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KBRA Comments on Ongoing Servicing Transition for Tricolor Auto Securitizations

NEW YORK--(BUSINESS WIRE)--On September 19, 2025, the Bankruptcy Court issued an order to authorize Vervent, Inc. (“Vervent”) to assume the role of successor servicer. The order also permits Vervent to access and use funds held in the servicer’s collection accounts to cover servicing and transition costs and to transfer funds into new accounts it establishes for ongoing operations. Vervent may only use funds from these accounts with the prior written approval of Wilmington Trust, N.A. and certain other creditors. The order is expiring on October 17, 2025, and a hearing on the potential extension or termination will be held on October 15, 2025.

Vervent, as successor servicer, is in the process of onboarding, mapping and reconciling data. As the process is ongoing, a servicer report for the month of September is not likely to be available on October 15, 2025.

On October 6, 2025, the Bankruptcy Court further authorized the bankruptcy trustee to operate Tricolor Auto Acceptance, LLC’s business until January 9, 2026.

KBRA downgraded and maintained its Watch Downgrade Placements on all 34 outstanding ratings from seven Tricolor Auto Securitization Trust (TAST) transactions. KBRA will continue to monitor the performance of the transactions as it relates to KBRA’s outstanding ratings and will seek to resolve or update the Watch Placements in due course. While KBRA was able to speak to representatives of the successor servicer and the indenture trustee, these parties were only able to share limited information with KBRA. If KBRA continues to not receive sufficient information to allow KBRA to maintain ratings on the transactions, KBRA may withdraw such ratings.

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KBRA, one of the major credit rating agencies, is registered in the U.S., EU, and the UK. KBRA is recognized as a Qualified Rating Agency in Taiwan, and is also a Designated Rating Organization for structured finance ratings in Canada. As a full-service credit rating agency, investors can use KBRA ratings for regulatory capital purposes in multiple jurisdictions.

Doc ID: 1011761

Contacts

Rahel Avigdor, Managing Director
+1 646-731-1203
rahel.avigdor@kbra.com

Jack Kahan, Senior Managing Director, Global Head of ABS & RMBS
+1 646-731-2486
jack.kahan@kbra.com

Business Development Contact

Arielle Smelkinson, Senior Director
+1 646-731-2369
arielle.smelkinson@kbra.com

Kroll Bond Rating Agency, LLC

Details
Headquarters: New York City, New York
CEO: Jim Nadler
Employees: 400+
Organization: PRI

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Contacts

Rahel Avigdor, Managing Director
+1 646-731-1203
rahel.avigdor@kbra.com

Jack Kahan, Senior Managing Director, Global Head of ABS & RMBS
+1 646-731-2486
jack.kahan@kbra.com

Business Development Contact

Arielle Smelkinson, Senior Director
+1 646-731-2369
arielle.smelkinson@kbra.com

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