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SALOMON BROTHERS MORTGAGE SECS. VII, SERIES 1992-7 'AAA/AA' BY FITCH -- FITCH FINANCIAL WIRE --

 NEW YORK, Dec. 29 /PRNewswire/ -- Salomon Brothers Mortgage Securities VII's (SBMS) $278.7 million mortgage pass-through certificates, series 1992-7 classes A and R, are rated AAA' and the $15.0 million class M certificates are rated AA'.
 The AAA' rating on the classes A-1 through A-5 and R-I and R-II certificates reflects the credit enhancement primarily provided by the 5.00 percent subordinated class M certificates and a 6.00 percent mortgage pool insurance policy issued by General Electric Mortgage Insurance Corporation (GEMICO). The AA' ratings on the classes M-1 through M-5 certificates reflects the credit support provided primarily by the 6.00 percent mortgage pool insurance policy which includes a fraud waiver. The 1.00 percent unrated class B certificates will provide additional support to the classes A-5 and M-5 certificates by covering any balloon payment losses. Initially and to a limited extent, special hazard and borrower bankruptcy loss coverage will be provided by the $3.5 million unrated class SH certificates. Fitch's ratings also reflect the integrity of the legal and financial structures, as well as the quality of the master servicer, Countrywide Funding Corporation (Countrywide).
 The mortgage pool consists of fixed and adjustable rate, fully amortizing and balloon payment mortgage loans secured by first liens on residential real properties, and is divided into five separate sub- pools. The loans in sub-pools 1, 3, and 4 consist of ARMs indexed to the weekly average yield on one-year U.S. Treasury securities; sub-pool 2 contains ARMs indexed to the weekly average yield on secondary market interest rates for six-month negotiable certificates of deposit; and sub-pool 5 is composed of fixed balloon payment mortgage loans with original terms to maturity of 7 years.
 The mortgaged properties for the combined pool are located primarily in California; 26 percent northern and 55 percent southern. The original weighted average original loan-to-value ratio (LTV) is 71 percent and 14 percent of the loans have LTVs greater than 80 percent. Limited documentation loans represent approximately 9 percent of the pool; cash- out refinance loans 19 percent, and jumbo loans 48 percent (balances between $300,001-$600,000).
 All of the mortgage loans were acquired by SBMS from Salomon Brothers Realty Corp., an affiliate of SBMS, which acquired the mortgage loans from Countrywide. SBMS, a special purpose corporation, deposited the loans in to the trust, which issued the certificates. Countrywide will act as master servicer for the pool. Two separate real estate mortgage investment conduit (REMIC) elections will be made with respect to the trust fund for federal income tax purposes.
 -0- 12/29/92
 /CONTACT: Jill Guido, 212-908-0682, or Alexander K. Zabik, 212-908-0634, both of Fitch/


CO: Salomon Brothers Mortgage Securities VII ST: New York IN: FIN SU: RTG

WB -- NY035 -- 0419 12/29/92 16:47 EST
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Date:Dec 29, 1992
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