Fitch Affirms & Withdraws Capital Trust 2004-1 Ratings

NEW YORK--()--Fitch Ratings has affirmed four classes of Capital Trust RE CDO 2004-1 (Capital Trust 2004-1). Fitch also withdraws all ratings due to a lack of relevancy. A detailed list of rating actions follows at the end of this release.

KEY RATING DRIVERS

The transaction is significantly undercollateralized. The CDO's liabilities currently exceed collateral by over $46 million. Only three assets remain in the highly concentrated pool, including two subordinate interests in real estate owned (REO) properties (99%) and one defaulted commercial mortgage-backed securities (CMBS) bond (0.4%). All three assets have de minimis to no recoveries expected.

While no interest proceeds are being paid to the assets, a limited amount of principal has been received from amortization of the CMBS bond. Proceeds continue to be insufficient to pay timely interest to the class D notes, resulting in an event of default as of May 2014.

In its June 2015 rating action commentary, Fitch stated that it was considering withdrawing the ratings due to lack of relevance to the agency's coverage combined with commercial reasons. Fitch encouraged investors to contact it within 30 days if they had any interest in continued coverage of the transaction. Given that no investor indicated such an interest, Fitch is today withdrawing the ratings as they are no longer considered analytically meaningful.

RATING SENSITIVITIES

Ratings sensitivities are not applicable as the ratings on the transaction are being withdrawn.

DUE DILIGENCE USAGE

No third party due diligence was provided or reviewed in relation to this rating action.

Fitch affirms and withdraws the following classes:

--$9,664,818 class D at 'Dsf'; RE 0%;

--$3,241,000 class E at 'Csf'; RE 0%;

--$6,481,000 class F at 'Csf'; RE 0%;

--$16,204,000 class G at 'Csf'; RE 0%.

Class A-1 through C have paid in full. Fitch does not rate classes H, J, and Preferred Shares.

Additional information is available at www.fitchratings.com.

Applicable Criteria

Global Structured Finance Rating Criteria (pub. 06 Jul 2015)

https://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=867952

Surveillance Criteria for U.S. CREL CDOs (pub. 24 Nov 2014)

https://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=811268

Additional Disclosures

Dodd-Frank Rating Information Disclosure Form

https://www.fitchratings.com/creditdesk/press_releases/content/ridf_frame.cfm?pr_id=988599

Solicitation Status

https://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=988599

Endorsement Policy

https://www.fitchratings.com/jsp/creditdesk/PolicyRegulation.faces?context=2&detail=31

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Contacts

Fitch Ratings
Primary Analyst
Stacey McGovern
Director
+1-212-908-0722
Fitch Ratings, Inc.
33 Whitehall Street
New York, NY 10004
or
Committee Chairperson
Karen Trebach
Senior Director
+1-212-908-0215
or
Media Relations:
Sandro Scenga, New York, +1 212-908-0278
Email: sandro.scenga@fitchratings.com

Contacts

Fitch Ratings
Primary Analyst
Stacey McGovern
Director
+1-212-908-0722
Fitch Ratings, Inc.
33 Whitehall Street
New York, NY 10004
or
Committee Chairperson
Karen Trebach
Senior Director
+1-212-908-0215
or
Media Relations:
Sandro Scenga, New York, +1 212-908-0278
Email: sandro.scenga@fitchratings.com