NEW YORK--(BUSINESS WIRE)--Fitch Ratings has downgraded five and affirmed two classes of notes issued by Acacia CDO 6, Ltd. (Acacia 6). Fitch has simultaneously withdrawn all ratings. A complete list of rating actions follows at the end of this release.
KEY RATING DRIVERS
These rating actions are a direct result of the sale and liquidation of the Acacia 6 portfolio on July 19, 2016. Approximately $39.8 million of net sale proceeds were received from the liquation and a final distribution was made to noteholders on Aug. 31, 2016. The class A-1 noteholders received interest payments of approximately $148,000 and remaining proceeds of $39.7 million were applied towards a partial repayment of the class A-1 notes principal balance. No other class of notes received distributions.
Acacia 6 entered an event of default on May 18, 2009. On June 8, 2009, a majority of the controlling class voted to accelerate the maturity. Most recently, on June 24, 2016, at least 66 2/3% of the controlling class directed the sale and liquidation of the collateral.
Not applicable as the ratings are being withdrawn.
USE OF THIRD-PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G-10
No third party due diligence was reviewed in relation to this rating action.
Fitch has downgraded and withdrawn the following ratings:
--$10,257,111 class A-1 notes to 'Dsf' from 'Csf';
--$7,424,914 class C notes to 'Dsf' from 'Csf';
--$3,600,859 class D notes to 'Dsf' from 'Csf';
--$1,938,255 class E-1 notes to 'Dsf' from 'Csf';
--$11,983,979 class E-2 notes to 'Dsf' from 'Csf'.
Fitch has affirmed and withdrawn the following ratings:
--$16,168,275 class A-2 notes at 'Dsf';
--$29,427,331 class B notes at 'Dsf'.
Fitch did not rate the preferred shares.
Additional information is available at www.fitchratings.com.
Sources of Information:
The sources of information used to assess these ratings were periodic trustee reports and the public domain.
Counterparty Criteria for Structured Finance and Covered Bonds (pub. 01 Sep 2016)
Global Structured Finance Rating Criteria (pub. 27 Jun 2016)
Global Surveillance Criteria for Structured Finance CDOs (pub. 05 Jul 2016)
Dodd-Frank Rating Information Disclosure Form