Press Release|Structured Credit

KBRA Places Three Shawnee 2022-1 LLC Ratings on Watch Downgrade

23 Apr 2024   |   New York


KBRA has placed the ratings of the Class D, E and Class F notes of Shawnee 2022-1 LLC (“Shawnee 2022-1”) on Watch Downgrade due to negative portfolio credit migration and tightening excess interest, both of which have resulted in a decrease in coverage test cushion.

Shawnee 2022-1 is serviced by Panagram Structured Asset Management, LLC (“Panagram” or the “servicer”). The CLO originally closed in April 2022. The portfolio is static and does not allow for reinvestments. The ratings reflect current credit enhancement levels, excess spread, coverage tests including overcollateralization ratio and interest coverage tests.

The table below displays the current capital structure and rating actions undertaken in this review. To date, the securities have received timely interest payments.

The collateral in Shawnee 2022-1 primarily consists of both middle market and broadly syndicated leveraged loans issued by corporate obligors diversified across sectors. As of the March 2024 trustee report, the total portfolio par amount is $620.1 million with exposure to 39 obligors. Over the last year, the K-WARF of the portfolio has increased to 3285 from 3190 and the balance of defaulted obligations has increased to $59.4 million from $20 million. As of the March 2024 trustee report, the Class E OC test is failing and the Class D OC test is close to failing.

In performing the rating review, KBRA utilized its Structured Credit Global Rating Methodology, the Global Structured Finance Counterparty Methodology and the ESG Global Rating Methodology.

KBRA will continue to monitor the performance of the transaction and update and/or resolve the Watch Placements within 90 days.

To access rating and relevant documents, click here.

Related Publication



A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1004057

805 Third Avenue
29th Floor
New York, NY 10022
+1 (212) 702-0707
Contact Us

© 2010-2024 Kroll Bond Rating Agency, LLC. All Rights Reserved. Kroll Bond Rating Agency, LLC is not affiliated with Kroll Inc., Kroll Associates Inc., KrollOnTrack Inc., or their affiliated businesses.