Fitch Assigns 'CAM1-' Investment Grade Corporate CAM Rating to KBC Financial Products.

NEW YORK -- Fitch has assigned KBC Financial Products (KBCFP) a 'CAM1-' investment grade corporate collateralized debt obligation (CDO) asset manager rating.

KBCFP's rating reflects the company's extensive synthetic CDO structuring experience, its strong synthetic CDO performance track record, and the level of technology used to monitor the underlying collateral included in its synthetic CDO portfolios. KBCFP has developed a strong infrastructure to effectively manage bespoke tranches and actively manage the assets included in its synthetic CDO portfolios.

KBCFP's 'CAM1-' rating is based on the firm's composite score, which represents a weighted average based on the scores assigned for each group of criteria factors summarized below. This composite score is used to establish a systematically applied quantitative link between its asset manager rating and Fitch's CDO rating criteria, in accordance with the approach outlined in the Fitch report 'Reviewing and Rating CDO Asset managers' dated Jan. 2, 2007, available on the Derivative Fitch web site at www.derivativefitch.com.

--Company and Management Experience '1-';

--Staffing '2+;

--Procedures and Controls '1-';

--Portfolio Management '1-;

--CDO Administration '1-';

--Technology '1-';

--CDO Portfolio Performance '1-'.

KBCFP is in the business of structuring and managing alternative investments and capital markets products. KBCFP's CDO group is responsible for managing the company's structured credit business including its CDO transactions. As a wholly-owned subsidiary of KBC Bank NV, rated 'AA-/F1+' by Fitch, KBCFP utilizes staff from its New York and London offices to structure and manage the company's CDO portfolios. Historically, the firm has issued 16 CDOs referencing investment grade credits, of which 4 have matured. The majority of KBCFP's CDOs consist primarily of investment grade corporate reference credits from both Europe and the U.S. in addition to structured credit investments and ABS. The team recently closed its first European leveraged loan CDO in December 2006. KBCFP retains the first loss layer in each of its CDOs, and has been a steady issuer since closing its first public transaction in 2002.

An updated profile report and full CAM rating report on KBCFP will be available on the Derivative Fitch web site.

Fitch rates CDO asset managers by asset class, on a scale of 1 to 5, with 1 being the highest rating. The rating scale includes plus ('+') and minus ('-') designations, along with flat ratings. These ratings are based on a standardized scorecard methodology that includes factors in each of the seven groups as noted above.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.derivativefitch.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. Fitch means Fitch, Inc., Fitch Ratings, Ltd. and their subsidiaries including Derivative Fitch, Inc. and Derivative Fitch Ltd. and any successor or successors thereto.