Transat, the Montreal based tour operator, announced yesterday that almost half of its available cash position is invested in the asset-backed commercial paper market. Of the $340 million in available cash, $154 million is invested in 10 ABCP trusts, some of which are managed by Coventree Capital Group. Ninety percent of Transat’s ABCP investment received the highest rating, R1-High, from DBRS. “The said asset-backed commercial paper are securities that met the criteria of Transat's investment policy and were purchased on the basis of professional advice from National Bank of Canada,” Transat said in a news release. ABCP that matured on August 21 worth $15 million has not been repaid. Maturity dates on the paper range through until Jan. 29, 2008.
Transat Holds $154 Mln In ABCP