DBRS Morningstar Confirms Rating on PDRIVE LLC

DBRS, Inc. (DBRS Morningstar) confirmed its rating on the PDRIVE LLC Facility at AAA (sf).

The rating action is based on the following analytical considerations:

-- The transaction assumptions consider DBRS Morningstar’s baseline macroeconomic scenarios for rated sovereign economies, available in its commentary “Baseline Macroeconomic Scenarios For Rated Sovereigns: June 2022 Update,” published on June 29, 2022. These baseline macroeconomic scenarios replace DBRS Morningstar’s moderate and adverse Coronavirus Disease (COVID-19) pandemic scenarios, which were first published in April 2020.

-- Transaction capital structure, current rating, and form and sufficiency of available credit enhancement.

-- The transaction is a warehouse facility that consists entirely of auto loans or auto leases. Currently, the collateral pool comprises 79.1% auto loans and 20.9% auto leases.

-- The credit quality of the collateral pool and historical performance as of August 2022 and DBRS Morningstar's assessment of future performance.

-- Concentration limits based on loan and lease terms, the percentage of loans and leases for used vehicles, and minimum weighted-average FICO scores of obligors in the pool, among others.

-- The transaction parties’ capabilities with regard to origination, underwriting, and servicing. DBRS Morningstar considers Porsche Financial Services, Inc. to be an acceptable originator and servicer of prime quality auto loans and auto leases.

ENVIRONMENTAL, SOCIAL, GOVERNANCE CONSIDERATIONS
There were no Environmental/Social/Governance factor(s) that had a significant or relevant effect on the credit analysis.

A description of how DBRS Morningstar considers ESG factors within the DBRS Morningstar analytical framework can be found in the DBRS Morningstar Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings at https://www.dbrsmorningstar.com/research/396929/dbrs-morningstar-criteria-approach-to-environmental-social-and-governance-risk-factors-in-credit-ratings.

Notes:
The principal methodology is DBRS Morningstar Master U.S. ABS Surveillance (May 16, 2022), which can be found on dbrsmorningstar.com under Methodologies & Criteria.

The DBRS Morningstar Sovereign group releases baseline macroeconomic scenarios for rated sovereigns. DBRS Morningstar analysis considered impacts consistent with the baseline scenarios as set forth in the following report: https://www.dbrsmorningstar.com/research/384482/baseline-macroeconomic-scenarios-application-to-credit-ratings.

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.

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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