Four certificates from three transactions issued by Terwin Mortgage Trust and backed by second-lien loans have been downgraded by Moody's Investors Service. The downgrades were as follows: Terwin Mortgage Trust 2006-4SL, class M-1, from Caa3 to C; Terwin Mortgage Trust 2006-8, class I-G, from B3 to C, and class I-M-1, from Ca to C; and Terwin Mortgage Trust 2005-13SL, class G, from Baa1 to Baa3. The downgrades were based on credit enhancement levels that were low compared with projected losses and the "continued and worsening performance of transactions backed by closed-end-second and home-equity-line-of-credit collateral," Moody's said.
Processing Content
