Fitch Ratings and Moody's Investors Service have both assigned their provisional ratings to several classes of notes, to be issued by FleetPartners as a A$300 million securitisation of operating, novated and finance leases. The securitised portfolio comprises lease instalment cash flows and residual value cash flows, with the transaction to be known as the FP Turbo Series 2016-1 Trust.The transaction is an Australian prime ABS. It is a cash securitisation of leases extended to Australian corporates, small and medium-sized businesses and their employees. The leases are secured by passenger cars, commercial vehicles and equipment.The present value of the outstanding lease receivables balance is around A$322.4 million and the nominal value of estimated RV cash flows amounts to around A$146.2 million, according to a Moody's pre-sale report.This is the fourth Australian ABS transaction issued by FleetPartners since 2010. It features a short term (P) P-1 (sf) tranche, with a legal final maturity of 12 months from issuance. This tranche represents 20 per cent of the total issuance.As of November 2016, the provisional portfolio consisted of non-delinquent vehicle and equipment lease contracts with a weighted average seasoning of 18.9 months. The RV portion of the lease cash flows were set at closing of the lease contracts, based on estimates of car values at lease contract maturity. Due to the right of the lessees to return the vehicle at contract maturity to cover the final lease balance outstanding under an operating lease, the notes are exposed to both default and the market or residual value risk of the related vehicles.The classes of notes have been assigned preliminary ratings (Moody's/Fitch) as follows: A$66.00 million Class A1 Notes: (P) P-1 (sf)/ F1+(EXP)sf $165.00 million Class A2 Notes: (P)Aaa (sf)/AAA(EXP)sf $31.02 million Class B Notes: Aa2 (sf) /not rated by Fitch) $12.87 million Class C Notes:  (P)A2 (sf)/not rated by Fitch $8.58 million Class D Notes:  (P)Baa2 (sf)/ (Fitch NR) $15.51 million Class E Notes:  (P) Ba2 (sf)/(Fitch NR) $7.92 million Class F Notes:  (P)B1 (sf)/ (Fitch NR)The $6.60 million G Notes and the $16.50 million seller notes are not rated by Moody's or Fitch.According to Moody's, the transaction also benefits from credit strengths such as experience of the originator, diversification of vehicle manufacturer and lease term dates and strong historical performance of the lease portfolio.Fitch observed that the pool's 20 largest obligors account for about 37.4 per cent of the asset balance. Fitch deems this concentration "higher than we usually observe in consumer ABS transactions." Fitch has therefore derived default assumptions.