CDOs

Due to a flurry of post-deadline submissions, ASR has extended the deadline for Deal of the Year nominations through Nov. 30, 2004. Qualifications for entry remain the same, with the exception of the transaction closing date, which has also been moved to Nov. 30. To be eligible, a deal must have closed between Nov. 1, 2003 and Nov. 30, 2004.

Pacific Gas & Electric Co., the electric utility company that was forced into a Chapter 11 bankruptcy in 2001, in the wake of the California energy crisis, is looking to bring its first stranded cost securitization in seven years to the market before year-end. PG&E hopes to price the offering sooner rather than later, according to records, and currently plans to forge ahead despite having yet to receive Internal Revenue Service clearance to price the deal.

Equipment leasing investment company ATEL Capital Group is ready to launch the latest iteration of its equity fund, ATEL Capital Equipment Fund XI, according to a recent S-1 filing with the Securities and Exchange Commission.

With its biggest push in the U.S. ABS market this year, monoline surety provider XLCA wrapped its first-ever HELOC offering last week, a $1 billion series 2004-Q offering from Countrywide Home Loans Inc. XLCA plans to be aggressive in the HELOC sector going forward as part of the guarantor's broader

The U.S. primary ABS market was relatively slow last week as the bond market took the day off on Thursday in observance of Veteran's Day. As of the market's close on Wednesday, total new issue volume was at roughly $5.2 billion but several deals were expected to price on Friday.

The deal flow in structured settlements is expected to maintain a steady pace, and the market could see another public term transaction before year end, sources said.

It's as if the holidays have come early for CDOs, with market constituents reporting outstanding levels of issuance both domestically and globally - and the year still has over a month to go.

By Ron Borod, Esq., partner and the head of, the Structured Finance Group of Brown Rudnick Berlack Israels LLP

Year to date as of 11/18 Term (days) 11/12 11/15 11/16 11/17 11/18 1-week

Full Credit to Book (Equal if Joint) U.S. Public ABS Market/144A Market Managers Proceeds (mils) Rank Mkt. Share # of Issues JP Morgan 10,068.4 1 15.8 20 Citigroup 8,538.7 2 13.4 14 Deutsche Bank AG 8,139.0 3 12.8 15 Wachovia Corp 7,013.2 4 11.0 13 Banc of America Securities LLC 6,552.7 5 10.3 12 Credit Suisse First Boston 5,315.3 6 8.3 11 Morgan Stanley 3,703.3 7 5.8 8 Barclays Capital 3,524.5 8 5.5 9 Bear Stearns & Co Inc 2,456.4 9 3.9 2 Merrill Lynch & Co Inc 2,426.9 10 3.8 4 Industry Total 63,764.4 - 100.0 75 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 Merrill Lynch & Co Inc 11,287.7 1 17.0 25 Morgan Stanley 6,696.4 2 10.1 19 Citigroup 6,115.5 3 9.2 23 Credit Suisse First Boston 4,869.1 4 7.3 12 Wachovia Corp 4,739.4 5 7.1 18 UBS 4,605.1 6 6.9 8 Deutsche Bank AG 4,429.6 7 6.7 11 Goldman Sachs & Co 4,297.5 8 6.5 8 JP Morgan 3,779.6 9 5.7 10 Lehman Brothers 3,343.0 10 5.0 11 Industry Total 66,486.9 - 100.0 186 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 JP Morgan 15,071.6 1 31.3 28 Citigroup 9,514.0 2 19.8 20 Lehman Brothers 4,662.1 3 9.7 10 Barclays Capital 3,978.4 4 8.3 14 Deutsche Bank AG 3,440.0 5 7.2 14 Credit Suisse First Boston 3,050.3 6 6.3 11 Banc of America Securities LLC 2,895.6 7 6.0 13 Morgan Stanley 2,515.8 8 5.2 7 Merrill Lynch & Co Inc 1,210.5 9 2.5 4 Wachovia Corp 775.0 10 1.6 4 Industry Total 48,110.7 - 100.0 87 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 3,958.0 1 30.8 6 Morgan Stanley 2,249.7 2 17.5 3 Banc of America Securities LLC 2,190.6 3 17.0 4 Merrill Lynch & Co Inc 1,728.6 4 13.4 2 Credit Suisse First Boston 1,058.0 5 8.2 3 JP Morgan 728.6 6 5.7 1 HSBC Holdings PLC 708.0 7 5.5 2 ABN AMRO 250.0 8 1.9 1 Industry Total 12,871.5 - 100.0 11 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 Countrywide Securities Corp 64,376.9 1 14.1 64 Royal Bank of Scotland Group 50,478.5 2 11.1 91 Lehman Brothers 45,532.6 3 10.0 88 Morgan Stanley 39,804.9 4 8.7 71 Bear Stearns & Co Inc 35,920.0 5 7.9 69 Credit Suisse First Boston 35,891.9 6 7.9 67 Deutsche Bank AG 27,502.0 7 6.0 70 Banc of America Securities LLC 26,420.4 8 5.8 70 Citigroup 24,070.6 9 5.3 67 Merrill Lynch & Co Inc 18,605.0 10 4.1 39 Industry Total 455,313.0 - 100.0 845 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 7,123.6 1 15.7 9 Merrill Lynch & Co Inc 5,875.0 2 12.9 8 Deutsche Bank AG 5,239.3 3 11.5 8 Morgan Stanley 4,582.9 4 10.1 8 Credit Suisse First Boston 4,463.9 5 9.8 7 Banc of America Securities LLC 3,982.1 6 8.8 5 JP Morgan 3,881.5 7 8.6 7 UBS 3,306.7 8 7.3 8 Lehman Brothers 2,524.1 9 5.6 4 Goldman Sachs & Co 1,927.1 10 4.2 5 Industry Total 45,407.8 - 100.0 40 Source: Thomson Financial

Year to date as of Nov 17 Coupon Type Market Average Life Buckets Asset Class Volume Pub/144A Fixed Rate Floating Rate Public 144A 0.0 to 0.9 1.0 to 2.9 3.0 to 5.9 6.0 to 7.9 8.0 to 11.0 Aircraft Leases 126 126 126 126 Auto Loans/Recs 41,391 36,622 4,769 35,132 6,259 16,580 18,742 6,069 Comm. Mtg 2,899 1,294 1,605 2,899 1,261 229 829 540 Commercial Loans Corp Bond/Note 3,846 1,696 2,150 3,846 2,569 746 45 485 Corporate Loans 5,352 286 5,066 5,352 2,480 395 370 1,192 914 Credit Card Rec 28,632 10,299 18,333 24,659 3,974 19,334 1,400 5,749 900 1,249 Debentures 2,122 2,122 2,122 2,122 Equip Loans Equip. Leases 4,744 4,469 275 4,164 580 2,293 1,388 554 221 289 Floorplan Recs 8,026 840 7,186 7,902 124 4,014 830 3,182 Franchisee Loans 194 194 194 Home Impr Loans Installment Recs 1,797 1,797 1,797 1,797 Junk Bonds Leveraged Loans 1,174 64 1,110 1,174 38 10 284 842 Mixed Collateral 1,881 7 1,874 1,881 1,500 306 22 53 Mnfrd Housing Ct 200 200 200 200 Motorcycle Loans 2,740 2,740 2,740 313 1,923 504 Mutual Fund Fees 501 331 170 501 501 Non-Jumbo Mtg Ln 68,520 31,864 33,291 65,728 2,793 41,621 14,956 10,760 849 319 Oil Receivables Preferred Sec 3,597 2,268 1,330 3,597 3,253 158 186 Prv Issued Sec 1,852 1,079 380 590 1,262 1,852 Rental Car Rec. 2,400 1,300 1,100 2,400 1,300 1,100 Rev Cred/Home Eq 216,332 125,057 77,504 186,006 30,325 143,388 44,757 25,956 1,606 553 Sm Business Loan 828 828 828 828 Struc Fin Credit 14,838 6,458 8,380 14,838 5,807 2,507 4,928 1,508 Student Loans 30,626 6,957 21,983 25,639 4,986 17,780 3,239 4,044 3,663 1,808 Tax Liens Ticket Rec Timeshare Loans 635 386 250 635 336 300 Tobacco Receives Trade Recs Unspecified/NA Note: Figures are preliminary and subject to change. Data includes U.S. deals and dollar Euro 144As.Source: Thomson Financial

Rev Cred/Home Eq 48% Non-Jumbo Mtg Ln 15% Auto Loans/Recs 9% Student Loans 7% Credit Card Rec 6% Other 15%

After a two and a half year hiatus, Structured Finance Advisors is plotting a return to the primary CDO market. The Farmington, Conn.-based asset manager is currently talking to underwriters about returning with a static-pool high-grade structured finance-backed CDO, its first new-issue offering since June 2002.

The primary U.S. ABS market appeared to be holding its breath along with the rest of the nation for the early part of last week, waiting on tenterhooks for the results of the presidential election to come in well into Wednesday afternoon. However, the market quickened later in the week to price roughly $7 billion as of Thursday's market close. The prior week saw upwards of $8 billion in new issues come to market.

Customers First Inc. has come a long way since its inception as a business outsourcing company last September, with a wide variety of today's clients spread across the hedge fund community as well as the asset-backed and mortgage-backed markets.