Moody's rates Continental pass-thrus B1

Moody's Investors Service said it assigned a rating of Aaa to the class G certificates and a B1 rating to the class B certificates of Continental Airlines, Inc.'s 2006-1 Pass Through Trusts Pass Through Certificates, series 2006-1.

The Aaa rating of the class G certificates is based upon a financial guarantee insurance policy issued by the Financial Guaranty Insurance Co., Moody's said.

The policy guarantees the timely payment of interest when due and the ultimate payment of principal at the final maturity date - June 2015 - for the class G certificates only, which is 24 months after the final expected distribution date.

There is no such policy in place for the class B certificates.

Moody's said its rating of the insurance financial strength of FGIC is Aaa. A liquidity facility supports eight quarterly payments for the class G certificates following default, although there is no such liquidity facility for the class B certificates.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.