Moody's takes action on Libertas Preferred Funding IV, Ltd.

(The following statement was released by the rating agency)

May 19 - Moody's Investors Service announced today that it
has downgraded and left on review for possible downgrade the
ratings on the following notes issued by Libertas Preferred
Funding IV, Ltd.:
Class Description: U.S.$200,000,000 Class A-1 First Priority
Senior Secured Floating Rate Notes Due 2047
Prior Rating: Baa1, on review for possible downgrade
Current Rating: B3, on review for possible downgrade
Additionally, Moody's downgraded the following notes:
Class Description: U.S.$100,000,000 Class A-2 Second Priority
Senior Secured Floating Rate Notes Due 2047
Prior Rating: Baa3, on review for possible downgrade
Current Rating: Ca
Class Description: U.S.$50,000,000 Class A-3 Third Priority
Senior Secured Floating Rate Notes Due 2047
Prior Rating: Ba1, on review for possible downgrade
Current Rating: Ca
Class Description: U.S.$27,500,000 Class A-4 Fourth Priority
Senior Secured Floating Rate Notes Due 2047
Prior Rating: Ba2, on review for possible downgrade
Current Rating: Ca
Class Description: U.S.$34,000,000 Class B Fifth Priority Senior
Secured Floating Rate Notes Due 2047
Prior Rating: Ba3, on review for possible downgrade
Current Rating: Ca
Class Description: U.S.$33,500,000 Class C Sixth Priority
Mezzanine Secured Deferrable Floating Rate Notes Due 2047
Prior Rating: B3, on review for possible downgrade
Current Rating: Ca
Class Description: U.S.$22,500,000 Class D Seventh Priority
Mezzanine Secured Deferrable Floating Rate Notes Due 2047
Prior Rating: Caa1, on review for possible downgrade
Current Rating: Ca
Class Description: U.S.$13,500,000 Class E Eighth Priority
Mezzanine Secured Deferrable Floating Rate Notes Due 2047
Prior Rating: Caa2, on review for possible downgrade
Current Rating: Ca
According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the structured finance
securities.