Institutional Holders Issue Notice Of Non-Performance Identifying Alleged Failures By Servicer And Master Servicer To Perform Covenants And Agreements In More Than $28 Billion Of Morgan Stanley-Issued RMBS And $45 Billion Of Wells Fargo-Issued RMBS

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Sep 19, 2012, 07:45 ET

HOUSTON, Sept. 19, 2012 /PRNewswire/ -- Today, the holders of significant Voting Rights in more than $28 billion of Morgan Stanley-issued RMBS and $45 billion of Wells Fargo-issued RMBS sent a Notice of Non-Performance (Notice) to Morgan Stanley and Wells Fargo, as Servicer or Master Servicer, identifying specific covenants in Pooling and Servicing Agreements (PSAs) that the Holders allege Morgan Stanley and Wells Fargo have failed to perform. The Notice covers more than $5 billion of Morgan Stanley-issued RMBS and $15 billion of Wells Fargo-issued RMBS in which the Holders have 25% or 50% or more of the Voting Rights, as applicable. The Notice also covers $23 billion of Morgan Stanley-issued RMBS and $30 billion of Wells Fargo-issued RMBS in which the holders have significant Voting Rights, but less than 25% or 50%, as applicable.

The Holders' Notice alleges that each of these failures has materially affected the rights of the Certificateholders and constitutes an ongoing Event of Default in the Servicer's performance under the relevant PSAs.

The Notice of Non-Performance was issued on behalf of Holders in the following Morgan Stanley and Wells-Fargo-issued RMBS:



IXIS 2005-HE3	MSM 2006-3AR	WFMBS 2004-CC	WFMBS 2006-12
IXIS 2005-HE4	MSM 2006-5AR	WFMBS 2004-DD	WFMBS 2006-13
IXIS 2006-HE1	MSM 2006-6AR	WFMBS 2004-E	WFMBS 2006-14
IXIS 2006-HE2	MSM 2006-7	WFMBS 2004-EE	WFMBS 2006-15
IXIS 2006-HE3	MSM 2006-8AR	WFMBS 2004-F	WFMBS 2006-16
IXIS 2007-HE1	MSM 2006-9AR	WFMBS 2004-G	WFMBS 2006-17
MSAC 2006-HE2	MSM 2007-10XS	WFMBS 2004-H	WFMBS 2006-19
MSAC 2006-HE3	MSM 2007-11AR	WFMBS 2004-I	WFMBS 2006-2
MSAC 2006-HE4	MSM 2007-12	WFMBS 2004-J	WFMBS 2006-20
MSAC 2006-HE5	MSM 2007-13	WFMBS 2004-K	WFMBS 2006-3
MSAC 2006-HE6	MSM 2007-14AR	WFMBS 2004-L	WFMBS 2006-4
MSAC 2006-HE8	MSM 2007-15AR	WFMBS 2004-M	WFMBS 2006-5
MSAC 2006-NC2	MSM 2007-1XS	WFMBS 2004-N	WFMBS 2006-6
MSAC 2006-NC3	MSM 2007-2AX	WFMBS 2004-O	WFMBS 2006-7
MSAC 2006-NC4	MSM 2007-3XS	WFMBS 2004-P	WFMBS 2006-8
MSAC 2006-WMC2	MSM 2007-5AX	WFMBS 2004-Q	WFMBS 2006-9
MSAC 2007-HE1	MSM 2007-6XS	WFMBS 2004-R	WFMBS 2006-AR1
MSAC 2007-HE2	MSM 2007-7AX	WFMBS 2004-S	WFMBS 2006-AR10
MSAC 2007-HE3	MSM 2007-8XS	WFMBS 2004-T	WFMBS 2006-AR11
MSAC 2007-HE4	SAST 2004-1	WFMBS 2004-U	WFMBS 2006-AR12
MSAC 2007-HE5	SAST 2004-2	WFMBS 2004-V	WFMBS 2006-AR13
MSAC 2007-HE6	SAST 2004-3	WFMBS 2004-W	WFMBS 2006-AR14
MSAC 2007-HE7	SAST 2005-1	WFMBS 2004-X	WFMBS 2006-AR16
MSAC 2007-NC1	SAST 2005-2	WFMBS 2004-Y	WFMBS 2006-AR17
MSAC 2007-NC2	SAST 2005-3	WFMBS 2004-Z	WFMBS 2006-AR18
MSAC 2007-NC3	SAST 2005-4	WFMBS 2005-1	WFMBS 2006-AR19
MSAC 2007-NC4	SAST 2006-1	WFMBS 2005-10	WFMBS 2006-AR2
MSAC 2007-SEA1	SAST 2006-2	WFMBS 2005-11	WFMBS 2006-AR3
MSHEL 2006-3	SAST 2006-3	WFMBS 2005-12	WFMBS 2006-AR4
MSHEL 2007-1	SAST 2007-1	WFMBS 2005-13	WFMBS 2006-AR5
MSHEL 2007-2	SAST 2007-2	WFMBS 2005-14	WFMBS 2006-AR6
MSIX 2006-1	SAST 2007-3	WFMBS 2005-15	WFMBS 2006-AR7
MSIX 2006-2	SAST 2007-4	WFMBS 2005-16	WFMBS 2006-AR8
MSM 2004-1	WFALT 2005-1	WFMBS 2005-17	WFMBS 2007-1
MSM 2004-10AR	WFALT 2005-2	WFMBS 2005-18	WFMBS 2007-10
MSM 2004-11AR	WFALT 2007-PA1	WFMBS 2005-2	WFMBS 2007-11
MSM 2004-2AR	WFALT 2007-PA2	WFMBS 2005-3	WFMBS 2007-12
MSM 2004-3	WFALT 2007-PA3	WFMBS 2005-4	WFMBS 2007-13
MSM 2004-4	WFALT 2007-PA4	WFMBS 2005-5	WFMBS 2007-14
MSM 2004-5AR	WFALT 2007-PA5	WFMBS 2005-6	WFMBS 2007-15
MSM 2004-6AR	WFALT 2007-PA6	WFMBS 2005-7	WFMBS 2007-2
MSM 2004-7AR	WFHET 2004-1	WFMBS 2005-8	WFMBS 2007-3
MSM 2004-8AR	WFHET 2004-2	WFMBS 2005-9	WFMBS 2007-4
MSM 2004-9	WFHET 2005-2	WFMBS 2005-AR1	WFMBS 2007-5
MSM 2005-1	WFHET 2005-3	WFMBS 2005-AR10	WFMBS 2007-6
MSM 2005-10	WFHET 2005-4	WFMBS 2005-AR11	WFMBS 2007-7
MSM 2005-11AR	WFHET 2006-1	WFMBS 2005-AR12	WFMBS 2007-8
MSM 2005-2AR	WFHET 2006-3	WFMBS 2005-AR13	WFMBS 2007-9
MSM 2005-3AR	WFHET 2007-1	WFMBS 2005-AR14	WFMBS 2007-AR3
MSM 2005-4	WFHET 2007-2	WFMBS 2005-AR15	WFMBS 2007-AR4
MSM 2005-5AR	WFMBS 2004-1	WFMBS 2005-AR16	WFMBS 2007-AR8
MSM 2005-6AR	WFMBS 2004-2	WFMBS 2005-AR2	WMLT 2005-A
MSM 2005-7	WFMBS 2004-3	WFMBS 2005-AR3	WMLT 2005-B
MSM 2005-9AR	WFMBS 2004-4	WFMBS 2005-AR4	WMLT 2005-WMC1
MSM 2006-11	WFMBS 2004-5	WFMBS 2005-AR5	WMLT 2006-A
MSM 2006-12XS	WFMBS 2004-6	WFMBS 2005-AR6	WMLT 2006-ALT1
MSM 2006-13AX	WFMBS 2004-7	WFMBS 2005-AR7	WMLT 2006-AMN1
MSM 2006-15XS	WFMBS 2004-A	WFMBS 2005-AR8	WMLT 2007-A
MSM 2006-16AX	WFMBS 2004-AA	WFMBS 2005-AR9
MSM 2006-17XS	WFMBS 2004-B	WFMBS 2006-1
MSM 2006-1AR	WFMBS 2004-BB	WFMBS 2006-10
MSM 2006-2	WFMBS 2004-C	WFMBS 2006-11

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