New York, November 03, 2011 -- Moody's Investors Service stated today that the ratings on tranches issued
by 129 transactions serviced by Litton Loan Servicing, LP will not
be downgraded, withdrawn or placed on review for possible downgrade,
solely as a result of Ocwen Loan Servicing, LLC's proposal
to transfer servicing to Ocwen's own servicing platform from Litton
Loan Servicing, LP's platform. On June 5, 2011,
Ocwen Financial and The Goldman Sachs Group, Inc. entered
into a Purchase Agreement in which Ocwen agreed to acquire the loans and
servicing platform of Litton Loan Servicing LP. The transaction
closed on September 1, 2011.
Ocwen is rated SQ2- as a primary servicer of Subprime residential
mortgage loans and SQ2 as a special servicer of residential mortgage loans.
Both these ratings are on review for possible downgrade. Ocwen
Loan Servicing, LLC requested that Moody's provide its opinion to
it as to whether the ratings on the Moody's-rated securities issued
in the affected transactions would be downgraded, withdrawn or placed
on review for possible downgrade as a result of its proposal to transfer
servicing from Litton.
Moody's believed, as of the above date, that the proposed
transfer of servicing to Ocwen Loan Servicing, LLC in and of itself
would not have an adverse credit effect on the current outstanding Moody's
ratings of securities issued by the below transactions. Moody's
did not express an opinion as to whether this action had, or could
have, other non credit-related effects that investors may
or may not view positively.
In assessing the credit impact of the transfer, Moody's compared
the differences in servicing practices between Litton and Ocwen,
and evaluated the effect on short term cash flows to the trust as well
as total pool losses.
Ocwen has acquired Litton's entire servicing platform and plans
to service Litton's entire portfolio under Ocwen's servicing
strategy.
The methodologies used in this rating were "Moody's Approach
to Rating US Residential Mortgage-Backed Securities" published
in December 2008, and "Moody's Approach to Rating Residential
Mortgage Servicers" published in January 2001. Please see
the Credit Policy page on www.moodys.com for a copy of these
methodologies.
Other factors used in this rating are described in "Moody's
Approach to Rating Structured Finance Securities in Default" published
in November 2009, and "Updated Moody's Servicer Quality
Rating Scale and Definitions" published in May 2005.
List of affected transactions:
ABFC Asset-Backed Certificates, Series 2003-AHL1
ABFC Asset-Backed Certificates, Series 2004-AHL1
ABFC 2007-NC1 Trust
ACE Securities Corp. Home Equity Loan Trust, Series 2003-FM1
ACE Securities Corp. Home Equity Loan Trust, Series 2004-FM2
ACE Securities Corp. Home Equity Loan Trust, Series 2005-AG1
Bond Securitization Asset-Backed Certificates, Series 2003-1
C-BASS Mortgage Loan Asset-Backed Certificates, 1999-CB2
C-Bass Mortgage Loan Asset-Backed Certificates, Series
2001-CB3
C-Bass Mortgage Loan Asset Backed Notes, Series 2001-CB4
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2002-CB1
C-BASS 2002-CB2 Trust
Salomon Mortgage Loan Trust, Series 2002-CB3 C-BASS
Mortgage Loan Asset-Backed Certificates
C-BASS 2002-CB4 Trust
C-BASS 2002-CB5 Trust
C-BASS 2002-CB6 Trust
C-BASS Mortgage Loan Trust, Series 2003-CB1
C-BASS 2003-CB2 Trust
C-BASS 2003-CB3 Trust
C-BASS 2003-CB4 Trust
C-BASS Series 2003-CB5, C-Bass Mortgage Loan
Asset-Backed Certificates
C-BASS 2003-CB6 Trust
C-BASS 2003-RP1 Trust
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2004-CB1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2004-CB2
Citigroup Mortgage Loan Trust, Series 2004-CB3, C-Bass
Mortgage Loan Asset-Backed Certificates
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2004-CB4
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2004-CB5
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2004-CB6
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2004-CB7
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2004-CB8
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2004-RP1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2005-CB1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2005-CB2
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2005-CB3
C-BASS Mortgage Loan Trust, Series 2005-CB4
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2005-CB5
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2005-CB6
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2005-CB7
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2005-CB8
C-BASS Mortgage Loan Asset Backed Certificates, Series 2005-RP1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2005-RP2
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2006-CB2
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2006-CB3
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2006-CB4
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2006-CB5
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2006-CB6
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2006-CB8
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2006-MH1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2006-RP1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2006-RP2
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2006-SL1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2007-CB1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2007-CB3
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2007-CB4
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2007-CB5
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2007-CB6
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2007-RP1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2007-SL1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2007-SP1
C-BASS Mortgage Loan Asset-Backed Certificates, Series
2007-SP2
Citigroup Home Equity Loan Trust, Series 2003-HE1
Citigroup Mortgage Loan Trust, Series 2004-RES1
Citigroup Mortgage Loan Trust, Series 2003-HE2
CWABS, Inc. Asset-Backed Certificates, Series
2002-3
CWABS, Inc. Asset-Backed Certificates, Series
2002-2
Equity One ABS, Inc. 1998-1
Equity One Mortgage Pass-Through Trust 1999-1
Equity One Mortgage Pass-Through Trust 2001-3
Equity One Mortgage Pass-Through Trust 2002-1
Equity One Mortgage Pass-Through Trust 2002-2
Equity One Mortgage Pass-Through Trust 2002-3
Equity One Mortgage Pass-Through Trust 2003-1
Equity One Mortgage Pass-Through Trust 2003-2
Equity One Mortgage Pass-Through Trust 2003-3
Equity One Mortgage Pass-Through Trust 2003-4
Equity One Mortgage Pass-Through Trust 2004-1
Equity One Mortgage Pass-Through Trust 2004-2
Equity One Mortgage Pass-Through Trust 2004-3
Popular ABS Mortgage Pass-Through Trust 2004-4
Popular ABS Mortgage Pass-Through Trust 2004-5
Popular ABS Mortgage Pass-Through Trust 2005-1
Popular ABS Mortgage Pass-Through Trust 2005-2
Popular ABS Mortgage Pass-Through Trust 2005-3
Popular ABS Mortgage Pass-Through Trust 2005-4
Popular ABS Mortgage Pass-Through Trust 2005-5
Popular ABS Mortgage Pass-Through Trust 2005-6
Popular ABS Mortgage Pass-Through Trust 2005-A
Popular ABS Mortgage Pass-Through Trust 2005-B
Popular ABS Mortgage Pass-Through Trust 2005-C
Popular ABS Mortgage Pass-Through Trust 2005-D
Popular ABS Mortgage Pass-Through Trust 2006-A
Popular ABS Mortgage Pass-Through Trust 2006-B
First NLC Trust 2005-2
GSAA Home Equity Trust 2006-S1
GSAA Home Equity Trust 2007-S1
GSAMP Trust 2005-WMC1
GSAMP Trust 2005-WMC2
GSAMP Trust 2006-HE1
GSAMP Trust 2006-HE3
GSAMP Trust 2006-HE4
GSAMP Trust 2006-HE5
GSAMP Trust 2006-HE7
GSAMP Trust 2007-HE1
GSAMP Trust 2007-NC1
GSAMP Trust 2007-SEA1
GSAMP Trust 2005-HE5
GSAMP Trust 2006-HE8
GSRPM Mortgage Loan Trust 2006-2
GSRPM Mortgage Loan Trust 2007-1
Long Beach Mortgage Loan Trust 2004-1
Merrill Lynch Mortgage Investors, Inc. 2002-NC1
Nomura Home Equity Loan Trust 2006-FM1
Nomura Home Equity Loan Trust 2006-FM2
Nomura Asset Acceptance Corporation, Alternative Loan Trust,
Series 2007-2
Nomura Asset Acceptance Corporation, Alternative Loan Trust,
Series 2007-3
Ownit Mortgage Loan Trust 2006-1
Ownit Mortgage Trust 2006-OT1
Popular ABS Mortgage Pass-Through Trust 2006-C
Popular ABS Mortgage Pass-Through Trust 2006-D
PPT ABS LLC Asset-Backed Certificates, Series 2004-1
Salomon Home Equity Loan Trust, Series 2002-WMC1
Terwin Mortgage Trust 2003-7SL
Terwin Mortgage Trust 2004-10SL
Terwin Mortgage Trust 2004-2SL
Terwin Mortgage Trust 2004-6SL
CWABS, Inc., Asset-Backed Certificates,
Series 2004-BC2
CWABS, Inc., Asset-Backed Certificates,
Series 2004-BC3
GSAMP Trust 2005-WMC3
Maxim Pertsov
Associate Analyst
Structured Finance Group
Moody's Investors Service, Inc.
250 Greenwich Street
New York, NY 10007
U.S.A.
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653
Linda Stesney
MD - Structured Finance
Structured Finance Group
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653
Releasing Office:
Moody's Investors Service, Inc.
250 Greenwich Street
New York, NY 10007
U.S.A.
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653
Moody's: No negative ratings impact on various US RMBS from transfer of servicing to Ocwen from Litton