GLG News Analyses of the following article:

Study: subprime crisis spurs lawsuits

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Published at: money.cnn.com

Mark MariottiChief Executive OfficerFuture Management Holdings Inc

Move compliance metrics to the front

April 17, 2008

a) existing federal, state amd municpal compliance check and balances exist b) move Rating Agency solutions to subprime mortgage losses in the large secondary market traunces into the origination systems & procedures

White Paper on Rating Competition and Structured Finance (Part 2)

April 10, 2008

Analysis by: GLG Expert Contributor

Continued from part 1.

White Paper on Rating Competition and Structured Finance (Part 1)

April 10, 2008

Analysis by: GLG Expert Contributor

As subprime mortgage losses cascade throughout the global financial system, attention has turned to the structure and performance of the bond rating industry. Faulty ratings on securities backed by subprime mortgages are believed responsible for billions of dollars in losses. This White Paper argues that any such faulty ratings are due in part to conflicts inherent in the issuer-pays rating agency business model. Such conflicts, when combined with existing structured finance practices, have led to widespread rating shopping. Efforts to increase competition among rating agencies may exacerbate the problem unless fundamental changes occur in the structured finance area, particularly in attitudes toward unsolicited ratings.