Brazil's Banco Itau offered a detour from a bout of triple-A product out of Latin America and came unwrapped with a US$105 million securitization of diversified payment rights (DPRs), its first uninsured deal off this program. The legal final maturity is seven years.

While guarantors are not exactly climbing over each other to get to Brazilian issuers - Ambac and XLCA have yet to lift their ban on the country - Itau is understood to have talked to both MBIA and upstart CDC IXIS Financial Guaranty Services (CIFG). The first news of a smallish Itau transaction immediately stirred speculation that CIFG would court the issuer. The easily digestible size and familiar name would have been an ideal way for the guarantor to debut in the region, sources said. But apparently Itau preferred to go bare.

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