Security Group 10
PSA Prepayment Assumption Rates
Distribution Date
Classes FC, PG, SC, UA and UB
0%
450%
900%
1250%
1600%
Initial Percent .................. 100
100
100
100
100
June 2004 .......................... 100
100
100
100
100
June 2005 .......................... 100
100
100
100
14
June 2006 .......................... 100
100
100
27
1
June 2007 .......................... 100
100
54
7
0
June 2008 .......................... 100
100
25
2
0
June 2009 .......................... 100
100
11
0
0
June 2010 .......................... 100
100
5
0
0
June 2011 .......................... 100
75
2
0
0
June 2012 .......................... 100
53
1
0
0
June 2013 .......................... 100
38
0
0
0
June 2014 .......................... 100
27
0
0
0
June 2015 .......................... 100
19
0
0
0
June 2016 .......................... 100
13
0
0
0
June 2017 .......................... 100
9
0
0
0
June 2018 .......................... 100
7
0
0
0
June 2019 .......................... 100
5
0
0
0
June 2020 .......................... 100
3
0
0
0
June 2021 .......................... 100
2
0
0
0
June 2022 .......................... 100
1
0
0
0
June 2023 .......................... 100
1
0
0
0
June 2024 .......................... 100
1
0
0
0
June 2025 .......................... 100
0
0
0
0
June 2026 .......................... 100
0
0
0
0
June 2027 .......................... 100
0
0
0
0
June 2028 .......................... 100
0
0
0
0
June 2029 .......................... 100
0
0
0
0
June 2030 .......................... 100
0
0
0
0
June 2031 ..........................
32
0
0
0
0
June 2032 ..........................
0
0
0
0
0
June 2033 ..........................
0
0
0
0
0
Weighted Average
Life (years) .................. 27.8
10.1
4.5
2.8
1.7
Yield Considerations
An investor seeking to maximize yield should make a decision whether to invest in any
Class based on the anticipated yield of that Class resulting from its purchase price, the
investor's own projection of Mortgage Loan prepayment rates under a variety of scenarios, in
the case of the Group 2, 3, 4 and 10 Securities, the investor's own projection of principal
payment rates on the Underlying Certificates under a variety of scenarios and, in the case of a
Floating Rate or an Inverse Floating Rate Class, the investor's own projection of levels of LIBOR
under a variety of scenarios. No representation is made regarding Mortgage Loan prepay-
ment rates, Underlying Certificate payment rates, LIBOR levels or the yield of any
Class.
Prepayments: Effect on Yields
The yields to investors will be sensitive in varying degrees to the rate of prepayments on
the related Mortgage Loans.
• In the case of Regular Securities or MX Securities purchased at a premium (especially
Interest Only Classes), faster than anticipated rates of principal payments could result in
actual yields to investors that are lower than the anticipated yields.
• Investors in the Interest Only Classes should also consider the risk that rapid rates of
principal payments could result in the failure of investors to recover fully their
investments.
• In the case of Regular Securities or MX Securities purchased at a discount (especially
Principal Only Classes), slower than anticipated rates of principal payments could result
in actual yields to investors that are lower than the anticipated yields.
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