Eight classes from Long Beach Mortgage Loan Trust, series 2002-2, have been downgraded by Fitch Ratings.The downgrades were as follows: group 1, class I-M2, from A to BBB, class I-M3, from BBB-minus to B, and classes I-M4A and I-M4B, from B to CCC; and group 2, class II-M2, from A to BBB, class II-M3, from BBB-minus to B, and classes II-M4A and II-M4B, from B to CCC. Fitch also affirmed the rating on one other class in the deal. The downgrades were attributed to a deterioration in the relationship between credit enhancement levels and loss expectations. Group 1 of the transaction is backed by first-lien adjustable- and fixed-rate conforming mortgage loans, and group 2 is backed largely by first- and second-lien adjustable- and fixed-rate nonconforming mortgage loans. Fitch can be found online at http://www.fitchratings.com.
