Fitch Prices Wachovia Auto Loan Holder Trust 2006-2 ‘F1+/AAA’

Fitch Prices Wachovia Auto Loan Holder Trust 2006-2 ‘F1+/AAA’

NEW YORK–( BUSINESS WIRE )–Fitch prices Wachovia Auto Loan holder Trust 2006-2 fixed-rate asset-backed records as follows:

–$219,000,000 class A-1 ‘F1+’;

–$378,000,000 course A-2 ‘AAA’;

–$306,000,000 course A-3 ‘AAA’;

–$135,000,000 class A-4 ‘AAA’;

–$45,000,000 class B ‘AA’;

–$48,000,000 course C ‘A’;

–$39,000,000 class D ‘BBB+’;

–$30,000,000 course E ‘BB’.

The securities are supported by a pool of brand new and automobile that is used light-duty vehicle installment loans originated by WFS Financial Inc (WFS), a subsidiary of Wachovia Bank N.A. (Wachovia). The expected reviews on the records derive from the improvement supplied by subordination, over-collateralization (OC), and a money book account. The expected ratings also mirror the servicing abilities of Wachovia, the good quality of retail auto receivables originated by WFS, additionally the sound appropriate and money movement structures. Wachovia Auto Loan holder Trust 2006-2 represents Wachovia’s 2nd securitization of WFS collateral subsequent to its purchase of Westcorp and its particular automobile finance company, WFS.

The course a records have actually initial credit improvement (CE) of 13.75 per cent, composed of 13.50per cent subordination, and a 0.25% book. The class B records are supported by initial CE of 10.00% made up of 9.75per cent subordination, and a 0.25% book. The class C records have actually 6.00% CE (5.75% subordination and a 0.25% reserve), the class D records have actually 2.75% initial CE (2.5% subordination and a 0.25% book) and course E notes have actually 0.25% initial CE (0.25% reserve). CE is anticipated to grow to 15.00per cent for Class the; 11.25% for course B, 7.25 for course C and 4.00% for course D and 1.5% for class E via accumulation associated with money book account to 0.50per cent regarding the initial pool stability as well as the growth of OC to 1.00percent associated with outstanding pool balance. Cash book flooring is scheduled to 0.50percent associated with the initial pool stability as the floor for OC equals to 0.50percent.

The receivables had a weighted average APR of 12.42% as of the statistical cutoff date. The weighted average original readiness associated with pool had been 67.0 months plus the weighted normal remaining term had been 63.5 months leading to roughly 3.5 months of security seasoning. The pool has a concentration that is large of started in Ca (34.02%). The second four biggest state levels are Arizona (5.88%), Washington (5.75%), Texas (4.01%) and Nevada (3.14%). The exposure in California may matter the pool to possible local financial downturns; but, the portion that is remaining of pool is well diversified.

Interest and principal are payable month-to-month, beginning Dec. 20, 2006. Extra structural security is supplied to senior noteholders via a payment priority mechanism that is shifting. A test will be performed to calculate note collateralization amounts in each distribution period. If records are undercollateralized, re re payments of great interest to classes that are subordinate be suspended making available as major to raised ranked classes.

In relation to a review of WFS’s retail car finance profile performance, prior WFS securitizations, while the structure of this assets within the pool that is securitized Fitch expects Wachovia car Loan holder Trust 2006-1 to do in keeping with current securitizations. Through June 30, 2006, WFS’s managed portfolio that is retail of $13.9 billion had total delinquencies of 1.87per cent, and web chargeoffs of 1.28% (annualized). Both statistics had been determined as a portion associated with the level of contracts outstanding.

Fitch’s score definitions as well as the terms of good use of these ranks can be found in the agency’s general general general public web web web site, www. Posted ratings, requirements and methodologies can be obtained with this site, all of the time. Fitch’s code of conduct, privacy, disputes of great interest, affiliate firewall, conformity along with other policies that are relevant procedures are available through the ‘Code of Conduct’ area of this web site.


Fitch RatingsDavid Petu, 212-902-0280 (ny)Hylton Heard, 212-908-0214 ( New York)Ravi R. Gupta, 312-368-2058 (Chicago)Sandro Scenga, 212-908-0278(Media Relations, nyc)

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