MONTREAL, April 7, 2015 /CNW Telbec/ - Canadian Credit Card Trust (the "Trust") will reach the end of its legal life in February 2018. National Bank of Canada (the "Bank"), as Seller and Administrative Agent of the Trust, will transition credit card securitization to a newly created trust, Canadian Credit Card Trust II (the "Trust II") which was created on April 2, 2015. Trust II has filed a Preliminary Short Form Base Shelf Prospectus with regulators. The future note obligations issued by Trust II are expected to be rated by DBRS Limited and Fitch Ratings Inc. ("Fitch").
The Trust intends to assign its rights in, among other things, its portfolio of credit card receivables in consideration of the assumption by Trust II of the duties and obligations of the Trust, including the payment obligations of each series of notes of the Trust outstanding on the assignment date (the "Previously Issued Notes"), pursuant to an Assignment and Assumption Agreement to be entered into between the Trust and Trust II.
The Bank will act as servicer of such credit card receivables and will sell certain credit card receivables to Trust II from time to time. Trust II will be authorized to create and issue credit card receivables-backed securities from time to time in accordance with a Third Amended and Restated Note Issuance Agreement and any supplements thereto.
In due course, the Trust will apply for and will make the required filings with relevant Canadian securities regulatory authorities in order for the Trust to cease to be a reporting issuer or the equivalent in the relevant Canadian provinces and territories. Trust II has become a reporting issuer in each of the provinces and territories of Canada.
On April 7, 2015, Fitch agreed to rate the Previously Issued Notes. Fitch has assigned Class A, Class B and Class C ratings of AAA(sf), A(sf) and BBB(sf), respectively, to the Previously Issued Notes.
About National Bank of Canada
With $214 billion in assets as at January 31, 2015, National Bank of Canada (www.nbc.ca), together with its subsidiaries, forms one of Canada's leading integrated financial groups. The Bank has more than 20,000 employees and is widely recognized as a top employer. Its securities are listed on the Toronto Stock Exchange (TSX: NA). Follow the Bank's activities via social media and learn more about its extensive community involvement at clearfacts.ca and commitment.nationalbank.ca.
SOURCE National Bank of Canada
(The telephone number provided below is for the exclusive use of journalists and other media representatives.): Jean-François Lauzon, Advisor - Public Affairs, National Bank, Tel.: 514-394-6097Copyright CNW Group 2015