Two classes of GSMPS Mortgage Loan Trust series 2003-1 have been downgraded by Moody's Investors Service.Class B4 was downgraded from Ba2 to Ba3, and class B5 was downgraded from B2 to Ca. The rating on one other class in the transaction was confirmed. The downgrades stem from the fact that credit enhancement levels are too low in view of projected losses on the underlying pools, Moody's said. The transaction consists of a securitization of re-performing loans insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs, virtually all of which were repurchased from Ginnie Mae pools, the rating agency said.

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