NEW YORK--()--Fitch Ratings has affirmed two classes and upgraded two classes of the CarMax Auto Owner Trust 2010-1 transaction as follows:
--Class A-3 affirmed at 'AAAsf'; Outlook Stable;
--Class A-4 affirmed at 'AAAsf'; Outlook Stable;
--Class B upgrade to 'AAAsf' from 'AAsf'; Outlook to Stable from Positive;
--Class C upgraded to 'AAsf' from 'BBB+sf'; Outlook Positive.
The affirmations of the class A-3 and A-4 notes in the transaction reflect loss coverage levels consistent with current ratings. The Stable Outlook designation reflects Fitch's view that performance within the transaction is not expected to materially change in the near term and loss coverage is expected to remain consistent with current rating levels.
The rating upgrades to the class B and C notes are based on strong collateral performance and loss coverage for the notes. The collateral pool continues to perform within Fitch's expectations, with cumulative net losses at 1.09% to date. The Positive Outlook designation for the class C notes reflects Fitch's view that performance within the transaction is not expected to materially change in the near term and loss coverage is expected to continue to build as the transaction delevers, consistent with the upgraded ratings.
The ratings reflect the quality of CarMax Business Services, LLC retail auto loan originations, the strength of its servicing capabilities, and the sound financial and legal structure of the transaction.
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. Auto Loan ABS Rating Criteria', dated April 16, 2012;
--'Global Structured Finance Rating Criteria', dated June 6, 2012.
Applicable Criteria and Related Research:
Rating Criteria for U.S. Auto Loan ABS
Global Structured Finance Rating Criteria