GLG News Analyses of the following article:

Subprime Game's Reckoning Day

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Published at: online.wsj.com

Subprime Lending and Servicing: The Former Darlings Lose Value

March 9, 2007

Analysis by: GLG Expert Contributor

Doomsayers foretell huge secular crashes resulting from the subprime bust and the real estate bubble. Others say "not so fast, it will not get that bad."

So what are the key points on which to focus?

Well, the first point when assessing each company is this: is it a depository or a non-depository?

Joseph SmithPresident and CEODefault Mitigation Management

Perfect Storm in Default: Mortgage Servicing News Febraury

March 5, 2007

I agree with the Wall Street Journal article. I had an article in Mortgage Servicing News in the February MBA Servicing Conference Issue title the "Perfect Storm in Defualt." My remarks and commentary are attached below.

The issues raised in the Wall Street Journal article are applified and dimensioned in my article.

Highlights the need for different workout solutions or face a liquidity crisis for mortgages and possibly the whole MBS market.

Highlights the needs for different thinking than exists in the current Pooling and Servicing Agreements.

Points the issues of why we are not only headed to recession but a bad recession.