VCL Master Netherlands B.V.
Climate Impact & Sustainability Data (2021)
Reporting Period: 2021
Environmental Metrics
Climate Goals & Targets
Environmental Challenges
- Declining demand for diesel vehicles adversely affecting residual values.
- Global shortage of chips negatively impacting new car registrations and the EV market.
- Record number of imported secondhand cars increasing competition.
- Potential volatility in macroeconomic developments and the car market.
- COVID-19 pandemic and its unpredictable effects on the economy.
Mitigation Strategies
- Credit enhancements granted by the Originator.
- Availability of the Cash Collateral Account.
- Swap contracts to mitigate interest rate risk.
- Careful selection of major financial institutions as Swap Counterparties based on credit ratings.
- Master Hire Purchase Agreement with repurchase and put options to mitigate residual value risk.
- Contractual agreements with regulated service providers for operational activities.