Citi Gets Servicing Upgrade Following Golden State Deal

Fitch Ratings has upgraded the residential primary servicer rating for CitiMortgage to 'RPS1' from 'RPS1-minus,' the rating agency announced.

The new rating is Fitch's highest for a servicer. Fitch said the upgrade is based on CitiMortgage's experienced management team, solid collateral performance, state-of-the-art risk management tools, comprehensive training programs, and the financial strength of its parent Citigroup, which is rated "AA-plus" by Fitch.

CitiMortgage is based in Saint Louis and has servicing sites in Saint Louis; Farmington Hills, Mich.; and Frederick, Md. As of Sept. 30, 2002, CitiMortgage serviced a portfolio of about 795,000 loans with outstanding principal of $111 billion, prior to a big merger.

Last November, CitiMortgage completed its acquisition of First Nationwide Mortgage Corporation as part of Citigroup's acquisition of Golden State Bancorp. That acquisition included some 918,000 mortgage loans with $110 billion in principal, essentially doubling the size of CitiMortgage's servicing operation.

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