--Class A-2 notes at 'AAAsf'; Outlook Stable;
--Class A-3 notes at 'AAAsf'; Outlook Stable;
--Class A-4 notes at 'AAAsf'; Outlook Stable;
--Class B notes at 'AAsf'; Outlook to Positive from Stable.
KEY RATING DRIVERS
The affirmations reflect the increase in credit enhancement since closing and strong collateral performance. Credit and residual losses have been well within Fitch's expectations to date. The Stable Outlook reflects Fitch's expectation that the notes will remain sufficiently enhanced to cover 'AAAsf' stressed loss levels.
The Outlook revision to Positive for the class B notes reflects Fitch's view that if the notes continue to perform well, upgrades are likely to occur within the next 12 - 18 months.
Fitch will continue to monitor economic conditions and their impact as well as trust level performance variables and update the ratings accordingly.
Unanticipated increases in the frequency of defaults or deterioration in vehicle values could produce loss levels higher than the current expectations and impact available loss coverage. Lower loss coverage could impact ratings and Rating Outlooks, depending on the extent of the decline in coverage.
To date, the transaction has exhibited strong credit and residual performance, well within Fitch's initial expectations with rising loss coverage. Due to the growing credit enhancement levels and increased loss coverage afforded to the notes, a substantial deterioration in used vehicle values would have to occur to have a negative impact on the updated ratings.
Fitch's stress and rating sensitivity analyses are discussed in the presale reports titled 'Hyundai Auto Lease Securitization Trust 2013-B (US ABS)', dated
Fitch's analysis of the Representations and Warranties (R&W) of this transaction can be found in '
Additional information is available at 'www.fitchratings.com'.
The information used to assess these ratings was sourced from the issuer, periodic trustee reports, note valuation reports, and the public domain.
--'Criteria for Rating U.S. Auto Lease ABS' (
--'Global Structured Finance Rating Criteria' (
--'Representations, Warranties, and Enforcement Mechanisms in Global Structured Finance Transactions' (
--'Hyundai Auto Lease Securitization Trust 2013-B (US ABS)' (
--'Hyundai Auto Lease Securitization Trust 2013-B - Appendix' (
Criteria for Rating U.S. Auto Lease ABS
Global Structured Finance Rating Criteria
Representations, Warranties, and Enforcement Mechanisms in Global Structured Finance Transactions
Source: Fitch Ratings
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