ABS

LAS VEGAS - Additional CDO volume is expected this year compared with 2005, according to attendees at the ASF 2006 conference held here last week.

LAS VEGAS - After one of the most watched events in the credit card industry unfolded in the last half of 2005 with the implementation of the Bankruptcy Reform Act, credit card ABS performance appears to be holding up well and sources expect spreads to continue to remain tight.

LAS VEGAS - This year's release of tradable indices for asset-backed securities credit default swaps - deemed the wild, wild West of ABS - is not only considered a turning point for the rapidly growing CDS of ABS sector, but is thought to be one of the most, if not the, monumental developments in the market, according to attendees at the ASF 2006 conference held here last week.

Thanks in part to a low default rate, 2005 was a strong year ratings-wise for collateralized bond obligations and collateralized loan obligations, according to a recent report by Standard & Poor's.

LAS VEGAS - The private student loan ABS market is expected to continue its growth in 2006.

The American Securitization Forum is expecting a record 3,600 attendees at its annual conference, ASF 2006, in Las Vegas this week.

UBS is adding to its securitization team worldwide as part of a larger initiative to significantly ramp up its asset-backed activity.

More than $5 billion in tobacco settlement ABS came to the market last year compared with no issuance in 2004. The resurgence of issuance is being fueled by a string of positive litigation rulings and low interest rates, among other factors.

The home equity ABS credit default swap index - called the ABX.HE - is expected by analysts to remain volatile, at least in the near term.

The U.S. ABS primary market generated a whopping $26 billion as issuers and banks rushed to get deals done before market participants head to Las Vegas for the American Securitization Forum's 2006 ABS conference this week.

Moody's Investors Service is ramping up its servicer ratings group with a significant increase in the number of companies it covers.

Ameriquest Capital Holdings Corp. last week settled the second-largest predatory lending suit in U.S. history that had the largest subprime loan originator's upper management embroiled for more than a year.

After issuing its first CDO in the U.S. just last year, Deutsche Asset Management has gotten its foot in the door of the booming U.S. CLO marketplace thanks to a new agreement with Columbia Management under which DeAM will manage the day-to-day operations of Flagship Capital Management's six CLOs.

Year to date as of 01/25 Term (days) 01/19 01/20 01/23 01/24 01/25 1-week

Full Credit to Book (Equal if Joint) U.S. Public ABS Market/144A Market Managers Proceeds (mils) Rank Mkt. Share # of Issues Wachovia Corp 157.1 1 100.0 1 Industry Total 157.1 - 100.0 1 Source: Thomson Financial

Full Credit to Book (Equal if Joint) U.S. Public ABS Market/144A Market Managers Proceeds (mils) Rank Mkt. Share # of Issues Deutsche Bank AG 500.0 1 56.7 1 Banc of America Securities LLC 300.0 2 34.0 1 JP Morgan 82.0 3 9.3 1 Industry Total 882.0 - 100.0 3 Source: Thomson Financial

Full Credit to Book (Equal if Joint) U.S. Public ABS Market/144A Market Managers Proceeds (mils) Rank Mkt. Share # of Issues Morgan Stanley 250.0 1 50.0 1 JP Morgan 250.0 1 50.0 1 Industry Total 500.0 - 100.0 1 Source: Thomson Financial

Full Credit to Book (Equal if Joint) U.S. Public ABS Market/144A Market Managers Proceeds (mils) Rank Mkt. Share # of Issues - - - - - Industry Total - - - - Source: Thomson Financial

Full Credit to Book (Equal if Joint) U.S. Public ABS Market/144A Market Managers Proceeds (mils) Rank Mkt. Share # of Issues Deutsche Bank AG 2,628.3 1 20.3 3 Morgan Stanley 2,277.0 2 17.6 5 Banc of America Securities LLC 1,898.8 3 14.6 5 Royal Bank of Scotland Group 1,579.1 4 12.2 3 Barclays Capital 1,307.2 5 10.1 1 Merrill Lynch & Co Inc 1,307.2 5 10.1 1 JP Morgan 1,265.1 7 9.8 2 Credit Suisse 418.5 8 3.2 3 General Motors Corp 296.5 9 2.3 1 Industry Total 12,977.8 - 100.0 17 Source: Thomson Financial

Full Credit to Book (Equal if Joint) U.S. Public ABS Market/144A Market Managers Proceeds (mils) Rank Mkt. Share # of Issues Citigroup 3,788.8 1 100.0 3 Industry Total 3,788.8 - 100.0 3 Source: Thomson Financial