UCFC MH Classes Downgraded

Nine classes of United Companies Financial Corp.'s manufactured housing deals have been downgraded by Fitch Ratings.The downgrades are as follows: series 1997-3, class A-4, from BBB to BB-plus; series 1997-4, class A-4, from A-minus to BBB-plus; series 1998-1, class A-3, from AA-minus to A-minus; series 1998-2, class A-3, from AA to A-minus, class A-4, from BB to B-plus, and class M-1, from B-minus to CCC; and series 1998-3, class A-1, from BB to B-plus, class M-1, from B to CCC, and class M-2, from CCC to CC. In addition, Fitch affirmed the ratings on seven classes from five UCFC securitizations. The downgrades were attributed to deterioration in the relationship between credit enhancement and expected losses. Fitch can be found online at http://www.fitchratings.com.