Eighteen tranches from several 2001, 2002, and 2003 deals with loans originated by New Century Mortgage Corp. have been downgraded by Moody's Investors Service.In addition, five tranches have been placed under review for possible downgrade and the ratings on three tranches have been confirmed. The negative rating actions were based on "recent and expected pool losses and the resulting erosion of credit support," Moody's said. The collateral backing these classes consists primarily of first-lien, fixed- and adjustable-rate subprime mortgage loans. The deals were issued by Ace Securities Corp. Home Equity Loan Trust, Asset Backed Securities Corp. Home Equity Loan Trust, Merrill Lynch Mortgage Investors Trust, New Century Home Equity Loan Trust, and several Morgan Stanley entities. Moody's can be found online at http://www.moodys.com.

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