(The following statement was released by the rating agency) Fitch Ratings-Sydney-July 09: Fitch Ratings has assigned an expected rating of ‘AAA(EXP)’ to Medallion Trust Series 2013-2’s AUD400 million class A3-R residential mortgage-backed floating-rate notes. The Outlook is Stable. The full outstanding balance of the fixed-rate soft-bullet class A3 notes will be repaid with funds raised via the issuance of the class A3-R notes. The class A3 notes were issued in August 2013 for AUD400 million as part of the Medallion Trust Series 2013-2 AUD3.2 billion RMBS issue by Commonwealth Bank of Australia (CBA, AA-/Negative/F1+). The transaction continues to perform in line with Fitch’s expectations at closing and has paid down to about AUD987.3 million as at the June 2018 payment date. The ratings of the remaining notes remain unchanged and were affirmed on 1 December 2017. The A3-R notes will be issued by Perpetual Trustee Company Limited in its capacity as Trustee of Medallion Trust Series 2013-2. KEY RATING DRIVERS Macroeconomic Factors: Fitch expects stable mortgage performance, supported by sustained economic growth in Australia that is driven by steady forecast GDP growth of 2.7% and one 25bp cash rate increase in 2019. Asset and Cash Flow Analysis: The class A3-R note benefits from credit enhancement of 16.6%. Structural features include a liquidity facility sized at 3.0% of the performing asset balance, with a floor of AUD9.6 million. Credit quality and performance of the underlying receivables remain strong. The asset model was not run as transaction performance has remained stable since the tranches were affirmed. The cash flow model was not re-run as the A3-R notes replace the A3 notes with the same conditions and there have been no changes to Fitch’s cash flow model assumptions since the cash flow model was run. Operational Risk: CBA has considerable experience in mortgage lending and servicing. Arrears of securitised Medallion transactions have tracked in-line or below Fitch’s Dinkum Index for prime RMBS. Its lending and servicing practices are in line with those of other comparable lenders.