Fitch Upgrades First Union National Bank 2000-C1

Fitch Ratings has upgraded two and affirmed five classes of First Union National Bank Commercial (FUNBC) Mortgage Trust's commercial mortgage pass-through certificates, series 2000-C1. A full list of rating actions follows at the end of this release.

KEY RATING DRIVERS

The upgrades reflect lower than expected losses from the disposed specially serviced loan. The affirmations are the result of sufficient credit enhancement from continued amortization of the underlying collateral. There are 16 loans remaining in the pool, seven of which are defeased (24.2% of the pool). Fitch has designated four loans (47.3%) as Fitch Loans of Concern, which includes one specially serviced asset (13.5%). Fitch modeled losses of 14.4% of the remaining pool; expected losses on the original pool balance total 3.8%, including losses already incurred. The pool has experienced $20.8 million (2.7% of the original pool balance) in realized losses to date.

As of the April 2014 distribution date, the pool's aggregate principal balance has been reduced by 92.5% to $57.9 million from $776.3 million at issuance. Interest shortfalls are currently affecting classes L through N.

The largest contributor to Fitch's modeled losses is a specially serviced (13.5% of the pool) real estate owned (REO) 206,011 square foot (sf) retail center located in Decatur, IL. The loan was transferred to special servicing in January 2010 due to the borrower's request for a discounted payoff. The trust took title to the property through Deed in Lieu of Foreclosure in July 2011. The property is currently 83% leased but only 8% occupied. The dark tenants continue to pay rent and have leases that run through 2016 and 2018.

RATING SENSITIVITIES

The ratings on the class F through J notes are expected to be stable as the credit enhancement remains high. The class K may be subject to downgrades if the performance of the underlying collateral declines.

Fitch has upgraded the following classes as indicated:

--$29.1 million class G notes to 'AAsf' from 'A+sf'; Outlook Stable;

--$7.8 million class H notes to 'AAsf' from 'Asf'; Outlook Stable.

Fitch has affirmed the following classes as indicated:

--$1.1 million class F notes at 'AAAsf'; Outlook Stable;

--$3.9 million class J notes at 'BBBsf'; Outlook to Stable from Negative;

--$7.8 million class K notes at 'B-sf'; Outlook Negative;

--$5.8 million class L notes at 'CCsf'; RE 5%;

--$2.5 million class M notes at 'Dsf'; RE 0%.

Class N, which is not rated by Fitch has been reduced to zero from $14.6 million at issuance due to realized losses. Classes A-1, A-2, B, C, D, and E have paid in full. Fitch has previously withdrawn the ratings of the interest-only class IO.

Additional information is available at 'www.fitchratings.com'.

Applicable Criteria and Related Research:

--'Global Structured Finance Rating Criteria' (May 24, 2013);

--'U.S. Fixed-Rate Multiborrower CMBS Surveillance and Re-REMIC Criteria' (Dec. 11, 2013).

Applicable Criteria and Related Research:

Global Structured Finance Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=708661

U.S. Fixed-Rate Multiborrower CMBS Surveillance and Re-REMIC Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=724961

Additional Disclosure

Solicitation Status

http://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=827553

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