DBRS Morningstar Releases Commentary on COVID-19’s Impact on Global Auto Wholesale Transactions

DBRS Morningstar released a commentary titled, “The Impact of COVID-19 on Global Auto Wholesale Transactions”. New vehicle registrations of passenger cars and light trucks have fallen substantially in March 2020 as a result of the continuing reach of the Coronavirus Disease (COVID-19). The fall in registrations and the expectation that many car dealerships will be closed in the short term will prolong this effect and have a direct impact on the performance of DBRS Morningstar-rated auto wholesale transactions in Europe, Canada, and the U.S.

Key highlights from our commentary include
--Background to the fall in registrations.
--The impact of falling payment rates on transactions rated by DBRS Morningstar.
--The importance of structural liquidity coverage in auto wholesale transactions.

Notes:
The commentary is available at www.dbrsmorningstar.com.

For more information, visit www.dbrsmorningstar.com or contact us at info@dbrsmorningstar.com.

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