The European securitization industry was back in full swing last week after a brief pause for the early June gathering in Barcelona. New issues were the order of the week with over $1.4 billion equivalent of new deals added to the pipeline.
A new aircraft ABS flew into the mix. The $722 million equivalent Air France securitization offers investors exposure to 16 aircraft loans used to finance new planes. Three tranches of notes will be offered including $347.6 million of triple A notes spread over two tranches and a $169 single-A minus B tranche. Fitch rated the transaction as it would an EETC issue, linking the unsecured corporate rating of the airline to the notes. The ratings on the class A notes are backed by an MBIA financial guarantee.