New York, October 18, 2013 -- Moody's Investors Service has downgraded the ratings of five tranches
and upgraded the ratings of eight tranches backed by Alt-A RMBS
loans, issued by six RMBS transactions
Complete rating actions are as follows:
Issuer: Alternative Loan Trust 2004-J9
Cl. M-1, Upgraded to Ba3 (sf); previously on
Jun 25, 2012 Confirmed at B2 (sf)
Issuer: Banc of America Alternative Loan Trust 2003-9
Cl. 3-A-1, Downgraded to Ba1 (sf); previously
on Mar 11, 2013 Downgraded to Baa3 (sf)
Issuer: Banc of America Alternative Loan Trust 2004-1
Cl. 4-A-1, Downgraded to Ba3 (sf); previously
on Apr 13, 2012 Downgraded to Ba1 (sf)
Cl. 5-A-2, Downgraded to Ba1 (sf); previously
on Apr 13, 2012 Downgraded to Baa3 (sf)
Cl. 5-A-3, Downgraded to B3 (sf); previously
on Apr 13, 2012 Downgraded to B1 (sf)
Issuer: Banc of America Alternative Loan Trust 2004-4
Cl. 1-A-1, Downgraded to Ba1 (sf); previously
on Jun 21, 2012 Downgraded to Baa1 (sf)
Cl. 4-A-2, Upgraded to Ba1 (sf); previously
on Jun 21, 2012 Downgraded to B1 (sf)
Issuer: Banc of America Alternative Loan Trust 2004-6
Cl. 3-A-2, Upgraded to Baa2 (sf); previously
on Apr 13, 2012 Confirmed at Ba2 (sf)
Issuer: Bear Stearns ALT-A Trust 2004-12
Cl. I-A-1, Upgraded to Baa1 (sf); previously
on Mar 14, 2011 Downgraded to Baa2 (sf)
Cl. I-A-2, Upgraded to Baa3 (sf); previously
on Mar 14, 2011 Downgraded to Ba1 (sf)
Cl. I-A-3, Upgraded to A3 (sf); previously
on Mar 14, 2011 Downgraded to Baa1 (sf)
Cl. I-A-4, Upgraded to Baa1 (sf); previously
on Mar 14, 2011 Downgraded to Baa3 (sf)
Cl. I-M-1, Upgraded to Caa2 (sf); previously
on Mar 14, 2011 Downgraded to Caa3 (sf)
RATINGS RATIONALE
These actions reflect recent performance of the underlying pools and Moody's
updated loss expectations on the pools. The upgrades are due to
an increase in the credit enhancement available to the bonds.
The principal methodology used in these ratings was "US RMBS Surveillance
Methodology" published in June 2013. Please see the Credit Policy
page on www.moodys.com for a copy of this methodology.
The primary source of assumption uncertainty is the uncertainty in our
central macroeconomic forecast and performance volatility due to servicer-related
issues. The unemployment rate fell from 8.1% in August
2012 to 7.3% in August 2013. Moody's forecasts an
unemployment central range of 6.5% to 7.5%
for the 2014 year. Moody's expects house prices to continue to
rise in 2014. Performance of RMBS continues to remain highly dependent
on servicer procedures. Any change resulting from servicing transfers
or other policy or regulatory change can impact the performance of these
transactions.
A list of these actions including CUSIP identifiers may be found at:
Excel: http://www.moodys.com/viewresearchdoc.aspx?docid=PBS_SF344930
A list of updated estimated pre-2005 transactions pool losses and
sensitivity analysis is being posted on an ongoing basis for the duration
of this review period and may be found at:
Excel: http://v3.moodys.com/viewresearchdoc.aspx?docid=PBS_SF237256
For more information please see www.moodys.com.
REGULATORY DISCLOSURES
Moody's did not receive or take into account a third party assessment
on the due diligence performed regarding the underlying assets or financial
instruments related to the monitoring of these transactions in the past
six months.
For ratings issued on a program, series or category/class of debt,
this announcement provides certain regulatory disclosures in relation
to each rating of a subsequently issued bond or note of the same series
or category/class of debt or pursuant to a program for which the ratings
are derived exclusively from existing ratings in accordance with Moody's
rating practices. For ratings issued on a support provider,
this announcement provides certain regulatory disclosures in relation
to the rating action on the support provider and in relation to each particular
rating action for securities that derive their credit ratings from the
support provider's credit rating. For provisional ratings,
this announcement provides certain regulatory disclosures in relation
to the provisional rating assigned, and in relation to a definitive
rating that may be assigned subsequent to the final issuance of the debt,
in each case where the transaction structure and terms have not changed
prior to the assignment of the definitive rating in a manner that would
have affected the rating. For further information please see the
ratings tab on the issuer/entity page for the respective issuer on www.moodys.com.
For any affected securities or rated entities receiving direct credit
support from the primary entity(ies) of this rating action, and
whose ratings may change as a result of this rating action, the
associated regulatory disclosures will be those of the guarantor entity.
Exceptions to this approach exist for the following disclosures,
if applicable to jurisdiction: Ancillary Services, Disclosure
to rated entity, Disclosure from rated entity.
Regulatory disclosures contained in this press release apply to the credit
rating and, if applicable, the related rating outlook or rating
review.
Please see www.moodys.com for any updates on changes to
the lead rating analyst and to the Moody's legal entity that has issued
the rating.
Please see the ratings tab on the issuer/entity page on www.moodys.com
for additional regulatory disclosures for each credit rating.
Jiwon Park
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
Bruce D. Fabrikant
Senior Vice President
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 takes action on $272 Million of Alt-A RMBS issued from 2003-2004