TORONTO, ONTARIO--(Marketwired - Sept. 24, 2015) - Element Financial Corporation (TSX:EFN) ("Element" or the "Company") announced today that it has received an initial issuer rating of BBB from DBRS Limited (DBRS). The Company also was awarded a rating of R-2 (middle) on its short-term instruments and a rating of Pfd-3 on its perpetual preferred shares. All three ratings were issued with a stable outlook. Notwithstanding the R-2 rating, granted by DBRS, Element does not plan to access the short-term debt market for its funding requirements.

"I was pleased that DBRS cited our leading position in North American fleet management, our better than average credit risk profile and our strengthening earnings profile as key considerations in determining these ratings," said Steven Hudson, Element's Chief Executive Officer. "Their report also noted that over the medium-term, these assigned ratings could be positively impacted by further earnings expansion while our credit costs remain within historical levels and our operating efficiency improves," added Mr. Hudson.

On August 24, 2015, Element entered into a Credit Agreement (the "Facility") with a syndicate of 24 lenders that provides the Company with an expanded US$8.5 billion senior secured three-year credit facility. Concurrent with the receipt of this initial issuer rating from DBRS, the interest rate applicable to the Facility will be reduced by 35 basis points on top of the 20 basis point reduction that came into effect when the Company closed the US portion of the acquisition of GE Capital's fleet management business on August 31, 2015

"These reductions in Element's borrowing costs are an important deliverable in achieving the US$90 million to US$95 million annualized cost savings that we have targeted from the integration of the acquired GE fleet operations," added Mr. Hudson.

Following the August 31, 2015 closing of the Company's acquisition of the US operations of GE Capital's fleet management business, Element's committed funding facilities amounted to C$21.9 billion inclusive of the above referenced US$8.5 billion senior secured three-year credit facility. These facilities are supplemented with funding from the asset-backed securitization market which the Company has accessed to fund earning assets and revenue activities in its various business activities together with funding from its various private securitization conduits.

About Element Financial Corporation

With total assets of approximately C$22 billion after giving effect to the recently closed acquisition of GE Capital's US-based fleet management operations and the expected closing of GE Capital's fleet management operations in Mexico, Australia and New Zealand, Element Financial Corporation is one of North America's leading fleet management and equipment finance companies. Element operates across North America in four verticals of the equipment finance market - Fleet Management, Rail Finance, Commercial & Vendor Finance, and Aviation Finance.

Forward Looking Statements

This release includes forward-looking statements regarding Element and its business. Such statements are based on the current expectations and views of future events of Element's management. In some cases the forward-looking statements can be identified by words or phrases such as "may", "will", "expect", "plan", "anticipate", "intend", "potential", "estimate", "believe" or the negative of these terms, or other similar expressions intended to identify forward-looking statements. Forward-looking statements in this release include those related to Element's funding activities and the expected closing of the acquisition of GE Capital's fleet management operations in Mexico, Australia and New Zealand. The forward-looking events and circumstances discussed in this release may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting Element, including risks regarding the equipment finance industry, economic factors and many other factors beyond the control of Element. No forward-looking statement can be guaranteed. Forward-looking statements and information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. Accordingly, readers should not place undue reliance on any forward-looking statements or information. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Element undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.

Contact Information:

John Sadler
Senior Vice President
(416) 646-5689

Michel Beland
Chief Financial Officer
(416) 646-5680