News Column

Fitch Affirms FirstEnergy Ohio PIRB Special Purpose Trust 2013

June 6, 2014

NEW YORK--(BUSINESS WIRE)-- Fitch Ratings affirms the 'AAA' rating and Stable Outlook on the FirstEnergy Ohio PIRB Special Purpose Trust 2013 transaction, as follows:

--Class A-1 certificates at 'AAAsf'; Outlook Stable;

--Class A-2 certificates at 'AAAsf'; Outlook Stable;

--Class A-3 certificates at 'AAAsf'; Outlook Stable.

KEY RATING DRIVERS:

The transaction is performing within expectations, with levels of outstanding principal amounts in-line with the targeted amortization schedule. The true-up mechanism is performing as expected, providing adequate credit support for all outstanding classes.

RATING SENSITIVITY:

As part of Fitch's initial rating sensitivity, Fitch conducted a break-the-bond case which provides an alternative means by which to measure the potential effects of rapid, significant declines in power consumption while capping the residential securitization charges at 20% of the total customer bill. This analysis determines the maximum level of forecasted energy decline that would cause a default in required payments on the securitizations or cause the tariff charges to exceed 20% of the total residual customer bill. Despite this severe decline in consumption, due to the true-up mechanisms the tariff charges are able to pay all debt service by the legal final maturity date.

For further detail on the rating sensitivity analysis for Utility Tariff Bonds, please refer to Fitch's criteria titled 'Rating Criteria for U.S. Utility Tariff Bonds' available at 'www.fitchratings.com'.

Individual Representations, Warranties, and Enforcement Mechanisms reports are available for all structured finance transactions initially rated on or after Sept. 26, 2011 at 'www.fitchratings.com'.

Additional information is available at 'www.fitchratings.com'.

Applicable Criteria and Related Research:

-- 'FirstEnergy Ohio PIRB Special Purpose Trust 2013'(US ABS) - June 10, 2013;

-- 'FirstEnergy Ohio PIRB Special Purpose Trust 2013' - Appendix - June 10, 2013;

--'Global Structured Finance Rating Criteria' May 20, 2014;

--'Representations, Warranties, and Enforcement Mechanisms in Global Structured Finance Transactions' April 17, 2012;

--'Rating Criteria for U.S. Utility Tariff Bonds' Dec. 18, 2013.

Applicable Criteria and Related Research:

Rating Criteria for U.S. Utility Tariff Bonds

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=726322

Representations, Warranties, and Enforcement Mechanisms in Global Structured Finance Transactions

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=676496

Global Structured Finance Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=748821

FirstEnergy Ohio PIRB Special Purpose Trust (US ABS)

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=707298

FirstEnergy Ohio PIRB Special Purpose Trust 2013 -- Appendix

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=707438

Additional Disclosure

Solicitation Status

http://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=833374

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE.



Fitch Ratings

Primary Analyst

Eugene Kushnir

Associate Director

+1-212-908-0830

Fitch Ratings, Inc.

33 Whitehall Street

New York, NY 10004

or

Committee Chairperson

Bradley Sohl

Senior Director

+1-212-908-0792

or

Media Relations

Sandro Scenga, New York, +1-212-908-0278

sandro.scenga@fitchratings.com

Source: Fitch Ratings


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