Bombardier MH Classes Downgraded

Twenty-one classes from six Bombardier Capital Mortgage Securitization Corp. manufactured housing deals issued from 1998 to 2001 have been downgraded by Fitch Ratings.In addition, the ratings on 11 other classes were affirmed. Fitch noted that Bombardier provided retail financing for manufactured homes before exiting the business in September 2001, and continues to service the loans from a servicing center in Jacksonville, Fla. "When estimating future collateral losses, Fitch assumed a modest decline in default rates based on improving delinquency pipeline trends (i.e., the rate at which repo property being liquidated is outpacing the rate at which borrowers are becoming delinquent)," the rating agency said. Fitch said it expects each pool to incur losses between 30% and 40% of the remaining pool balance.