Fitch Affirms $974.7MM and Places $45.7MM on Watch Negative for BNC 2007 Subprime Deal.

NEW YORK -- Fitch Ratings has taken the following rating action on one BNC mortgage pass-through certificate. Affirmations total $974.7 million. In addition, approximately $45.7 million are placed on Ratings Watch Negative. Break Loss percentages (BL) and Loss Coverage Ratios (LCR) for each class are included with the rating actions as follows:

BNC 2007-2

--$386.8 million class A1 affirmed at 'AAA' (BL: 36.41, LCR: 3.51);

--$220.8 million class A2 affirmed at 'AAA' (BL: 62.02, LCR: 5.98);

--$100.8 million class A3 affirmed at 'AAA' (BL: 42.78, LCR: 4.12);

--$30.7 million class A4 affirmed at 'AAA' (BL: 36.39, LCR: 3.51);

--$42.9 million class A5 affirmed at 'AAA' (BL: 36.41, LCR: 3.51);

--$50.7 million class M1 affirmed at 'AA+' (BL: 31.62, LCR: 3.05);

--$50.7 million class M2 affirmed at 'AA' (BL: 26.73, LCR: 2.58);

--$17.8 million class M3 affirmed at 'AA-' (BL: 24.94, LCR: 2.40);

--$21.7 million class M4 affirmed at 'A+' (BL: 22.71, LCR: 2.19);

--$17.8 million class M5 affirmed at 'A' (BL: 20.82, LCR: 2.01);

--$12.2 million class M6 affirmed at 'A-' (BL: 19.38, LCR: 1.87);

--$11.7 million class M7 affirmed at 'BBB+' (BL: 17.85, LCR: 1.72);

--$9.4 million class M8 affirmed at 'BBB+' (BL: 16.67, LCR: 1.61);

--$13.3 million class M9 rated 'BBB' (BL: 15.06, LCR: 1.45) and placed on Rating Watch Negative;

--$17.2 million class B1 rated 'BB+' (BL: 13.06, LCR: 1.26) and placed on Rating Watch Negative;

--$15 million class B2 rated 'BB' (BL: 11.60, LCR: 1.12) and placed on Rating Watch Negative.

Summary

--Originators: (100% BNC);

--60+ day Delinquency: 6.60%;

--Realized Losses to date (% of Original Balance): 0.01%;

--Expected Remaining Losses (% of Current Balance): 10.38%;

--Cumulative Expected Losses (% of Original Balance): 9.77%.

The rating actions are based on changes that Fitch has made to its subprime loss forecasting assumptions. The updated assumptions better capture the deteriorating performance of pools from 2007, 2006 and late 2005 with regard to continued poor loan performance and home price weakness. Additional details are available in the following research, also available at www.fitchratings.com:

All of Fitch's ratings criteria for US Subprime RMBS available at www.fitchratings.com/subprime. For a list of deals currently under analysis please visit www.fitchratings.com/smartview.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site.