Fitch Takes Various Actions on 4 American Home Mortgage Assets Trust Transactions

NEW YORK--(Business Wire)--Fitch Ratings has taken rating actions on the following American
Home Mortgage Assets Trust (AHMA) residential mortgage-backed
certificates:

Series 2005-1 Groups 1 & 2

--Classes 1-A, 2-A affirmed at 'AAA';

--Class C-B-1 affirmed at 'AA';

--Class C-B-2 affirmed at 'A';

--Class C-B-3 affirmed at 'BBB';

--Class C-B-4 affirmed at 'BB'.

Series 2005-1 Group 3

--Class 3A affirmed at 'AAA';

--Class 3-M-1 affirmed at 'AA';

--Class 3-M-2 affirmed at 'A';

--Class 3-M-3 rated 'BBB', placed on Rating Watch Negative;

--Class 3-M-4 downgraded to 'BB' from 'BBB-', remains on Rating
Watch Negative.

Series 2005-2 Group 1

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

--Class 1-B-1 affirmed at 'AA+';

--Class 1-B-2 affirmed at 'A+';

--Class 1-B-3 downgraded to 'BB' from 'BBB+', placed on Rating
Watch Negative;

--Class 1-B-4 downgraded to 'CC/DR3' from 'BB';

--Class 1-B-5 downgraded to 'C/DR6' from 'B', removed from Rating
Watch Negative.

Series 2007-1

--Class A affirmed at 'AAA';

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

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

--Class M-3 affirmed at 'A+';

--Class M-4 affirmed at 'A';

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

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

--Class M-7 affirmed at 'BBB+';

--Class M-8 affirmed at 'BBB-'.

The affirmations reflect credit enhancement (CE) consistent with
future loss expectations and affect $1.69 billion of outstanding
certificates. All affirmed classes detailed above have experienced a
growth in CE equal to at least 2 times (x) the CE at closing.

The downgrades, affecting $10.5 million of outstanding
certificates, reflect the deterioration in the relationship of CE to
future loss expectations. The classes placed on Rating Watch Negative
represent approximately $10.4 million of outstanding certificates.

The pools are seasoned between 11 (series 2007-1) and 26 months
(series 2005-1). The pool factors (current mortgage principal balance
as a percentage of original) range from 24% (series 2005-2 Group 1) to
90% (series 2007-1). The loans are being serviced by American Home
Mortgage Servicing Inc. (rated 'RPS3-' by Fitch).

For series 2005-1, Group 3, the amount of loans with serious
delinquencies (including 60+, foreclosure, bankruptcy, and real-estate
owned (REO)) is 19.9% of the outstanding pool balance while the CE for
the affected 3-M-3 and 3-M-4 bonds is 4.29% and 2.86%, respectively.
The transaction has experienced 0.19% of loss to date and Fitch
anticipates that the high delinquencies will translate into even
greater losses, further reducing the CE of the subordinate classes.

For series 2005-2, the amount of loans with serious delinquencies
is 32.14% of the outstanding pool balance while the CE for the
affected 1-B-3, 1-B-4 and 1-B-5 bonds is 5.02%, 2.42% and 0.34%,
respectively. The transaction has experienced 0.26% of loss to date
and Fitch anticipates that the high delinquencies will translate into
even greater losses, further reducing the CE of the subordinate
classes.

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 are designed to estimate
recoveries on a forward-looking basis while taking into account the
time value of money.

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
Michele Patterson, +1-212-908-0779
Vincent Barberio, +1-212-908-0505
Sandro Scenga, +1-212-908-0278 (Media Relations)

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