Rating action on Australian synthetic CDOs following valuation of Parmalat

Tuesday 30th March 2004

Standard & Poor's Ratings Services today removed the ratings of nine synthetic CDOs from CreditWatch status where they were placed on Jan. 14,2004. At the same time, the ratings on these transactions were affirmed, upgraded, or downgraded to reflect the revised credit support now available and currently required to achieve a given rating. The rating actions follow the receipt of final valuations by HY-FI Securities Ltd. And certain affected Rembrandt Australia Trust transactions, with respect to Parmalat SpA (Parmalat). Parmalat, a reference obligation in these transactions, filed for bankruptcy in December 2003.

Final valuations have yet to be determined for the remainder of Australian synthetic transactions affected by the default of Parmalat. Standard & Poor's will continue to monitor both the recovery process of the bankrupt entity with regard to these transactions and the performance in general of all reference obligations and authorized investments affecting the Australian CDO market.

The rating action taken and transactions affected are as follows:

Transaction	Ratings
	From:	To:
HY-FI Securities Ltd. Series 1	A+/Watch Dev	AA-
HY-FI Securities Ltd. Series 2	BBB-/Watch Dev	BB-
HY-FI Securities Ltd. Series 3	A+/Watch DevA+
HY-FI Securities Ltd. Series 4	BBB-/Watch Dev	BB

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