WIXLIB

Operations review ariablypracticalproblemsofteninfrastructure preparationarise in a company’sability to oftenprovideInvariablypractical ewandarise in a company’s ability to provideconcerningtheandassetpool with poolwithoftenitsandInvariably practical itytomeetservicingandarise in a company’s ability to s.Drawingonhistorical data and ongoing ability to meet servicing andareview designedidentifylikely onaresources,we likelyour previous experience ecuritisations and extensive ITeffectiveresources,solutions.we can help you perform aOur services often include:review designed to identify likelyOur services often include:problemsimplement quick and SystemsandevaluationeffectiveWe willsolutions.determine Systemsevaluationwhether yourexistingsystem is sufficientlyrobustWewill determinewhether yourOur services often include:and has systemthe flexibilityto addresstheexistingis sandhastheflexibilitytoaddressthe Systems evaluationof awillsecuritisation.Also,requirementswe yourwillservicingand uicklyofasecuritisation.Also,wewillexisting system is sufficiently lyandhasthatthewithflexibilityto upexchangedwithoutsidepartiesafterservicing and reporting ioncloses(trustees,back-upofa etc).ensure that the data can be quickly Assessment of underwritingexchanged with outside parties afterstandards andcollection policy Assessmentof underwritinga transaction closes (trustees, back-upWe will comparethe originator’sstandardsand collectionpolicyservicer, rating agencies, etc).servicingcapabilitieswith theWewill comparethe originator’sexisting requirementsand thebestservicingcapabilitieswith Assessmentof mentsandbeststandards and collection policydetermineoriginator haspracticesofwhetherthe marketandWewill vicedeterminewhethertheoriginatorhasservicing capabilities with apacitytoserviceaexisting requirements and bestsecuritisationtransaction.practices of themarket andIf needed,determine whether the originator hasFigure1: capacity to service asufficientFigure1:securitisationtransaction. If needed,we can design and implement ITservicingsolutionsthat are in linewecan designand implementITwithcurrentmarketstandards.servicing solutions thatare in linewith current market standards. Review report generationwe can design and implement ITcapabilities Reviewreport generationservicing solutions that are in lineThe ability to generate accuratecapabilitieswith current market standards.periodicreportsis essentialto theTheabilityto iodicreportreportsgenerationis essential to the ReviewWe can reviewofexistingsystems and,managementall nd and,WereviewexistingaccuratesystemsThecanabilityto ry,andto thethatperiodicreports mplementreportingcapabilitiesthatmanagementof all ithexistingthe marketstandards,We incanlinereviewsystemsand,for SECregisteredissuers.andwiththe RegulationAB suers.implement reporting capabilities thatCollateralanalysisare in line withthe market analysisand with the RegulationAB ngasset-specificfor SEC registered issuers.originators shouldundertakeinformationto shouldundertakeaCollateral analysis historicalperformanceof theassets alBeforepresentingsecuritised. Transparentreviewperformancethe assetsbeing andinformationtoofratingagencies,analysis of underlyingcollateralfor ertakea andtransactioncan ngfor acompleteto confirmhistoricalmoney by translatingintoa highertransactioncananoriginatorperformanceof savethe assetsbeingrating bycredit agencies.moneybythetranslatingintoreviewa t agencies.analysisunderlyingcollateral for aOur services include:transaction can save an originatorOur services include:moneyby translatinginto a higher Portfoliodata analysisratingbythecreditagencies.We will conducta static pool analysis Portfoliodata analysison thecollateralWewillunderlyingconduct a staticpoolportfolioanalysisOur services include:wherewe will providean in-depthonthe underlyingcollateralportfoliolook ean in-depth Portfolioanalysisoverwilla sperformanceWeconducta staticpoolovera specificperiodof time.on theunderlyingcollateralportfoliowhere we will provide an in-depthlook at the portfolio’s performanceover a specific period of time. Asset file reviewIn additionto the static pool analysis, Assetfile reviewweadditionwill reviewphysicalfiles toInto thestatic assetpool analysis,checkcompletenessof originalwewillforreviewphysical assetfiles toloan documentation,andcheckfor reviewcompletenessof theoriginal Assetfileaccuracyof lysis,InadditiontheinstaticpoolIT system.accuracyof datain the originator’swewill reviewphysicalasset files toITsystem.checkfor completeness of original Ensuring saleability of assetsloan documentation, and theUsing ratingagency eligibility Ensuringsaleabilityoforiginator’sassetsaccuracy ofdata in thecriteriaratingstandardsandutilising ourUsingagencyeligibilityIT system.experiencewith a andwideutilisingrange ofourassetcriteriastandardstypes, we saleabilitywillhelpselectthe optimalexperiencewitha wideof asset Ensuringof rangeassetspool toratingbewillsecuritised.types,wehelp selectthe optimalUsingagencyeligibilitypoolto besecuritised.criteriastandardsand utilising our Maintaining data confidentialityexperience with a wide range of assetWe are sensitive to confidentialityour client’s Maintainingtypes, we willdatahelp select the optimalconcernsfor datatoconfidentialityandWearesensitiveourpool to be securitised. client’sconcerns for data confidentiality andPrepareinstitutionfortoour proceduresareconfidentialitydesigned surethatconfidentialdata isWeare sensitivetoreviewour erour agencyin-depthanalysisof our andconcernsfor -depthsystemsanalysisandof ourPrepareinstitutionfor withoperations,we willsystemswork closelyclients’collateral,andthe clientagencytoweensurethebestoperations,will workclosely withratingreviewpresentationof theirpositionto thetheclientto ensurethebestof ourAfterour ntationoftheirpositiontoclients’ collateral, systems and fundingcostsbythe client to ensure the bestassigningratingstotheofferednotes.presentation of their position to theStructuringservicesratingagencies who,in turn, sthedetermine the overall ecauseinvestordemanddecidestheassigning ratings to the offered notes.we will workinvestmentstructurethatwithwill yourultimatelyprevail,we will work withservicesyour investmentStructuringBecause investor demand decides thestructure that will ultimately prevail,we will work with your investmentEnd-to-End SecuritisationEnd-to-End SecuritisationFigure InfrastructurePreparationPreparation forCollateral Securitisation Transaction Services StructuringRating AgencyAnalysis Securitisation Transaction Services losingTransactionServicesPreparation forRating Rating AgencyReviewSource: PwCSource: PwC4 PwC Securitisation – working with originators4 PwC Securitisation – working with originatorsSecuritisation Transaction Services

bank to ensure that the structurechosenthe mostandbankto isensurethatefficientthe structurecost-effectivefor allefficientparties involvedinchosenis the mostandthe transaction.cost-effectivefor all parties involved inthe transaction.Our services include:Our services include: Cashflow modellingBy developingsecuritisation Cashflowmodellingcashflowmodelswe can clearlyBydevelopingsecuritisationillustrate toyou howthe clearlycashflowmodelswe cansecuritisationprogrammeillustrateto youhow the will work.securitisation programme will work. Resolve outstanding tax, accountingand regulatoryissuestax, accounting ResolveoutstandingThe accountingregulatoryandregulatory andissuestreatmentof a transactionis oftenTheaccountingand regulatorycritical to thehavetreatmentof aoriginator.transactionWeis oftenwide experienceof creatingcriticalto the originator.We havestructureswhich ofsuitthe issuer andwideexperiencecreatingoriginator whichbest fromstructuressuitantheaccounting,issuer andtax and regulatoryoriginatorbest fromperspective.an accounting,tax and regulatory perspective. Customised structuringGiven an originatorscollateral and Customisedstructuringfundingwill in determiningthe mostefficientfundingobjectives,we willassisttypeof securitisationneeded.Forindeterminingthe mostefficientexample,warehouse versusterm,typeof securitisationneeded.Forrevolving warehouseversus non-revolvingetc.example,versus term,revolving versus non-revolving etc.and other figures that might appearin offeringdocumentationorappearandother figuresthat mightmarketinginoffering materials.documentation ormarketing materials. Asset pool reviewsrevolvearound securitisationcomforting informationOurtraditionalservicesPhysicalloanfile due diligence, Assetpoolreviewscontainedin thecomfortingoffering circularorrevolvearoundinformationpool samplinganddatavalidationPhysicalloan fileduediligence,marketing inmaterials.Theseservicescontainedthe offeringcircularor often poolare traditionalservicesSFGsampling anddatathatvalidationbegin withmaterials.data preparationand collateralmarketingThese servicesoften areprovidesfor transactionclosing.traditionalservices thatSFGfile duediligenceand continuebeginwithdata preparationandthroughcollateral providesFor comfortingcollateralfiledue diligenceand stratificationcontinue throughexpertise,we can drawupon collateralFordeals requiringasset-specifictables and dataattributeslisted in thesecomfortingcollateralstratificationspecialists wewithinthe relevantgroupsexpertise,can drawupon collateraldocuments.tablesand data attributes listed in theseof PwC. Forwithinexample,professionalsfromspecialiststhe upareofPwC.Forexample,professionalsfromWe can provide analytical and cashflowusuallyincludedrealin duediligenceourcommercialestategroup aremodellingservicesin a timelyWecan provideanalyticaland includedinduediligencefully supportingyourmodellingservicesin atransaction.timely manner,projects for CMBS transactions.fully supporting your transaction.Post-closing servicesOur services typically include:Post-closingservicesOur services include:Our services typically include: Agreed-upon proceduresOur services include: Regulation ABWe will performagreed-upon Agreed-uponproceduresOur work onABone of the first Regulationproceduresand compileour findingsWewill rwork onABoneof the firstin a report readyfor closing.proceduresand compileour findingsin Europe asABwellas the firstinRegulationattestationexercisesin a report ready for closing. Transaction modellingAustraliaus aasdetailedinEuropegaveas wellthe firstinsightinUsing assumptionsand Transactionmodellinginto the processnew issuesandAustraliagave usfora detailedinsightmethodologiesset forthUsingassumptionsand in theenablesto givethesupportintothe usprocessforyounewissuesandoffering documentation,willmethodologiesset forth inwetheyou needusintothisenablesgivecomplexyou thearea.supportrecalculatethe cashflows,wetheofferingdocumentation,willyou need in this complex area.stratificationofcashflows,pool data accordingrecalculatethetheto characteristicsof theassets,thestratificationof pooldataaccordingweighedaverage oflifetheof thesecurities,tocharacteristicsassets,theweighed average life of the securities,Pre-closing ur traditional securitisation servicesPwC Securitisation – working with originators 5PwC Securitisation – working with originators 5

Ongoing review of data integrityand reportingWhether the transaction is static ornot, the ongoing reporting andcompliance with the developingdisclosure and due diligenceprinciples is key and we can assist theoriginators in providing externalcomfort through an agreed approachon these ongoing obligations. SPE audit servicesOur global presence allowsus to provide audit and taxationcompliance services for specialpurpose entities created forsecuritisations and structured financetransactions, irrespective of thejurisdiction in which they are located. Back-up servicing and collectionsPwC offers back-up servicing servicesthrough its Receivables ManagementGroup. The Group provides a fullrange of credit management andcollections outsourcing, and hasparticular expertise in acting asstandby servicer for a number ofEuropean banks. The Group also actsas liquidation or collection agents onseveral securitisation transactionsboth in the US and in Europe.About the Global StructuredFinance GroupAbout the StructuredFinance GroupThe Global Structured Finance Groupat PwC brings together a unique blendof individuals from the areas ofsecuritisation and structured finance,corporate finance, tax, accounting andcapital markets in every majorEuropean country, working closely withour US and Asia Pacific teams. We canbring to bear detailed currentknowledge of individual industries andexpertise in specific types of asset pools,based on our extensive corporate clientbase. We work closely with otherspecialist teams within the firm,including the Financial ServicesRegulatory Practice, the European,US and Asian Listings Groups and theReceivables Management Group.By creating the SFG in 2000, PwChighlighted its commitment to providesecuritisation and structured financeservices to its UK and ContinentalEurope, US and global clients. Ourobjective is to provide a comprehensiverange of securitisation and structuredfinance services including feasibilitystudies, operational and infrastructurereviews, collateral analysis, structuringadvice, accounting advice andpostclosing services – by usingexperienced specialists drawn fromacross our global practice. Effective andtimely delivery of these products hasenabled SFG to establish itself asa major player in all securitationmarkets. SFG comprises individualswith expertise in a variety of functionalspecialties, including capital markets,investment banking, transactionconsulting, tax and accounting. Thecombination of leveraging this skillsetwith considerable transactionexperience enables the group to offera well-rounded service to our clients.We work closely with other specialist teams withinPwC, including the Financial Services RegulatoryPractice, the European, US and Asian Listings Groupsand the Receivables Management Group, whichprovides standby servicer arrangements andliquidation services.6 PwC Securitisation – working with originators

ContactsTo discuss any of the issues raised in more detail, please speak to your usual PwC contactor one of our structured finance leadership team listed below:Global& EuropeanEuropePeterJeffreyJamesHewer 44(0)2072125214 er@uk.pwc.comUKAmericasJamesHewerFrankSerravalli 44(0)20780426699605 1 646 omAustraliaAsiaColinHeathColinHeath 61(2)(2)82661124 .comAmericasFrank Serravalli 1 646 471 2669frank.serravalli@us.pwc.comDavid Lukach 1 646 471 3150david.m.lukach@us.pwc.comPwC helps organisations and individuals create the value they’re looking for. We’re a network of firms in 157 countries with more than 195,000 people who are committed todelivering quality in assurance, tax and advisory services. Find out more and tell us what matters to you by visiting us at for generalguidanceonofmattersof interestonly,and doesprofessionalnot constituteprofessionaladvice.Youtheshouldnot actupon theinformationThishashasbeenpreparedfor generalguidanceon mattersinterest only,and doesnot constituteadvice.You should notact uponinformationcontainedin thispublicationcontainedin thispublicationwithoutobtainingspecific professionaladvice.orNorepresentationwarrantyor implied)given as containedto the accuracyor vice.No representationor warranty (expressimplied)is given as toortheaccuracy(expressor completenessof theisinformationin this publication,and, to theof the permittedinformationcontainedin this publication,to theorextentbyresponsibilitylaw, PwC doesacceptor assumeany liability,or dutyof care toforact,anyinextentby law,PricewaterhouseCoopersdoesand,not acceptassumepermittedany liability,or dutynotof carefor anyconsequencesof you orresponsibilityanyone else acting,or refrainingrelianceon the informationthisacting,publicationor for any decisionbasedon it. on the information contained in this publication or for any decision based on it.consequencesof you orcontainedanyone inelseor refrainingto act, inreliance

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analysis of underlying collateral for a transaction can save an originator money by translating into a higher rating by the credit agencies. Our services include: Portfolio data analysis We will conduct a static pool analysis on the underlying collateral portfolio where we will provide anon the underlying collateral portfolioin-depth