LONDON Jan 31 Credit rating agency Moody's
Investors Service said on Thursday it has revised its
assumptions for losses on loans backing 2006 vintage subprime
residential mortgage securities to 14 to 18 percent.
The agency did not say what the previous assumption was. No
one at the agency could immediately be reached for comment.
"We are updating our views on the possible loan losses on
the 2006 subprime vintage in response to current performance
that is proving to be much worse than in prior years and is
demonstrating a progressive deterioration," said Moody's Chief
Credit Officer Nicolas Weill.
Moody's said that as a result of its revised estimates it
was likely to take more negative ratings actions on 2006
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(Reporting by Richard Barley; Editing by Greg Mahlich)