“The Servicers—Citi Residential Lending Inc.”

 The information set forth below under this subheading "—Citi Residential Lending Inc." has been provided by Citi Residential Lending Inc.

   

Citi Residential Lending Inc. a Delaware corporation, is a mortgage company engaged in the business of originating, purchasing, servicing and selling retail and wholesale sub-prime mortgage loans secured by one- to four family residences. Citi Residential Lending is a wholly owned subsidiary of  Citi Bank, N.A. Citi Residential Lending was formed in July of 2007 and on September 1, 2007 obtained its servicing portfolio and the assets required to servicing the portfolio through an asset purchase of the assets of AMC Mortgage Services Inc, which acted as the Sub-Servicer for the Master Servicer, Ameriquest Mortgage Company.

 

Citi Residential Lending has approval as a seller/servicer for Freddie Mac and provisional approval as a servicer of Fannie Mae.

During the first quarter of 2008 Citigroup announced a consolidation of its U.S. mortgage operations. As part of this consolidation, Citi Residential Lending's mortgage servicing operations will be consolidated into existing Citi Mortgage Inc. ("CMI") operations, currently anticipated to be completed by the end of the first quarter of 2009.  As part of the change, Citi Residential Lending believes that it will remain as the master servicer under its various existing mortgage servicing agreements, and will enter into a sub servicing agreement with CMI.  Citi Residential Lending's mortgage lending origination activities will terminate by the third quarter of 2008.

   

Loan Servicing.

Citi Residential Lending services all of the mortgage loans it originates which is portfolio retained and continues to service loans that have been sold to investors. Citi Residential Lending also services loans acquired by its affiliate Citi Global Markets and Banking.  Servicing includes collecting and remitting loan payments, accounting for principal and interest, contacting delinquent mortgagors, and supervising foreclosure in the event there does not exist remedied defaults. Citi Residential Lending's servicing activities are audited periodically by applicable regulatory authorities. Certain financial records of Citi Residential Lending relating to its loan servicing activities are reviewed annually as part of the audit of Citi Residential Lending's financial statements conducted by its independent accountants.

   

Collection Procedures; Delinquency and Loss Experience.

When a mortgagor fails to make a required payment on a residential mortgage loan, Citi Residential Lending attempts to cause the deficiency to be cured by corresponding or making telephone contact with the mortgagor. Pursuant to Citi Residential Lending's customary procedures for residential mortgage loans serviced by it for its own account, Citi Residential Lending generally mails a notice of intent to foreclose to the mortgagor within ten days after the loan has become 31 days past due (two payments due but not received) and upon expiration of the notice of intent to foreclose, generally one month thereafter, if the loan remains delinquent, typically institutes appropriate legal action to foreclose on the property securing the loan. If foreclosed, the property is sold at a public or private sale. Citi Residential Lending typically enters a bid based upon an analysis of the property value, estimated marketing and carrying costs and presence of junior liens, which may be equal to or less than the full amount owed. In the event the property is acquired at the foreclosure sale by Citi Residential Lending it is placed on the market for sale through local real estate brokers experienced in the sale of similar properties.

   

Citi Residential Lending Residential Loan Servicing Portfolio—Retail Originations

   

The FINAINCIAL STATEMKENTS reflect delinquencies and loss experience of the prior servicer AMC Mortgage Services for December 2005 and December 2006 and of the current servicer Citi Residential Lending for December 2007 and March 2008 for residential (one- to four-family) retail first lien mortgage loans originated primarily by Ameriquest Mortgage Company through August 31, 2007, and by Citi Residential Lending from September 1, 2007 through March 31, 2008 as applicable.

	Includes mortgage loans which are in foreclosure but as to which title to the mortgaged property has not been acquired, at the end of the period indicated.  Foreclosures pending are included in the delinquencies set forth above.
	The net loan loss for any such loan is equal to the difference between (a) the principal balance plus accrued interest through the date of liquidation plus all liquidation expenses related to such loan and (b) all amounts received in connection with the liquidation of such loan.