Sixty classes from 12 residential mortgage-backed securities deals backed by alternative-A mortgage loan collateral issued in 2005, 2006, and 2007 have been downgraded by Standard & Poor's Ratings Services. S&P also removed 41 of the ratings from Credit Watch with negative implications, affirmed the ratings on 89 other classes, and removed those ratings from Credit Watch negative. The rating agency attributed the downgrades to "our opinion that projected credit support for the affected classes is insufficient to maintain the previous ratings given our current projected losses." All the transactions are backed by fixed-rate loans or by adjustable-rate loans with initial reset periods of at least five years, S&P said.
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