American Home Mortgage Servicing, Inc.'s Response to Moody’s Placement of Ratings of Series 2009-ADV2 on Review for Possible Downgrade

COPPELL, Texas--(BUSINESS WIRE)--American Home Mortgage Servicing, Inc. (the “Company”), has been in discussions with Moody’s with respect to the Company’s servicing advance receivables securitization, known as Series 2009-ADV2, of $125 million of Class A-1 Term Notes and $100 million of Variable Funding Notes issued by AH Mortgage Advance Trust 2009-ADV2. The Company is currently taking actions to address the agency’s concerns regarding the aged reconciliation items in the custodial bank accounts of the residential mortgage backed securitizations that we service. We note, however, that we haven’t incurred any losses to date directly related to the reconciliation effort nor do we expect to incur any losses in the future. Our agreement to increase the reserve fund by $20 million and to maintain a material additional deposit in the fund until the situation is resolved demonstrates our strong commitment to maintain the AAA-rating of the securitization.