TEXT-Fitch assigns Dutch MBS XVIII BV final ratings

Link to Fitch Ratings' Report: Dutch MBS XVIII B.V.Feb 5 - Fitch Ratings has assigned Dutch MBS XVIII B.V. final ratings, as
follows:

EUR140,000,000 floating-rate Class A1 mortgage-backed notes: 'AAAsf'; Outlook
Stable
EUR360,000,000 floating-rate Class A2 mortgage-backed notes: 'AAAsf'; Outlook
Stable
EUR8,000,000 floating-rate Class B mortgage-backed notes: 'AA+sf'; Outlook
Stable
EUR7,000,000 floating-rate Class C mortgage-backed notes: 'A+sf'; Outlook Stable
EUR7,000,000 floating-rate Class D mortgage-backed notes: 'BBBsf'; Outlook
Stable
EUR4,500,000 floating-rate Class E mortgage-backed notes: 'Bsf'; Outlook Stable
EUR2,700,000 floating-rate non-collateralised Class F notes: 'NRsf'

The transaction is a true sale securitisation of Dutch residential mortgage
loans, originated in the Netherlands and owned by NIBC Bank N.V. (NIBC,
'BBB'/Negative/'F3'). The final ratings are based on Fitch's assessment of the
underlying collateral, available credit enhancement (CE), the origination and
underwriting procedures used by the seller, the servicing capabilities of NIBC,
STATER Nederland and Quion Groep B.V. and the transaction's sound legal
structure.

The transaction is backed by a nine-year seasoned non-revolving portfolio of
prime residential mortgage loans, with a relatively low weighted-average
original loan-to-market-value of 78.2% and a debt-to-income ratio of 28.7%. The
purchase of further advances into the pool will not be allowed after closing

CE for the class A notes was 5.5% at closing, which is provided by the
subordination of the class B notes (1.5%), the class C notes (1.3%) the class D
notes (1.3%), the class E notes (0.9%) and the reserve account (0.50%). The
transaction benefits from a fully funded non-amortising reserve account equating
to 0.50% of the initial class A to E notes' balance and a cash advance facility
equating to 1.5% of the outstanding class A to E notes' balance, which may
amortise to 0.75% of the initial class A to E notes' balance. Under the interest
rate swap agreement, the swap counterparty pays the interest on the notes in
exchange for the scheduled interest on the mortgages, interest earned on the
guaranteed investment contract account, less senior fees and excess spread of
0.50%.

The collateral review of the mortgage portfolio involved reviewing vintage
performance data and loan-by-loan loss severity information on the originator's
sold repossessions, which Fitch used to validate the frequency of foreclosure
assumptions, quick sale adjustments and foreclosure timing assumptions used
within its analysis. Whilst NIBC was unable to provide cumulative default data
by vintage, it provided static three-months plus arrears data by vintage for
both NHG and non-NHG loans and loan-by-loan repossession data on all loans
foreclosed over the past few years. This data was in line with Fitch's
performance assumptions for the Dutch market and consequently no additional
adjustments to the standard assumptions were made.

To analyse the CE levels, Fitch evaluated the collateral using its default
model, details of which can be found in "EMEA Residential Mortgage Loss
Criteria", dated 7 June 2012, and "EMEA RMBS Criteria Addendum - Netherlands",
dated 14 June 2012, at www.fitchratings.com. The agency assessed the transaction
cash flows using default and loss severity assumptions under various structural
stresses including prepayment speeds and interest rate scenarios. The cash flow
tests showed that each class of notes could withstand loan losses at a level
corresponding to the related stress scenario without incurring any principal
loss or interest shortfall and can retire principal by the legal final maturity

In Fitch's view, commingling risk is minimal due to the use of a foundation
structure. Consequently, the agency did not consider the risk of a loss of funds
due to commingling or disruption of payments in its cash flow analysis. The
transaction is not exposed to the risk of deposit set-off or other claims. Fitch
incorporated in its analysis the risk that borrowers might exercise set-off
following the failure of insurance providers.

Fitch's stress and rating sensitivity analysis is detailed in the new issue
report, which will shortly be available at www.fitchratings.com.

Additional information is available at www.fitchratings.com. The ratings above
were solicited by, or on behalf of, the issuer, and therefore, Fitch has been
compensated for the provision of the ratings.

In addition to the source(s) of information identified in the 'EMEA RMBS
Criteria Addendum - Netherlands', this action was additionally informed by
information provided by NIBC.

Applicable criteria "EMEA Residential Mortgage Loss Criteria", dated 7 June
2012, "EMEA RMBS Criteria Addendum - Netherlands", dated 14 June 2012, "EMEA
RMBS Master Rating Criteria", dated 7 June 2012, "EMEA RMBS Cash Flow Analysis
Criteria" dated 7 June 2012, "EMEA Cash RMBS Structural Overview", dated 6 May
2009, "Counterparty Criteria for Structured Finance Transactions", dated 30 May
2012, and "Global Structured Finance Rating Criteria", dated 6 June 2012, are
available at www.fitchratings.com.

Applicable Criteria and Related Research:
EMEA RMBS Cash Flow Analysis Criteria
EMEA Cash RMBS Structural Overview
Counterparty Criteria for Structured Finance Transactions
Global Structured Finance Rating Criteria
EMEA Residential Mortgage Loss Criteria
EMEA Criteria Addendum - Netherlands - Mortgage Loss and Cash Flow Assumptions -
Amended
EMEA RMBS Master Rating Criteria