DBRS Morningstar Confirms Ratings on Global SC Finance SRL and Global SC Finance II SRL Fixed Rate Asset Backed Notes, Series 2014-1

DBRS, Inc. (DBRS Morningstar) confirmed the ratings on the following publicly rated securities issued by two Global SC Finance transactions:

-- Global SC Finance SRL, Series 2011-2, Class A-1 at A (low) (sf)
-- Global SC Finance SRL, Series 2011-2, Class A-2 at A (low) (sf)
-- Global SC Finance II SRL Fixed Rate Asset Backed Notes, Series 2014-1, Class A-1 at A (sf)
-- Global SC Finance II SRL Fixed Rate Asset Backed Notes, Series 2014-1, Class A-2 at A (sf)

The rating confirmations are based on the following analytical considerations:

-- The transaction assumptions consider DBRS Morningstar’s set of macroeconomic scenarios for select economies related to the Coronavirus Disease (COVID-19), available in its commentary “Global Macroeconomic Scenarios: December Update,” published on December 2, 2020. DBRS Morningstar initially published macroeconomic scenarios on April 16, 2020, which have been regularly updated. The scenarios were last updated on December 2, 2020, and are reflected in DBRS Morningstar’s rating analysis.

-- The assumptions consider the moderate macroeconomic scenario outlined in the commentary, with the moderate scenario serving as the primary anchor for current ratings. The moderate scenario factors in increasing success in containment during the first half of 2021, enabling the continued relaxation of restrictions.

-- The container leasing market has exhibited resiliency in withstanding the effects of COVID-19, with the international trade volumes and demand for containers rebounding in mid- to late-summer 2020, and the majority of container shipping companies poised to have stronger year financially.

-- No performance-based triggers are in effect.

-- All transactions continue to perform within expectations

-- The transaction parties’ capabilities with regard to origination, underwriting, and servicing.

-- The credit quality of the collateral pool and historical performance.

ESG CONSIDERATIONS
A description of how DBRS Morningstar considers ESG factors within the DBRS Morningstar analytical framework and its methodologies can be found at: https://www.dbrsmorningstar.com/research/357792.

Notes:
The principal methodology is DBRS Morningstar Master U.S. ABS Surveillance (May 27, 2020), which can be found on dbrsmorningstar.com under Methodologies & Criteria.

For more information regarding rating methodologies and Coronavirus Disease (COVID-19), please see the following DBRS Morningstar press release: https://www.dbrsmorningstar.com/research/357883.

For more information regarding structured finance rating methodologies and Coronavirus Disease (COVID-19), please see the following DBRS Morningstar press release: https://www.dbrsmorningstar.com/research/358308.

For more information regarding the structured finance rating approach and Coronavirus Disease (COVID-19), please see the following DBRS Morningstar press release: https://www.dbrsmorningstar.com/research/359905.

The rated entity or its related entities did not participate in the rating process for this rating action. DBRS Morningstar had access to the accounts and other relevant internal documents of the rated entity or its related entities in connection with this rating action.

Please see the related appendix for additional information regarding the sensitivity of assumptions used in the rating process.

For more information on this credit or on this industry, visit www.dbrsmorningstar.com or contact us at info@dbrsmorningstar.com.

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