S&P Puts Pacific Life CBO 1998-1 Ltd Ratings on WatchNeg

Apr 19, 2001, 01:00 ET from Standard & Poor's

    NEW YORK, April 19 /PRNewswire/ -- Standard & Poor's today placed its
 ratings on the class A-1 notes, class A-2A notes, class A-2B notes, class
 A-2C notes, and class A-3 notes issued by Pacific Life CBO 1998-1 Ltd. and
 co-issued by Pacific Life CBO 1998-1 Corp. on CreditWatch with negative
 implications (see list).
     The CreditWatch placements reflect asset defaults within the collateral
 pool, and a downward migration in the credit quality of some of the performing
 assets within the pool.  Of the assets currently held within the collateral
 pool $19,206,134.40 (or approximately 8.4%) come from obligors rated 'D' by
 Standard & Poor's.  Another $3 million in assets come from obligors rated
 double-'C' that are currently on CreditWatch negative.
     As a result of the defaulted assets, the required overcollateralization
 tests for the transaction are currently out of compliance.  As of the
 April 2, 2001 monthly report, the class A overcollateralization ratio was at
 116.05%, versus its required minimum level of 117%.  An overcollateralization
 test for a subordinate tranche not rated by Standard & Poor's was also out of
 compliance: the class B overcollateralization test, with a calculated level of
 99.32%, versus its required minimum level of 104%.
     Standard & Poor's will be reviewing the results of current cash flow runs
 generated for the transaction in order to evaluate the effect of the defaults
 and the deterioration in credit quality within the collateral pool on the
 ratings currently assigned to the notes, Standard & Poor's said. -- CreditWire
 
     OUTSTANDING RATINGS PLACED ON CREDITWATCH NEGATIVE
 
     Pacific Life CBO 1998-1 Ltd./Pacific Life CBO 1998-1 Corp.
     Class   Current Balance          Rating
                                To                From
     A-1     $34.817 million    AAA/Watch Neg     AAA
     A-2A    $89.427 million    AAA/Watch Neg     AAA
     A-2B    $13.312 million    AAAr/Watch Neg    AAAr
     A-2C    $19.853 million    AAA/Watch Neg     AAA
     A-3     $38 million        A-/Watch Neg      A-
 
 

SOURCE Standard & Poor's
    NEW YORK, April 19 /PRNewswire/ -- Standard & Poor's today placed its
 ratings on the class A-1 notes, class A-2A notes, class A-2B notes, class
 A-2C notes, and class A-3 notes issued by Pacific Life CBO 1998-1 Ltd. and
 co-issued by Pacific Life CBO 1998-1 Corp. on CreditWatch with negative
 implications (see list).
     The CreditWatch placements reflect asset defaults within the collateral
 pool, and a downward migration in the credit quality of some of the performing
 assets within the pool.  Of the assets currently held within the collateral
 pool $19,206,134.40 (or approximately 8.4%) come from obligors rated 'D' by
 Standard & Poor's.  Another $3 million in assets come from obligors rated
 double-'C' that are currently on CreditWatch negative.
     As a result of the defaulted assets, the required overcollateralization
 tests for the transaction are currently out of compliance.  As of the
 April 2, 2001 monthly report, the class A overcollateralization ratio was at
 116.05%, versus its required minimum level of 117%.  An overcollateralization
 test for a subordinate tranche not rated by Standard & Poor's was also out of
 compliance: the class B overcollateralization test, with a calculated level of
 99.32%, versus its required minimum level of 104%.
     Standard & Poor's will be reviewing the results of current cash flow runs
 generated for the transaction in order to evaluate the effect of the defaults
 and the deterioration in credit quality within the collateral pool on the
 ratings currently assigned to the notes, Standard & Poor's said. -- CreditWire
 
     OUTSTANDING RATINGS PLACED ON CREDITWATCH NEGATIVE
 
     Pacific Life CBO 1998-1 Ltd./Pacific Life CBO 1998-1 Corp.
     Class   Current Balance          Rating
                                To                From
     A-1     $34.817 million    AAA/Watch Neg     AAA
     A-2A    $89.427 million    AAA/Watch Neg     AAA
     A-2B    $13.312 million    AAAr/Watch Neg    AAAr
     A-2C    $19.853 million    AAA/Watch Neg     AAA
     A-3     $38 million        A-/Watch Neg      A-
 
 SOURCE  Standard & Poor's