Reperforming Loan Classes Downgraded

Two certificates from Reperforming Loan REMIC Trust Certificates series 2003-R4 have been downgraded by Moody's Investors Service.Class B-3 was downgraded from Ba2 to B2, and class B-4 was downgraded from B2 to Ca. Moody's also confirmed the rating on class B-2 of the transaction. The downgrades were attributed to credit enhancement levels that are low in view of projected losses on the underlying pools. The transaction consists of securitizations of reperforming 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. "Frequencies of loans into default appear to be significant for FHA/VA collateral, causing erosion in credit support," Moody's said. The rating agency can be found online at http://www.moodys.com.