Moody's cuts ratings of Notes issued by Broderick CDO

(The following statement was released by the rating agency)

May 30 - Moody's Investors Service announced today that it
has downgraded ratings of four classes of notes issued by
Broderick CDO 2 Ltd., and left on review for possible further
downgrade the rating of three of these classes of notes. The
notes affected by today's rating action are as follows:
Class Description: U.S. $876,000,000 Class A-1 AD First Priority
Senior Secured Floating Rate Delayed Draw Notes Due 2049
Prior Rating: Aa1, on review for possible downgrade
Current Rating: Ba1, on review for possible downgrade
Class Description: U.S. $500,000,000 Class A-1 AT First Priority
Senior Secured Floating Rate Notes Due 2049
Prior Rating: Aa1, on review for possible downgrade
Current Rating: Ba1, on review for possible downgrade
Class Description: U.S. $42,000,000 Class A-1B Second Priority
Senior Secured Floating Rate Notes Due 2049
Prior Rating: Baa2, on review for possible downgrade
Current Rating: Caa3, on review for possible downgrade
Class Description: U.S. $70,000,000 Class A-2 Third Priority
Senior Secured Floating Rate Notes Due 2049
Prior Rating: B2, on review for possible downgrade
Current Rating: Ca
The rating actions reflect deterioration in the credit quality of
the underlying portfolio, as well as the occurrence, as reported
by the Trustee on February 27, 2008, of an event of default
caused by a failure of the Class A Sequential Pay Ratio to be
greater than or equal to 100 per cent pursuant Section 5.01(i) of
the Indenture dated September 1, 2006.
Broderick CDO 2 Ltd. is a collateralized debt obligation backed
primarily by a portfolio of structured finance securities.
As provided in Article V of the Indenture during the occurrence
and continuance of an Event of Default, holders of certain Notes
may be entitled to direct the Trustee to take particular actions
with respect to the
Collateral Debt Securities and the Notes. The rating downgrades
taken today reflect the increased expected loss associated with
each tranche. Losses are attributed to diminished credit quality
of the underlying
portfolio. The severity of losses of certain tranches may be
different, however, depending on the timing and choice of remedy
to be pursued by certain Noteholders following the event of
default. Because of this uncertainty, the ratings assigned to
Class A-1 AD Notes, Class A-1 AT Notes and Class A-1B Notes
remain on review for possible further action.