The B-4 classes from NAAC Reperforming Loan Remic Trust Certificates series 2004-R1 and 2004-R2 have been placed under review for possible downgrade by Moody's Investors Service.The negative rating actions were taken because credit enhancement levels are low given the projected losses on the underlying pools, Moody's said. The transactions consist of securitizations of reperforming loans insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs, nearly all of which were repurchased from Ginnie Mae pools, according to the rating agency.

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