Fitch Downgrades Alt-A-, B&C-Linked CDOs

Thirty-eight classes of notes issued by five collateralized debt obligations linked to alternative-A and subprime residential mortgage-backed securities have been downgraded by Fitch Ratings. The affected securities include 10 classes from Maxim High Grade CDO I Ltd. and eight classes from Maxim High Grade CDO II Ltd, both static high-grade cash flow structured finance CDOs; and eight classes from Nautilus RMBS CDO I Ltd./LLC, six classes from Nautilus RMBS CDO II Ltd./LLC, and six classes from Nautilus RMBS CDO V Ltd./LLC, all static cash flow structured finance CDOs. Twenty-three of the downgraded classes were removed from Rating Watch Negative. The downgrades were attributed in all cases to collateral or credit deterioration in the portfolios' alt-A RMBS and, in four of the five cases, in their subprime RMBS. Fitch can be found online at http://www.fitchratings.com.