Fitch Upgrades Centro NP's Revolver & Sr Unsecured Obligation Ratings; Removed from Watch Positive

NEW YORK--(Business Wire)--
Fitch Ratings has upgraded and removed from Rating Watch Positive the following
ratings for Centro NP:

--$350 million revolving bank credit facility to 'B+/RR1' from 'CC/RR6';

--$830.2 million senior unsecured notes to 'CCC/RR4' from 'CC/RR6'.

Fitch has also affirmed Centro NP's Issuer Default Rating (IDR) at 'CCC'. The
Rating Outlook is Negative.

The upgrade of the senior unsecured notes reflects improved recoveries based on
Fitch's view that in the event of a default on the corporate obligations of
Centro NP or Super LLC, Centro's direct parent, Centro NP would be substantively
consolidated with Super LLC, rather than with their ultimate parent, Centro
Properties Group (CNP). Fitch's Recovery Rating analysis assumes a 9.5%
capitalization rate applied to Centro NP's annualized cash net operating income
pro forma for the transfer of certain assets to Centro NP Residual JV LLC
(Residual JV) as of Sept. 30,2008, approximately 75% recovery of Residual JV's
real estate assets, 50% recovery of the book value of investments in
unconsolidated real estate affiliates (excluding Residual JV) and modest
recoveries of remaining tangible assets. Fitch based Residual JV's real estate
asset value on the lower of book or market value disclosed at the time of
transfer from Centro NP to Residual JV, adjusted for recent impairments. The 25%
reduction to value was determined by comparing Fitch's estimate of Centro NP's
real estate value based on the income capitalization approach described above to
Centro NP's recorded book value.

The analysis incorporated Super LLC's term loan ($1.75 billion), Residual JV's
outstanding indebtedness as of Dec. 31, 2008 of $1.3 billion as well as Centro
NP's liabilities. This analysis results in estimated recoveries for Centro's
senior unsecured notes in the 31%-50% range, or 'RR4' per Fitch's recovery
methodology and no rating differential relative to Centro NP's 'CCC' IDR.

In the event substantive consolidation does not occur, Fitch believes recoveries
given default of Centro NP's corporate obligations would be in the 71%-90%
range, which would be representative of an 'RR2' Recovery Rating.

The upgrade of the $350 million revolving bank credit facility reflects the
improved recovery prospects for this facility. As part of the successive debt
extension agreements reached during 2008, Centro NP and Residual JV have
collateralized certain assets to support repayment of this facility. Fitch's
recovery expectations for this facility exceed 91%, which is indicative of a
'RR1' recovery rating, resulting in a three notch upward differential above
Centro NP's 'CCC' IDR, or 'B+'.

Residual JV is the joint venture that was formed between Super LLC (51%
interest) and Centro NP (49% interest) following the acquisition of Centro NP by
CNP. It was formed to facilitate property level financing and provide collateral
to Residual JV, Centro NP and Super LLC lenders. Residual JV currently owns 161
real estate assets, which were transferred from Centro NP. The most recent
transfer of assets took place as part of the debt stabilization reached in
January 2009. For more background on the debt stabilization and Fitch's rating
for Centro NP, please refer to the press release: 'Fitch: Debt Stabilization
Spells Temporary Relief for Centro; IDR Affirmed at 'CCC'' published March 30,
2009.

Centro NP is a real estate company focusing on the ownership, management and
development of community and neighborhood shopping centers with total assets of
$4.2 billion at Dec. 31, 2008. Centro NP operates a national portfolio of
community and neighborhood shopping centers across the U.S. and its tenant base
has historically been characterized by a high concentration of needs-based
retailers, such as supermarkets, as well as national discount chains. CNP is a
Melbourne-based company (ASX: CNP) focused on the ownership, management, and
development of retail shopping centers. CNP has $17.7 billion of retail property
assets as of Dec. 31, 2008, of which $12.1 billion were located in the U.S.

Fitch's rating definitions and the terms of use of such ratings are available on
the agency's public site, www.fitchratings.com. Published ratings, criteria and
methodologies are available from this site, at all times. Fitch's code of
conduct, confidentiality, conflicts of interest, affiliate firewall, compliance
and other relevant policies and procedures are also available from the 'Code of
Conduct' section of this site.

Fitch Ratings, New York
Linda Hammel, +1-212-908-0313
Janice M. Svec, +1-212-908-0304
Steven Marks, +1-212-908-9161
Media Relations
Cindy Stoller, +1-212-908-0526
cindy.stoller@fitchratings.com

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