Ameriquest ABS Classes Downgraded

Two certificates from an Ameriquest asset-backed securitization deal issued in 2001 have been downgraded by Moody's Investors Service.Class M-2 of ABFC Mortgage Loan Asset-Backed Certificates, series 2001-AQ1, was downgraded from A2 to Baa3, and class B of the deal was downgraded from Ba2 to B2, Moody's reported. The classes were downgraded because credit enhancement levels are low given the projected losses on the underlying pools, the rating agency said. "The transaction has taken losses, and pipeline loss could cause eventual erosion of the overcollateralization," Moody's said. The deal consists of fixed-rate, first-lien subprime mortgage loans. The servicer and the originator on the transaction is Ameriquest Mortgage Co., and Litton Loan Servicing LP is the special servicer. Moody's can be found online at http://www.moodys.com.