MARKETS-RATINGS-MORGANSTANLEY

(The following was released by the rating agency) July 23-Moody's Investors Service announced today that it has downgraded the ratings on the following notes issued by Morgan Stanley Managed ACES SPC, Series 2006-9:

- Class Description: $1,000,000 Subordinated Junior Super

- Senior Secured Floating Rate Notes due 2013

- Prior Rating: Aa2

- Current Rating: Aa3

- Class Description: $42,000,000 Class IIIA Secured

- Floating Rate Notes due 2013

- Prior Rating: A2, on watch for possible downgrade

- Current Rating: Baa2

According to Moody's, the rating actions are the result of deterioration in the credit quality of the transaction's underlying collateral pool, which consists primarily of corporate securities.