Fitch Affirms 52 & Downgrades 10 RMBS Classes From 11 Renaissance 2002-2004 Deals

Business Wire, April 27, 2007

NEW YORK -- Fitch Ratings has taken the following rating actions on the Renaissance Home Equity Loan Trust (HELT) issues listed below:

Renaissance HELT 2002-1

--Class M1 affirmed at 'AA';

--Class M2 downgraded to 'BBB-' from 'A';

--Class B downgraded to 'B' from 'BBB-'.

Renaissance HELT 2002-2

--Class A affirmed at 'AAA';

--Class M1 affirmed at 'AA';

--Class M2 downgraded to 'BBB ' from 'A';

--Class B downgraded to 'B' from 'BBB-'.

Renaissance HELT 2002-3

--Class A affirmed at 'AAA';

--Class M1 affirmed at 'AA';

--Class M2 downgraded to 'BBB' from 'BBB ';

--Class B remains at 'C/DR4'.

Renaissance HELT 2002-4

--Class A affirmed at 'AAA';

--Class M1 affirmed at 'AA';

--Class M2 downgraded to 'A-' from 'A';

--Class B downgraded to 'BB' from 'BBB'.

Renaissance HELT 2003-1

--Class A affirmed at 'AAA';

--Class M1 affirmed at 'AA';

--Class M2 affirmed at 'A';

--Class B downgraded to 'BB' from 'BBB'.

Renaissance HELT 2003-2

--Class A affirmed at 'AAA';

--Class M1 affirmed at 'AA';

--Classes M2A, M2F affirmed at 'A';

--Class M3 downgraded to 'BBB' from 'BBB ';

--Class M4 downgraded to 'BB ' from 'BBB'.

Renaissance HELT 2003-3

--Class A affirmed at 'AAA';

--Class M1 affirmed at 'AA';

--Classes M2A, M2F affirmed at 'A';

--Class M3 affirmed at 'A-;'

--Class M4 affirmed at 'BBB ';

--Class M5 affirmed at 'BBB'.

Renaissance HELT 2003-4

--Class A affirmed at 'AAA';

--Class M1 affirmed at 'AA';

--Classes M2A, M2F affirmed at 'A';

--Class M3 affirmed at 'A-;'

--Class M4 affirmed at 'BBB ';

--Class M5 affirmed at 'BBB'.

Renaissance HELT 2004-1

--Class A affirmed at 'AAA';

--Class M1 affirmed at 'AA';

--Class M2 affirmed at 'A';

--Class M3 affirmed at 'A-;'

--Class M4 affirmed at 'BBB ';

--Class M5 affirmed at 'BBB'.

Renaissance HELT 2004-2 Total

--Class A affirmed at 'AAA';

--Class M1 affirmed at 'AA ';

--Class M2 affirmed at 'AA';

--Class M3 affirmed at 'AA-;'

--Class M4 affirmed at 'A ';

--Class M5 affirmed at 'A';

--Class M6 affirmed at 'A-';

--Class M7 affirmed at 'BBB ;'

--Class M8 affirmed at 'BBB';

--Class M9 affirmed at 'BBB-'.

Renaissance HELT 2004-3 Total

--Class A affirmed at 'AAA';

--Class M1 affirmed at 'AA ';

--Class M2 affirmed at 'AA';

--Class M3 affirmed at 'AA-;'

--Class M4 affirmed at 'A ';

--Class M5 affirmed at 'A';

--Class M6 affirmed at 'A-';

--Class M7 affirmed at 'BBB ;'

--Class M8 affirmed at 'BBB';

--Class M9 affirmed at 'BBB-'.

The underlying collateral for the mortgage transactions listed above consist of both fixed- and adjustable-rate mortgage loans secured by first and second liens on residential mortgages extended to subprime borrowers. As of the March 2007 distribution date, the transactions are seasoned from a range of 29 (series 2004-3) to 58 (series 2002-1) months and the pool factors (current outstanding collateral balance as a percentage of original collateral balance) range from approximately 13% (series 2002-1) to 43% (2004-2). The mortgage loans are being serviced by Ocwen Financial Corp. (rated 'RPS2' by Fitch).

The affirmations reflect a satisfactory relationship between credit enhancement (CE) and future loss expectations and affect approximately $1.2 billion of outstanding certificates.

The downgrades, affecting $51.1 million of the outstanding certificates, reflect the deterioration in the relationship of CE to future loss expectations. All of the affected transactions have pool factors that range from approximately 13% (series 2002-1) to 24% (series 2003-2). The pools have experienced high delinquency rates. In addition, the affected pools have very low California concentration, resulting in slower home price appreciation, and the 2002 vintage transactions comprise borrowers with FICO scores lower than the industry average. The poor performance of the 2002 and 2003 vintage transactions is further exacerbated by the fact that floating-rate bonds are secured primarily by fixed-rate collateral, which is minimizing excess spread in the current interest rate environment. Later transactions were hedged somewhat for this potential risk.

Fitch will closely monitor these transactions. Further information regarding current delinquency, loss, and credit enhancement statistics is available on the Fitch Ratings web site at www.fitchratings.com.

Fitch's Distressed Recovery (DR) ratings, introduced in April 2006 across all sectors of structured finance, are designed to estimate recoveries on a forward-looking basis while taking into account the time value of money. For more information on Distressed Recovery ratings, see the full report ('Structured Finance Distressed Recovery Ratings'), which is available on the Fitch Ratings web site at www.fitchratings.com.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site.