Eurohome (Italy) Mortgages S.R.L

This will be the second securitisation of Italian mortgage loans originated via the Deutsche Bank
subsiduary DB Mutui Spa, the first deal being Eurohomes Mortgages (closed July 07) where DB
Mutui was joined as originator by the German mortgage arm of Deutsche.

This deal sees all the loans originated by DB Mutui Spa (although all of the loans are generated
through intermediaries). The portfolio consists of 1,761 loans to 1,673 borrowers, with all of the
loans guaranteed by a first economic lien on residential properties. 31% of the actual borrowers
are self-employed, and 3% are pensioners. Whereas, around 53% of the pool consists of loans
that were taken out to finance the purchase of a property, the remainder of the loans are definately
more non standard, having been taken out to either consolidate debts (26%) or to release equity
(21%) built up in the property. Of the actual loans, 72.3% are indexed to floating rates, and 24.6%
are loans which allow the borrower to switch between a fixed or a floating rate every three years.
All loans pay monthly through direct debit.

The current WA LTV 69.3% does not tell the full story, as 31.8% of the pool consists of loans with
an LTV of over 80%, which is not often seen in the Italian market. Also the seasoning is very short
at less than three months, which certainly draws attention to the 1.04% of the pool that was in
arrears for more than 30 days at the cut-off date. Additionally, 114 loans (6.37% of total pool) are
currently one or more days in arrears. Concentration should also be noted, with the top 20 borrow-
ers accounting for 4.49% of the total principal outstanding.


Compare/contrast: Eurohomes Mortgages 2007-1, BPL Mortgages Srl, PB Domicilio 2007-1 Ltd
Eurohome Mortgages 2007-1 BPL Mortgages SrlPB Domicilio 2007-1 Ltd