Fitch Rates Nissan Auto Receivables 2015-A Owner Trust

NEW YORK--()--Fitch Ratings assigns the following ratings and Rating Outlooks to the notes issued by Nissan Auto Receivables 2015-A Owner Trust listed below:

--$335,000,000 class A-1 'F1+sf';

--$392,000,000 class A-2 'AAAsf'; Outlook Stable;

--$546,000,000 class A-3 'AAAsf'; Outlook Stable;

--$127,800,000 class A-4 'AAAsf'; Outlook Stable.

KEY RATING DRIVERS

Consistent Collateral Pool: The collateral composition and credit quality of 2015-A is generally consistent with prior pools. The weighted average (WA) FICO score is 769, new vehicles total 91%, Nissan brand vehicles represent 87%, and the pool is geographically diverse.

Extended Term Loans: Loans with terms of more than 60 months total 54% of the pool and includes approximately 9% of loans with 73-75 month original terms. This is the fourth NAROT transaction to include 73-75 month loan terms.

Sufficient Enhancement: 2015-A incorporates a sequential-pay structure and initial hard credit enhancement (CE) totals 4%, consistent with recent transactions. Overall CE is sufficient to cover Fitch's 'AAAsf'-stressed lifetime cumulative net loss (CNL) assumption.

Stable Portfolio/Securitization Performance: NMAC portfolio and securitization delinquencies and losses have declined from peak levels in 2009 and have since stabilized and are currently at low levels in 2015.

Stable Origination, Underwriting and Servicing Platform: Fitch believes NMAC demonstrates adequate abilities as originator, underwriter and servicer for 2015-A.

Evolving Wholesale Market: The U.S. wholesale vehicle market is normalizing following strong performance in recent years. Fitch expects increasing used vehicle supply from off-lease vehicles and trade-ins to pressure ABS recovery rates leading to moderately higher loss rates. Fitch's analysis accounts for this risk by including periods of weak wholesale vehicle market performance in the derivation of its base case loss expectation.

Integrity of Legal Structure: The legal structure of a transaction should provide that a bankruptcy of NMAC would not impair the timeliness of payments on the securities.

RATING SENSITIVITIES

Unanticipated increases in the frequency of defaults and loss severity on defaulted receivables could produce loss levels higher than the base case. This in turn could result in potential rating actions on the notes. Fitch evaluated the sensitivity of the ratings assigned to all classes of 2015-A to increased losses over the life of the transaction. Fitch's analysis found that the notes display some sensitivity to increased defaults and losses. In fact, they could lead to potential downgrades of up to one category under Fitch's moderate (1.5x base case loss) scenario. The notes could experience downgrades of up to two rating categories under Fitch's severe (2.5x base case loss) scenario.

Key Rating Drivers and Rating Sensitivities are further detailed in Fitch's presale report. Fitch's analysis of the Representations and Warranties (R&W) of this transaction can be found in Nissan Auto Receivables 2015-A Owner Trust -- Appendix'. These R&W are compared to those of typical R&W for the asset class as detailed in Fitch's March 26, 2015 special report, 'Representations, Warranties, and Enforcement Mechanisms in Global Structured Finance Transactions'.

Additional information is available at www.fitchratings.com.

Applicable Criteria and Related Research:

--'Global Structured Finance Rating Criteria' (March 2015);

--'Rating Criteria for U.S. Auto Loan ABS' (April 2015);

--'Structured Finance Tranche Thickness Metrics' (July 2011);

--'Nissan Auto Receivables 2015-A Owner Trust - Appendix (April 2015).

Applicable Criteria and Related Research:

Global Structured Finance Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=864268

Rating Criteria for US Auto Loan ABS

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=863979

Structured Finance Tranche Thickness Metrics

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=646951

Nissan Auto Receivables 2015-A Owner Trust -- Appendix

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=864296

Additional Disclosure

Solicitation Status

http://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=982961

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Contacts

Fitch Ratings
Primary Analyst
John Alberici
Associate Director
+1-212-908-0370
Fitch Ratings, Inc.
33 Whitehall Street
New York, NY 10004
or
Secondary Analyst
Yun Tian
Associate Director
+1-212-908-0307
or
Committee Chairperson
Brad Sohl
Senior Director
+1-212-908-0792
or
Media Relations
Sandro Scenga
+1 212-908-0278
New York
sandro.scenga@fitchratings.com

Contacts

Fitch Ratings
Primary Analyst
John Alberici
Associate Director
+1-212-908-0370
Fitch Ratings, Inc.
33 Whitehall Street
New York, NY 10004
or
Secondary Analyst
Yun Tian
Associate Director
+1-212-908-0307
or
Committee Chairperson
Brad Sohl
Senior Director
+1-212-908-0792
or
Media Relations
Sandro Scenga
+1 212-908-0278
New York
sandro.scenga@fitchratings.com