Four classes from two Long Beach Mortgage Loan Trust transactions have been downgraded by Fitch Ratings.The downgrades were as follows: series 2003-2, class M-4, from BBB-minus to B, and class M-5, from BB-plus to CCC/DR1; and series 2004-2, class M-7, from BBB-minus to BB-minus, and class B, from BB to CCC/DR1. Fitch also placed class M-3 of series 2003-2 and class M-6 of series 2004-2 on Rating Watch Negative and affirmed the ratings on eight other classes in the two deals. The negative rating actions were attributed to deterioration in the relationship between credit enhancement and loss expectations. The collateral in the deals consists of subprime loans secured by first- and second-lien mortgages or deeds of trust.
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