Fitch Affirms Textron Financial Corporation Receivables Trust

CHICAGO--()--Fitch Ratings has affirmed the Textron Financial Corporation Receivables Trust 2002-CP-2, series 2002-1 variable funding notes at 'BBBsf' Outlook Stable.

KEY RATING DRIVERS

The affirmation reflects the available credit enhancement to the notes. Additionally, the collateral has had stable performance over the last 33 months as the trust has had minimal delinquencies and losses, within expectations. Fitch will continue monitoring the transaction for and may take rating actions in the future.

RATING SENSITIVITIES

The future performance of the collateral may become increasingly reliant on the performance of the largest obligors as concentrations are expected to continue increasing. Additionally, weakness in the wholesale business and personal aircraft market may result in higher loan-to-values causing greater loss severity on defaults.

Unanticipated increases in the frequency of defaults and loss severity could produce loss levels higher than the current projection and impact available loss coverage and multiples levels for the transaction. Lower loss coverage could impact the rating and Rating Outlook depending on the extent of the decline in coverage.

Additional information is available at 'www.fitchratings.com'

Applicable Criteria and Related Research:

--'Criteria for Rating U.S. Equipment Lease and Loan ABS' (December 2013);

--'Global Structured Finance Rating Criteria' (August 2014).

Applicable Criteria and Related Research:

Criteria for Rating U.S. Equipment Lease and Loan ABS

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=726362

Global Structured Finance Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=754389

Additional Disclosure

Solicitation Status

http://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=898734

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Contacts

Fitch Ratings
Primary Analyst:
Thomas Kaiser, CPA, +1-312-368-3388
Analyst
Fitch Ratings, Inc.
70 W. Madison St.
Chicago, IL 60602
or
Secondary Analyst:
Peter Manofsky, +1-312-368-2068
Director
or
Committee Chairperson:
Bradley Sohl, +1-212-908-0792
Senior Director
or
Sandro Scenga, +1-212-908-0278
Media Relations, New York
sandro.scenga@fitchratings.com

Contacts

Fitch Ratings
Primary Analyst:
Thomas Kaiser, CPA, +1-312-368-3388
Analyst
Fitch Ratings, Inc.
70 W. Madison St.
Chicago, IL 60602
or
Secondary Analyst:
Peter Manofsky, +1-312-368-2068
Director
or
Committee Chairperson:
Bradley Sohl, +1-212-908-0792
Senior Director
or
Sandro Scenga, +1-212-908-0278
Media Relations, New York
sandro.scenga@fitchratings.com