S&P Assigns Preliminary Ratings to Tagus' CBO Notes

Apr 19, 2001, 01:00 ET from Standard & Poor's

    LONDON, April 19 /PRNewswire/ -- Standard & Poor's today assigned its
 preliminary ratings to the Eur1,098 million asset-backed floating-rate notes
 to be issued by Tagus Global Bond Securitisation No.2 PLC, a special-purpose
 entity (see list below).
     Tagus Global Bond Securitisation No. 2 is a collateralized bond obligation
 (CBO) involving the sale of corporate, financial institution, and public
 finance bonds originated by Banco Comercial Portugues S.A. (A-/Stable/A-2),
 ESAF - Espirito Santo Fundos de Investimento Mobiliaro S.A. (N.R.), and AF
 Investimentos Gestao de Patrimonios S.A. (N.R.), the sellers.
     The preliminary ratings reflect:
     -- The appropriate level of credit support at each rating category,
 provided through subordination and a 0.5% cash reserve fully funded at
 closing;
     -- Merrill Lynch & Co. Inc.'s (AA-/Stable/A-1+) short-term senior
 unsecured rating as guarantor of the credit default swap counterparty's
 obligations under the first credit default swap;
     -- The adequate interest rate hedging structure, which insulates the
 special-purpose entity from material interest rate changes; and
     -- The strong legal structure.
     A copy of Standard & Poor's complete presale report for this transaction
 is available on RatingsDirect, Standard & Poor's Web-based credit analysis
 system, at http://www.ratingsdirect.com. The report is also available on
 Standard & Poor's Ratings Services Web site at
 http://www.standardandpoors.com.  Under Presale Reports, select Structured
 Finance, then Asset-Backed Securities, Standard & Poor's said. -- CreditWire
 
     PRELIMINARY RATINGS ASSIGNED
     Tagus Global Bond Securitisation No. 2 PLC
     Eur1,098 Million Asset-Backed Floating-Rate Notes Due 2011
     Class          Rating            Amount (Mil. Eur)
     A              AAA               868.0
     B              AA                 32.2
     C              A                  71.4
     D              N.R.              126.4
     N.R.--not rated.
 
 

SOURCE Standard & Poor's
    LONDON, April 19 /PRNewswire/ -- Standard & Poor's today assigned its
 preliminary ratings to the Eur1,098 million asset-backed floating-rate notes
 to be issued by Tagus Global Bond Securitisation No.2 PLC, a special-purpose
 entity (see list below).
     Tagus Global Bond Securitisation No. 2 is a collateralized bond obligation
 (CBO) involving the sale of corporate, financial institution, and public
 finance bonds originated by Banco Comercial Portugues S.A. (A-/Stable/A-2),
 ESAF - Espirito Santo Fundos de Investimento Mobiliaro S.A. (N.R.), and AF
 Investimentos Gestao de Patrimonios S.A. (N.R.), the sellers.
     The preliminary ratings reflect:
     -- The appropriate level of credit support at each rating category,
 provided through subordination and a 0.5% cash reserve fully funded at
 closing;
     -- Merrill Lynch & Co. Inc.'s (AA-/Stable/A-1+) short-term senior
 unsecured rating as guarantor of the credit default swap counterparty's
 obligations under the first credit default swap;
     -- The adequate interest rate hedging structure, which insulates the
 special-purpose entity from material interest rate changes; and
     -- The strong legal structure.
     A copy of Standard & Poor's complete presale report for this transaction
 is available on RatingsDirect, Standard & Poor's Web-based credit analysis
 system, at http://www.ratingsdirect.com. The report is also available on
 Standard & Poor's Ratings Services Web site at
 http://www.standardandpoors.com.  Under Presale Reports, select Structured
 Finance, then Asset-Backed Securities, Standard & Poor's said. -- CreditWire
 
     PRELIMINARY RATINGS ASSIGNED
     Tagus Global Bond Securitisation No. 2 PLC
     Eur1,098 Million Asset-Backed Floating-Rate Notes Due 2011
     Class          Rating            Amount (Mil. Eur)
     A              AAA               868.0
     B              AA                 32.2
     C              A                  71.4
     D              N.R.              126.4
     N.R.--not rated.
 
 SOURCE  Standard & Poor's