American Express plans to issue $578 million of securities backed by credit card receivables in its second securitization of the year.
The deal, American Express Credit Account Master Trust, Series 2014-2, has been assigned preliminary ratings from Fitch Ratings. The $500 million class A notes received AAA’ provisional ratings and the $21.68 million class B notes will be rated A+,’ while the $31.79 million class 1 notes were preliminarily rated BBB+.’ The class A and B certificates of series 2014-2 will be publically offered. These three tranches of notes expect to mature in June 2017.
The $24.57 million class 2 notes will not be rated.
American Express’s $595 million deal from May was assigned corresponding ratings to match AECAMT 2014-2’s preliminary ratings.
Citigroup, J.P. Morgan, and Mitsubishi UFJ Securities are the lead underwriters.
American Express will have 17 series outstanding once the 2014-2 notes are issued. The total of principal receivables was approximately $28.1 billion as of March 31, 2014, according to the presale report. As of the same period, 99.2% of total receivables outstanding had a seasoning of 60 months or more.