Standard & Poor's last week lowered its ratings on 50 tranches from 12 U.S. cash flow and hybrid CDO of ABS deals. Forty-seven of these ratings had been on CreditWatch with negative implications before the downgrades. The rating agency removed the ratings assigned to these tranches from CreditWatch. The rating on an additional class from one of these transactions is still on CreditWatch with negative implications. Aside from this, S&P affirmed its ratings on another 19 tranches from six CDO of ABS deals and removed them from CreditWatch with negative implications. The 50 downgraded tranches is worth $2.312 billion; the 19 tranches with ratings affirmed at their current levels and removed from CreditWatch negative represent an issuance amount of $692.6 million. All of the affected CDO transactions are backed partly by mezzanine tranches of U.S. RMBS backed by first-lien subprime mortgage collateral.
BNP Paribas hired Vlad Galea as its new head of emerging markets