Fitch Downgrades 1 Class of First Union Home Equity Loan Trust, Series 1997-2.NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of -- Fitch Ratings Fitch Ratings An international rating agency for financial institutions, insurance companies, and corporate, sovereign, and municipal debt. Fitch Ratings has headquarters in New York and London and is wholly owned by FIMALAC of Paris. has downgraded the following First Union Home Equity Loan Trust, series 1997-2 issue: -- Class B to 'C' from 'CCC'. All of the mortgages in the aforementioned transaction consist of fixed-rate and balloon mortgages extended to subprime borrowers. The downgrade, affecting approximately $14.91 million of outstanding certificates, is a result of the poor performance of the collateral. Insufficient credit enhancement on the certificate has resulted in principal reductions of the bond balance. Currently, the deal has approximately $1.86 million in foreclosure and real estate owned Real Estate Owned Property owned by a lender - usually a bank - after an unsuccessful sale at a foreclosure auction. This is common because most of the properties up for sale at these auctions are worth less than the total amount owed to the bank: the minimum bid in most and may sustain future losses. The pool factor (i.e. current mortgage loans outstanding as a percentage of the initial pool) for this deal is 6% and is 95 months seasoned. Further information regarding current delinquency, loss, and credit enhancement statistics is available on the Fitch Ratings web site at www.fitchratings.com. Fitch's rating definitions and the terms of use Terms of Use are rules set up by the owner of an intellectual property or service to govern how they may be legally used. In many cases, terms of service are used as a contractual agreement between a company and users of a service they provide. 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 Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental are also available from the 'Code of Conduct' section of this site. |
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