Fitch Affirms 22 & Downgrades 17 RMBS Classes from 15 Delta Subprime Deals

NEW YORK--(Business Wire)--
Fitch Ratings has taken the following rating actions on the Delta
Funding mortgage pass-through certificates listed below. Unless stated
otherwise, any bonds that were previously placed on Rating Watch
Negative are removed.

Delta Funding 1999-3

--Class A-1A affirmed at 'AAA';

--Class A-1F affirmed at 'AAA';

--Class A-2F affirmed at 'AAA';

--Class M1 downgraded to 'BB' from 'BBB+';

--Class M2 downgraded to 'B+' from 'BB-';

--Class B remains at 'C/DR6'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 34.27%

--Realized Losses to date (% of Original Balance): 6.69%

Delta Funding 2000-1

--Class M2 affirmed at 'A';

--Class B remains at 'CC/DR3'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 34.58%

--Realized Losses to date (% of Original Balance): 8.17%

Delta Funding 2000-2

--Class M-2 affirmed at 'B';

--Class B revised to 'C/DR4' from C/DR3'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 31.92%

--Realized Losses to date (% of Original Balance): 8.61%

Delta Funding 2000-3

--Class M-1 affirmed at 'AAA';

--Class M-2 downgraded to 'BB+' from 'BBB';

--Class B revised to 'C/DR4' from C/DR3'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 35.76%

--Realized Losses to date (% of Original Balance): 9.82%

Delta Funding 2000-4

--Class M-1 affirmed at 'AAA';

--Class M-2 downgraded to 'CC/DR2' from 'CCC/DR2';

--Class B remains at 'C/DR6'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 43.63%

--Realized Losses to date (% of Original Balance): 10.50%

Delta Funding 2001-1

--Class M-1 affirmed at 'AA';

--Class M-2 downgraded to 'BB' from 'BBB+';

--Class B downgraded to 'C/DR5' from 'BB-'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 43.73%

--Realized Losses to date (% of Original Balance): 7.56%

Delta Funding 2001-2

--Class M-1 affirmed at 'AAA';

--Class M-2 downgraded to 'B' from 'BBB+';

--Class B downgraded to 'C/DR5' from 'B'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 40.61%

--Realized Losses to date (% of Original Balance): 6.83%

Delta Funding 1997-1 Group 1

--Class A-5 affirmed at 'AA';

--Class A-6 affirmed at 'AA';

--Class S affirmed at 'AAA'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 29.58%

--Realized Losses to date (% of Original Balance): 6.49%

Delta Funding 1997-1 Group 2

--Class A-7 affirmed at 'AA'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 72.87%

--Realized Losses to date (% of Original Balance): 7.01%

Delta Funding 1997-2 TOTAL

--Class A-5 affirmed at 'AAA';

--Class A-6 affirmed at 'AAA';

--Class A-7 affirmed at 'AAA';

--Class M1 downgraded to 'BB' from 'BBB';

--Class M2 affirmed at 'B+';

--Class B3 downgraded to 'C/DR5' from 'CC/DR3'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 33.82%

--Realized Losses to date (% of Original Balance): 6.01%

Delta Funding 1997-3 Group A

--Class B-1A remains at 'CCC/DR2'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 56.32%

--Realized Losses to date (% of Original Balance): 7.32%

Delta Funding 1997-3 Group F

--Class B-1F revised to 'CCC/DR2' from 'CCC/DR1'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 32.45%

--Realized Losses to date (% of Original Balance): 8.44%

Delta Funding 1998-1 GROUP 1

--Class A-5F affirmed at 'AAA';

--Class A-6F affirmed at 'AAA';

--Class M1F downgraded to 'AA-' from 'AAA';

--Class M2F downgraded to 'BB+' from 'A';

--Class B1F downgraded to 'B' from 'BBB-'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 21.44%

--Realized Losses to date (% of Original Balance): 4.85%

Delta Funding 1998-1 GROUP 2

--Class B1A downgraded to 'CCC/DR3' from 'B-/DR2'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 55.28%

--Realized Losses to date (% of Original Balance): 5.52%

Delta Funding 1999-2

--Class A-1A affirmed at 'AAA';

--Class A-6F affirmed at 'AAA';

--Class A-7F affirmed at 'AAA';

--Class M1 downgraded to 'BBB-' from 'A';

--Class M2 downgraded to 'C/DR5' from 'BB';

--Class B remains at 'C/DR6'.

Deal Summary

--Originators: Delta Funding

--60+ day Delinquency: 30.20%

--Realized Losses to date (% of Original Balance): 5.68%

Additional details are available in the following research,
available at www.fitchratings.com:

--'Downgrade Criteria for Recent Vintage U.S. Subprime RMBS' (Aug.
8, 2007).

All of Fitch's ratings criteria for US subprime RMBS available at
www.fitchratings.com/subprime. For a list of deals currently under
analysis please visit www.fitchratings.com/smartview.

Further information regarding current delinquency, loss, and
credit enhancement statistics is also available 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.

Fitch Ratings, New York
Tara Sweeney, +1-212-908-0347
Michele Patterson, +1-212-908-0779
Sandro Scenga, +1-212-908-0278 (Media Relations)

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