GSAMP MBS Tranches Downgraded

Two tranches of GSAMP Trust 2004-SEA2 have been downgraded by Moody's Investors Service, and two other tranches have been placed on review for possible downgrade.Class B-1 of the transaction was downgraded from Baa3 to Ba3, and class B-2 was downgraded from Ba1 to Caa3. Classes M-4 and M-5 were placed on review for possible downgrade. Moody's also upgraded one tranche issued by GSAMP Trust 2003-SEA2. The negative rating actions were based on a "rapid deterioration" of overcollateralization caused by accelerating losses, Moody's said. "From March to May of 2006. the transaction incurred nearly $4 million in losses," the rating agency reported. The deal consists of seasoned subprime mortgage loans, some of which experienced delinquency prior to securitization. Moody's can be found online at http://www.moodys.com.