CREDIT COMMENT
December 07, 2007

Please find attached a comment from our London-based Financials analyst, Hank Calenti, on the US Government's decision to freeze rates on sub-prime ARMs.

Confiscation of (previously) anticipated excess spread within residential mortgage backed-securities (RMBS) is the consequence of the US Government plan to freeze the interest rates of certain sub-prime borrowers with adjustable rate mortgages.  As such, it is a net neutral to negative event for monolines and US mortgage originators, in our view. It is also a net negative for US RMBS investors. (Total 6 pages)

Can anybody tell me how to earn 金钱? I desperately need it. You may write in chinese. Please~~~