TEXT-S&P corrects Merrill Lynch Mortgage Investors 2005-HE3 rating

(The following statement was released by the rating agency)

Oct 12 - Standard & Poor's Ratings Services today corrected its rating on class A-2B from Merrill Lynch Mortgage Investors Trust's series 2005-HE3 by reinstating the 'A (sf)' rating and placing the rating on CreditWatch developing (see list). We placed the rating on CreditWatch developing due to our recently revised criteria for surveilling pre-2009 U.S. residential mortgage-backed securities (RMBS) ratings. We place our ratings on CreditWatch developing in situations where we may ultimately raise, lower, or affirm a rating. Our preliminary analysis indicates that the revised rating will be approximately the same as the current rating, but may move slightly either up or down.

On Aug. 25, 2011, we incorrectly withdrew our rating on class A-2B due to an error.


SEC Rule 17g-7 requires an NRSRO, for any report accompanying a credit rating relating to an asset-backed security as defined in the Rule, to include a description of the representations, warranties and enforcement mechanisms available to investors and a description of how they differ from the representations, warranties and enforcement mechanisms in issuances of similar securities. The Rule applies to in-scope securities initially rated (including preliminary ratings) on or after Sept. 26, 2011.

If applicable, the Standard & Poor's 17g-7 Disclosure Report included in this credit rating report is available at


-- Methodology And Assumptions: U.S. RMBS Surveillance Credit And Cash Flow Analysis For Pre-2009 Originations, Aug. 9, 2012

-- Global Structured Finance Scenario And Sensitivity Analysis: The Effects Of The Top Five Macroeconomic Factors, Nov. 4, 2011

-- Principles Of Credit Ratings, Feb. 16, 2011

(New York Ratings Team)

((e-mail: pam.niimi@thomsonreuters.com; Reuters Messaging: pam.niimi.reuters.com@reuters.net; Tel:1-646-223-6330;))