Fitch downgrades C class Castlelake ABS

Fitch Ratings HAS downgraded the rating of the class C notes issued by both Castlelake Aircraft Structured Trust 2018-1 (CLAS 2018-1) and Castlelake Aircraft Structured Trust 2019-1 (CLAS 2019-1) asset-backed securities (ABS) transactions. Fitch removed Rating Watch Negative (RWN) on the class B and C notes for both transactions and placed them on Rating Outlook Negative (RON). The class A notes remain on RON. The rating actions reflect ongoing deterioration of all airline lessee credits backing the leases in each transaction pool, downward pressure on certain aircraft values, Fitch’s updated assumptions and stresses, and resulting impairments to modelled cash flows