27th Jul 2007 09:42
Paragon Group Of Companies PLC27 July 2007 S&P RATING UPGRADE ------------------ REFLECTS QUALITY OF PARAGON'S BUY-TO-LET MORTGAGES -------------------------------------------------- Standard & Poor's, the international credit rating agency, has affirmed itsrating of AAA and upgraded its rating for the class B mortgage-backedfloating-rate notes issued by Paragon Mortgages (No.7) PLC securitisation fromsingle A to AA, an increase of three credit notches. The excellent asset performance of PM7 reflects tight underwriting standards andthe credit strength of Paragon's buy-to-let products. The credit quality ofParagon's buy-to-let portfolio remains exemplary and the arrears performance ofthe portfolio continues to be better than that of mainstream residentialmortgages. Paragon continues to experience strong investor appetite for bonds backed by itsprime buy-to-let mortgages and improving credit agency recognition. Paragon's53rd securitisation completed last week with a £1 billion buy-to-let transactionsupported by its investor base in the UK and overseas, demonstrating the creditmarket's continued appreciation of the superior quality of Paragon's buy-to-letassets. Nigel Terrington, chief executive of Paragon, said: "Paragon remains focused on the quality of its buy-to-let mortgage business andit is pleasing to see leading rating agencies recognising the quality ofParagon's loan book and distinguishing Paragon from the factors impacting otherparts of the specialist lending sector." - ENDS - For further information, please contact: John G GemmellCompany SecretaryThe Paragon Group of Companies PLCTel: 0121 712 2075 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Paragon Group