Fitch Downgrades 14 and Affirms 12 Single-Name Credit-Linked Notes.

NEW YORK & LONDON -- Fitch Ratings has downgraded 14 and affirmed 12 credit-linked note (CLN) transactions as follows:

Downgrades:

-- CLP 4,950,000,000 notes issued by Cloverie Plc series No: 2007-52, downgraded to 'BB' from 'BBB-', assigned a Positive Outlook;

-- CLP 7,597,500,000 notes issued by Cloverie Plc series No: 2007-53, downgraded to 'BB+' from 'BBB', assigned a Stable Outlook;

-- MXN 253,162,294 notes issued by Cloverie Plc series No: 2008-002, downgraded to 'BBB-' from 'BBB';

-- MXN 199,239,518 notes issued by Cloverie Plc series No: 2008-11, downgraded to 'BBB-' from 'BBB', assigned a Stable Outlook;

-- EUR 1,714,500,000 floating-rate notes due 2058 issued by DEXIA SECURED FUNDING BELGIUM NV acting for its Compartment DSFB-I, downgraded to 'A+' from 'AA-', assigned a Stable Outlook;

-- EUR 1,621,250,000 floating-rate notes due 2040 issued by DEXIA SECURED FUNDING BELGIUM NV acting for its Compartment DSFB-II, downgraded to 'A+' from 'AA-', assigned a Stable Outlook;

-- CLP 5,348,000,000 notes issued by LatAm Trust series 2006-100, downgraded to 'BB+' from 'BBB-', assigned a Stable Outlook;

-- CLP 5,348,000,000 notes issued by LatAm Trust series 2006-101, downgraded to 'BB+' from 'BBB-', assigned a Stable Outlook;

-- CLP 5,136,000,000 notes issued by Latam Trust series 2007-105, downgraded to 'BBB' from 'A-', placed on Rating Watch Negative;

-- CLP 2,187,000,000 notes issued by Latam Trust series 2008-101, downgraded to 'BBB+' from 'A-', assigned a Stable Outlook;

-- CLP 2,700,000,000 notes issued by Pisces Finance Ltd. 2006-2, downgraded to 'BB' from 'BBB-', assigned a Stable Outlook;

-- CLP 5,300,000,000 notes issued by Signum Verde 2006-2, downgraded to 'BB' from 'BBB-', assigned a Positive Outlook;

-- CLP 5,300,000,000 notes issued by Signum Verde 2007-3, downgraded to 'B-' from 'BB', placed on Rating Watch Negative;

-- CLP 4,950,000,000 notes issued by Signum Verde 2007-4, downgraded to 'BB' from 'BBB-', assigned a Stable Outlook.

Affirmations:

-- JPY 6,055,000,000 notes issued by Amber Trust Two, affirmed at 'BBB', assigned a Stable Outlook;

-- EUR 36,149,326 series 2002-1 class A asset-backed floating-rate notes due 2013 issued by Astrea S.r.l., affirmed at 'AA-', assigned a Stable Outlook;

-- COP 54,558,000,000 notes issued by Elva Funding Plc 2008-5, affirmed at 'A', assigned a Stable Outlook;

-- COP 49,000,000,000 notes issued by EM Falcon Limited series 2008-1, affirmed at 'A', assigned a Stable Outlook;

-- CLP 5,082,000,000 notes issued by Emblem Finance Company No. 2 Limited series 2, affirmed at 'BBB-', assigned a Stable Outlook;

-- CLP 13,972,500,000 notes issued by Jupiter Finance Ltd. 2008-003, affirmed at 'BBB+', assigned a Stable Outlook;

-- CLP 2,187,000,000 notes issued by Latam Trust series 2008-102, affirmed at 'A-', assigned a Stable Outlook;

-- CLP 26,462,500,000 notes issued by Latam Trust, series 2007-102, affirmed at 'BB-', assigned a Stable Outlook;

-- CLP 5,081,500,000 notes issued by Latam Trust, series 2007-108, affirmed at 'A-', assigned a Stable Outlook;

-- CLP 5,050,000,000 notes issued by Signum Verde 2007-5, affirmed at 'BBB-', placed on Rating Watch Negative;

-- JPY 5,363,000,000 notes issued by Spices Financial Limited series 2005-1, affirmed at 'A', assigned a Stable Outlook.

-- JPY 6,694,800,000 notes issued by Spices Financial Limited series 2005-2, affirmed at 'A'.

These actions follow the release of Fitch's new criteria for rating single and multi-name credit-linked notes, which was released on April 13, 2009. The criteria incorporate the use of the Fitch Credit-Linked Note Matrix (CLN Matrix), which takes into account each underlying risk in a transaction and, in some cases, applies a penalty if restructuring is selected as a credit event.

The actions taken by Fitch may also reflect recent actions taken on the underlying risks present in each transaction; namely rating changes to the reference entity, the swap counterparty, and/or the qualified investment that have occurred since the last review or initial rating. The revised Outlook status or Rating Watch status reflects the Outlook/Rating Watch of the main risk drivers (the 'weakest link') present in each transaction. The weakest link is the highest risk-presenting entity, measured by its current rating.

A full description of Fitch's rating criteria for single and multi-name CLNs including Fitch's CLN Matrix can be found in the report, 'Global Rating Criteria for Single and Multi-Name Credit-Linked Notes', which is available on the Fitch Ratings web site at www.fitchratings.com. Transaction information for the above CLNs is available to the public on the CDO S.M.A.R.T. (Surveillance Metrics Analytics Research Tools) section of www.fitchreseach.com.

Fitch will continue to conduct regular surveillance of rated single and multi-name CLNs.

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.