Global Rating Criteria for Structured Finance Servicers' (Aug. 16, 2010).

Applicable Criteria and Related Research:

U.S. Commercial Mortgage Servicer Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=584005

Global Rating Criteria for Structured Finance Servicers

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=547305

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