Five classes of notes issued by Pacific Coast CDO Ltd. have been downgraded by Fitch Ratings.The downgrades were as follows: class A, from AAA to AA; class B, from BBB-minus to B; class C-1, from B-minus to C; class C-2, from B-minus to C; and preference shares, from CC to C. Pacific Coast is a collateralized debt obligation that consists of 50.7% residential mortgage-backed securities, 17.3% asset-backed securities, 16.1% commercial MBS, 9.2% corporate bonds, and 6.8% CDOs. Since Fitch's last rating action on Aug. 31, the portfolio "has continued to deteriorate," Fitch said, pointing to large exposures in the manufactured housing and aircraft sectors that have led to the downgrading of approximately 28.2% of the portfolio. Fitch can be found online at http://www.fitchratings.com.

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