Moody’s Investors Service upgraded one security and affirmed three securities from SCF Equipment Leasing 2017-1 LLC. The transaction is a securitization of equipment loans and leases sponsored by Stonebriar Commercial Finance. Stonebriar also acts as the servicer for the transaction. The equipment loans and leases are backed by a diverse pool and includes railcars, commercial equipment and corporate aircraft.

The complete rating actions are as follow:

• Equipment Contract Backed Notes, Class A, Affirmed A1 (sf); previously on February 23, 2017 Definitive Rating Assigned A1 (sf)
• Equipment Contract Backed Notes, Class B, Upgraded to Baa1 (sf); previously on February 23, 2017 Definitive Rating Assigned Baa3 (sf)
• Equipment Contract Backed Notes, Class C, Affirmed Ba1 (sf); previously on February 23, 2017 Definitive Rating Assigned Ba1 (sf)
• Equipment Contract Backed Notes, Class D, Affirmed B3 (sf); previously on February 23, 2017 Definitive Rating Assigned B3 (sf)

The upgrade was prompted by an increase in credit enhancement due to the sequential pay structure, overcollateralization and non-declining reserve account. The transaction features an overcollateralization target of 10.25% of the original pool balance.

The collateral pool consists of a concentrated number of obligors, some of which are not rated by Moody’s. To date, the transaction has exhibited strong performance with no cumulative net loss (CNL) to date.