Crédit Agricole CIB Acts as Green Structuring Advisor for Trinity, Who Becomes the First Railcar Lessor in North America to Launch a Green Financing Framework

Rhea-AI Summary

Crédit Agricole CIB has been appointed as the Green Structuring Advisor for Trinity Industries Leasing Company’s Green Financing Framework. This framework allows TILC to issue green financing instruments, including non-recourse ABS bonds and loans, supported by eco-friendly assets. Over $4 billion of TILC's railcar-related debt qualifies for this designation. The initiative aligns with the Green Bond Principles and has received a Second-Party Opinion from Sustainalytics. TILC is recognized as the first railcar lessor in North America to establish such a framework.

Positive

• TILC's Green Financing Framework allows for the issuance of green financing instruments, enhancing its market position in sustainable finance.
• Over $4 billion of TILC's existing debt qualifies under the framework, potentially attracting more investors focused on green investments.
• The framework aligns with established Green Bond Principles, improving investor confidence and market credibility.

Negative

• None.

Crédit Agricole CIB is Green Structuring Advisor to the publication of Trinity Industries Leasing Company’s (“TILC”) Green Financing Framework. TILC is a wholly-owned subsidiary of Trinity Industries, Inc.

The Green Financing Framework enables TILC to issue green financing instruments, including green non-recourse ABS bonds and green loans, supported by green eligible assets. TILC will manage and report on eligible projects and assets, in line with the Green Bond Principles, 2018 and the Green Loan Principles, 2020. Under the framework, currently eight of TILC’s outstanding debt financings, representing over $4 billion of railcar-related debt, meet the criteria and qualify for the Green Financing designation. The Green Financing Framework underwent an external assessment by Sustainalytics, a Morningstar, Inc. company and an independent provider of ESG and corporate governance research, ratings and analytics, which provided a Second-Party Opinion on the Green Financing Framework.

Elisa Lajonchere, Managing Director and Head of the North American Rail team at Crédit Agricole CIB said: “TILC is the first railcar lessor in North America to publish a Green Financing Framework. Crédit Agricole CIB is very excited to partner with Trinity to be at the forefront of this initiative for the industry and align our mutual commitment to sustainable financing and sustainable development goals.”

Eric Marchetto, Executive Vice President and Chief Financial Officer at TILC added: “Trinity is committed to reducing its own environmental impact as we recognize climate change is a challenge facing our business, the industry, and the communities in which we service. We are proud to be leading the charge for the North American railcar industry as the first railcar lessor to publish a Green Financing Framework for railcar assets, and we are pleased to have Credit Agricole CIB supporting Trinity in our sustainable finance efforts.”

About Crédit Agricole Corporate and Investment Bank (Crédit Agricole CIB)

Crédit Agricole CIB is the corporate and investment banking arm of Credit Agricole Group, the 12th largest banking group worldwide in terms of tier 1 capital (The Banker, July 2019). Nearly 8,400 employees across Europe, the Americas, Asia-Pacific, the Middle East and Africa support the Bank's clients, meeting their financial needs throughout the world. Crédit Agricole CIB offers its large corporate and institutional clients a range of products and services in capital markets activities, investment banking, structured finance, commercial banking and international trade. The Bank is a pioneer in the area of climate finance, and is currently a market leader in this segment with a complete offer for all its clients.

For many years Crédit Agricole CIB has been committed to sustainable development. The Bank was the first French bank to sign the Equator Principles in 2003. It has also been a pioneer in Green Bond markets with the arrangement of public transactions from 2012 for a wide array of issuers (supranational banks, corporates, local authorities, banks) and was one of the co-drafter of Green Bond Principles and of the Social Bond Guidance. Relying on the expertise of a dedicated sustainable banking team and on the strong support of all bankers, Crédit Agricole CIB is one of the most active banks in the Green bonds market.

For more information, please visit www.ca-cib.com.

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FAQ

What is Trinity Industries Leasing Company’s Green Financing Framework?

It allows TILC to issue green financing instruments supported by green eligible assets, improving their sustainable financing efforts.

How much debt qualifies for TILC's Green Financing designation?

Over $4 billion of TILC’s railcar-related debt meets the criteria for the Green Financing designation.

Who assessed TILC's Green Financing Framework?

The framework received a Second-Party Opinion from Sustainalytics, an independent ESG research provider.

What are the Green Bond Principles?

They are a set of guidelines that govern the eligibility of projects for green financing to ensure environmental integrity.

Who is the Green Structuring Advisor for TILC?

Crédit Agricole CIB is the Green Structuring Advisor for TILC’s Green Financing Framework.