Fitch Ratings Upgrades Merrill Lynch Mortgage Investors, Series 1997-C2.

Business Editors

NEW YORK--(BUSINESS WIRE)--Sept. 10, 2003

Merrill Lynch Mortgage Investors, Inc.'s series 1997-C2 certificates are upgraded as follows:

-- $27.5 million class B to 'AAA' from 'AA';

-- $41.2 million class C to 'AA-' from 'A';

-- $34.3 million class D to 'BBB+' from 'BBB'.

In addition the following classes are affirmed:

-- $46.8 million class A-1 at 'AAA';

-- $372.5 million class A-2 at 'AAA';

-- Interest-only class X at 'AAA';

-- $37.7 million class F at 'BB';

-- $6.9 million class G at 'BB-';

-- $12.0 million class H at 'B';

-- $6.9 million class J at 'B-'.

The $12.0 million class E and $10.4 million class K certificates are not rated by Fitch Ratings.

The rating actions follow Fitch's review of the transaction, which closed in December 1997.

The upgrades are due to loan amortization and payoffs which have resulted in increased credit support to the investment grade Fitch rated classes.

GEMSA Loan Services, L.P., the master servicer, collected year-end (YE) 2002 financials for 94% of the pool balance as of August 2003. Based on the information provided the resulting YE 2002 weighted average debt service coverage ratio (DSCR) is 1.54 times (x) compared to 1.37x at issuance for the same loans.

Seven loans (3.4%) are currently in special servicing and losses are expected on three. The largest specially serviced loan (0.9%) is a multifamily property located in Dallas, TX and is 90 days delinquent. The property has suffered from declines in occupancy as a result of the current economic conditions facing the Dallas apartment market. The next largest specially serviced loan (0.5%) is a retail property located in Franklin Township, NJ and is 30 days delinquent. The primary tenant who occupied 60% net rentable area (NRA) and was on a month-to-month lease vacated their space in May 2003. In addition, there are several tenants with upcoming lease expirations within the next twelve months. Ten loans (3.9%) reported YE 2002 DSCRs less than 1.0x.