Fitch Rates ABSC's $877.2MM Pass-Thru Ctfs Series 2004-HE2.

Business Editors

NEW YORK--(BUSINESS WIRE)--April 7, 2004

Asset-Backed Securities Corporation (ABSC) Home Equity Loan Trust, series 2004-HE2, are rated by Fitch Ratings as follows:

-- $724.2 million classes A1, A2, A2A and A3 'AAA';

-- $56.3 million class M1 'AA';

-- $47.3 million class M2 'A';

-- $13.5 million class M3 'A-';

-- $13.5 million class M4 'BBB+';

-- $11.3 million classes M5A and M5B 'BBB';

-- $11.2 million class M6 'BBB-.

The 'AAA' rating on the senior certificates A1, A2, A2A and A3 reflects the 17% subordination provided by classes M1, M2, M3, M4, M5A, M5B and M6, monthly excess interest and initial overcollateralization (OC) of 2.50%. The 'AA' rating on the class M1 reflects the 10.75% subordination provided by classes M2, M3, M4, M5A, M5B and M6, monthly excess interest and initial OC. The 'A' rating on the class M2 reflects the 5.50% subordination provided by classes M3, M4, M5A, M5B and M6, monthly excess interest and initial OC. The 'A-' rating on the class M3 reflects the 4% subordination provided by classes M4, M5A, M5B and M6, monthly excess interest and initial OC. The 'BBB+' rating on the class M4 reflects the 2.50% subordination provided by classes M5A, M5B and M6, monthly excess interest and initial OC. The 'BBB' rating on classes M5A and M5B reflects the 1.25% subordination provided by class M6, monthly excess interest and initial OC. The 'BBB-' rating on the class M6 is supported by monthly excess interest and initial OC. In addition, the rating reflects the quality of the underlying collateral, the integrity of the legal and financial structure, and the servicing capabilities of HomeEq Servicing Corporation. Wells Fargo Bank, N.A. will act as trustee.

The mortgage pool consists of closed-end, first- and second-lien, fixed-rate and adjustable-rate mortgage loans with an aggregate cut-off date principal balance of $899,681,106. The mortgage loans were originated by New Century Mortgage Corporation. As of the cut-off date (April 1, 2004), the weighted-average loan rate is approximately 7.06%. The weighted-average remaining term to maturity is 351 months. The average cut-off date principal balance of the mortgage loans is approximately $169,177. The weighted-average original loan-to-value (OLTV) ratio is 81.39% and the weighted-average Fair, Isaac & Co. (FICO) score is 612. The properties are primarily located in California (36.06%), New York (8.29%) and Florida (6.54%).

New Century Mortgage Corporation, a wholly-owned subsidiary of New Century Financial Corporation, is a consumer finance and mortgage banking company that originates and sells first- and second-mortgage loans and other consumer loans. New Century emphasizes the origination of mortgage loans that are commonly referred to as non-conforming 'B&C' loans. New Century commenced lending operations on Feb. 26, 1996.