Ninety-six tranches from 16 alternative-A transactions issued by J.P. Morgan have been downgraded by Moody's Investors Service. Forty downgraded tranches remain on review for possible further downgrade, and eight other tranches were placed on review for possible downgrade. The negative rating actions, in general, were based on higher-than-expected rates of delinquency, foreclosure, and real estate owned in the underlying collateral relative to credit enhancement levels, Moody's said. The collateral consists primarily of first-lien, alt-A mortgage loans.
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