Business Context and Reporting Period
This Form 8-K filing by Structured Products Corp. on behalf of the CorTS Trust for PECO Energy Capital Trust III reports a distribution event for the period ending April 30, 2015. The trust holds 8% Corporate-Backed Trust Securities (CorTS) Certificates Class A, backed by Term Assets consisting of PECO Energy Capital Trust III 7.38% Capital Securities due April 6, 2028.
Key Financial Metrics
- Distribution per Certificate: $1.000000 per $25 Certificate (comprising $0.00 principal/premium and $1.00 interest).
- Outstanding Certificates: 1,014,750 Class A Certificates.
- Aggregate Certificate Principal Balance: $25,368,750.
- Term Assets Held: $27,500,000 aggregate principal amount of PECO Energy Capital Trust III 7.38% Capital Securities.
- Unpaid Interest: $0.00 as of the Distribution Date.
- Trustee Fees: No fees were paid from the proceeds of the Term Assets.
Material Changes
The filing does not disclose material changes in financial position compared to prior periods, as it is a routine distribution notice. The aggregate principal amount of Term Assets held ($27,500,000) exceeds the aggregate Certificate Principal Balance ($25,368,750), indicating a collateral over-collateralization structure typical for this trust type.
Guidance, Outlook, and Risks
- Rating Information: The current credit rating of the Term Assets is not provided in this report. Investors are directed to contact Standard & Poor's or Moody's for current ratings.
- Due Diligence Disclaimer: Structured Products Corp. and the Trustee explicitly state they have not participated in the preparation of the underlying issuer's reports, nor have they verified the accuracy or completeness of such documents.
- Contingencies: There is no assurance that undisclosed events affecting the underlying issuer (PECO Energy Company) have not occurred which could impact the accuracy of publicly available documents.
Investor Verification Checklist
- Verify the current credit rating of the underlying PECO Energy Capital Trust III 7.38% Capital Securities with rating agencies.
- Confirm the payment status of the underlying issuer (PECO Energy Company) to ensure continued interest payments to the trust.
- Review the most recent periodic reports filed by PECO Energy Company (File No. 000-16844) for any undisclosed events affecting the collateral.
- Validate the calculation of the $1.00 interest distribution against the 8% coupon rate and the $25 certificate principal.