Seven certificates issued by Nomura Asset Acceptance Corp. Alternative Loan Trust in 2004 have been placed under review for possible downgrade by Moody's Investors Service.The affected securities are as follows: series 2004-AP2, class M-3; series 2004-AR1, class V-M-2; series 2004-AR2, classes M-2, M-3, and M-4; series 2004-AR3, class M-4; and series 2004-AR4, class M-5. Moody's also placed two Nomura classes under review for possible upgrade. The negative rating actions were attributed to levels of credit enhancement (provided by subordination, overcollateralization, and excess spread) that are low in view of the projected pipeline losses of the underlying pool. The transactions are backed by first-lien fixed- and adjustable-rate alternative-A mortgage loans.

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