HOUSTON, November 15, 2013 – Today, 21 institutional investors represented by Gibbs & Bruns LLP (“Institutional Investors”) announced they have reached an agreement with JPMorgan under which JPMorgan will make a binding offer (“Offer”) to the Trustees of 330 RMBS Trusts issued by JPMorgan, Bear Stearns and Chase to settle mortgage repurchase and servicing claims. The Institutional Investors support the agreement and have asked the Trustees to accept it. The Trusts included in the Offer are listed on Exhibit “A.”
The Trustees will have until January 15, 2014 to accept the Offer, which may be extended pursuant to the terms of the Offer for an additional sixty days. The Offer includes the following key terms:
1. Payment by JPMorgan of $4.5 billion in cash to the Trusts to settle mortgage repurchase and servicing claims;
2. Implementation of certain servicing changes to mortgage loans in the Trusts, described in greater detail below;
3. Reimbursement to the Trustees of expenses associated with their evaluation of the Offer;
4. A release of all repurchase and servicing claims that have been or could have been asserted by the 330 Trusts; and,
5. Continuation of a previously agreed tolling and forbearance agreement among JPMorgan and the Trustees to permit the Trustees to evaluate the proposed settlement.
The Institutional Investors who are parties to the agreement are:
• AEGON USA Investment Management, LLC
• Bayerische Landesbank
• BlackRock Financial Management Inc.
• Cascade Investment, L.L.C.
• Federal Home Loan Bank of Atlanta
• Federal Home Loan Mortgage Corporation
• Federal National Mortgage Association
• Goldman Sachs Asset Management, L.P.
• ING Investment Management Co. LLC
• ING Investment Management LLC
• Invesco Advisers, Inc.
• Kore Advisors, L.P.
• Landesbank Baden-Wuerttemberg
• Metropolitan Life Insurance Company
• Pacific Investment Management Company LLC
• Sealink Funding Limited
• Teachers Insurance and Annuity Association of America
• The Prudential Insurance Company of America
• The TCW Group, Inc.
• Thrivent Financial for Lutherans
• Western Asset Management Company
Pursuant to the agreement, the Institutional Investors have requested that the Trustees accept the Settlement. They have also agreed to use their reasonable best efforts to obtain court approval of the settlement, if the Trustees elect to accept the Settlement and seek a judicial instruction concerning their decision to do so. Attorneys’ fees for the Institutional Investors counsel, Gibbs & Bruns, will be paid in addition to—and not out of—the Settlement Payment upon the latter of the Trustees’ Acceptance or Final Court Approval, if a judicial instruction is sought.
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Exhibit A
BALTA 2005-1
BSABS 2006-SD3
CHASE 2007-A1
JPMMT 2006-A6
BALTA 2005-10
BSABS 2006-SD4
CHASE 2007-A2
JPMMT 2006-A7
BALTA 2005-2
BSABS 2006-ST1
CHASE 2007-A3
JPMMT 2006-S1
BALTA 2005-3
BSABS 2007-1
CHASE 2007-S1
JPMMT 2006-S2
BALTA 2005-4
BSABS 2007-2
CHASE 2007-S2
JPMMT 2006-S3
BALTA 2005-5
BSABS 2007-AC1
CHASE 2007-S3
JPMMT 2006-S4
BALTA 2005-7
BSABS 2007-AC2
CHASE 2007-S4
JPMMT 2007-A1
BALTA 2005-8
BSABS 2007-AC3
CHASE 2007-S5
JPMMT 2007-A2
BALTA 2005-9
BSABS 2007-AC4
CHASE 2007-S6
JPMMT 2007-A3
BALTA 2006-1
BSABS 2007-AC5
EMCM 2005-A
JPMMT 2007-A4
BALTA 2006-2
BSABS 2007-AC6
EMCM 2005-B
JPMMT 2007-A5
BALTA 2006-3
BSABS 2007-AQ1
EMCM 2006-A
JPMMT 2007-A6
BALTA 2006-4
BSABS 2007-AQ2
GPMF 2005-AR1
JPMMT 2007-S1
BALTA 2006-5
BSABS 2007-FS1
GPMF 2005-AR2
JPMMT 2007-S2
BALTA 2006-6
BSABS 2007-HE1
GPMF 2005-AR3
JPMMT 2007-S3
BALTA 2006-7
BSABS 2007-HE2
GPMF 2005-AR4
LUM 2005-1
BALTA 2006-8
BSABS 2007-HE3
GPMF 2005-AR5
LUM 2006-3
BALTA 2007-1
BSABS 2007-HE4
GPMF 2006-AR1
MSST 2007-1
BALTA 2007-2
BSABS 2007-HE5
GPMF 2006-AR2
PRIME 2005-1
BALTA 2007-3
BSABS 2007-HE6
GPMF 2006-AR3
PRIME 2005-2
BSAAT 2007-1
BSABS 2007-HE7
GPMF 2007-HE1
PRIME 2005-3
BSABS 2005-1
BSABS 2007-SD1
JPALT 2005-A2
PRIME 2005-4
BSABS 2005-2
BSABS 2007-SD2
JPALT 2005-S1
PRIME 2005-5
BSABS 2005-3
BSABS 2007-SD3
JPALT 2006-A1
PRIME 2006-1
BSABS 2005-4
BSARM 2005-1
JPALT 2006-A2
PRIME 2006-2
BSABS 2005-AC1
BSARM 2005-10
JPALT 2006-A3
PRIME 2006-CL1
BSABS 2005-AC2
BSARM 2005-11
JPALT 2006-A4
PRIME 2006-DR1
BSABS 2005-AC3
BSARM 2005-12
JPALT 2006-A5
PRIME 2007-1
BSABS 2005-AC4
BSARM 2005-2
JPALT 2006-A6
PRIME 2007-2
BSABS 2005-AC5
BSARM 2005-3
JPALT 2006-A7
PRIME 2007-3
BSABS 2005-AC6
BSARM 2005-4
JPALT 2006-S1
SACO 2005-1
BSABS 2005-AC7
BSARM 2005-5
JPALT 2006-S2
SACO 2005-10
BSABS 2005-AC8
BSARM 2005-6
JPALT 2006-S3
SACO 2005-2
BSABS 2005-AC9
BSARM 2005-7
JPALT 2006-S4
SACO 2005-3
BSABS 2005-AQ1
BSARM 2005-9
JPALT 2007-A1
SACO 2005-4
BSABS 2005-AQ2
BSARM 2006-1
JPALT 2007-A2
SACO 2005-5
BSABS 2005-CL1
BSARM 2006-2
JPALT 2007-S1
SACO 2005-6
BSABS 2005-EC1
BSARM 2006-4
JPMAC 2005-FLD1
SACO 2005-7
BSABS 2005-FR1
BSARM 2007-1
JPMAC 2005-FRE1
SACO 2005-8
BSABS 2005-HE1
BSARM 2007-2
JPMAC 2005-OPT1
SACO 2005-9
BSABS 2005-HE10
BSARM 2007-3
JPMAC 2005-OPT2
SACO 2005-GP1
BSABS 2005-HE11
BSARM 2007-4
JPMAC 2005-WMC1
SACO 2005-WM1
BSABS 2005-HE12
BSARM 2007-5
JPMAC 2006-ACC1
SACO 2005-WM2
BSABS 2005-HE2
BSMF 2006-AC1
JPMAC 2006-CH1
SACO 2005-WM3
BSABS 2005-HE3
BSMF 2006-AR1
JPMAC 2006-CH2
SACO 2006-1
BSABS 2005-HE4
BSMF 2006-AR2
JPMAC 2006-CW1
SACO 2006-10
BSABS 2005-HE5
BSMF 2006-AR3
JPMAC 2006-CW2
SACO 2006-12
BSABS 2005-HE6
BSMF 2006-AR4
JPMAC 2006-FRE1
SACO 2006-2
BSABS 2005-HE7
BSMF 2006-AR5
JPMAC 2006-FRE2
SACO 2006-3
BSABS 2005-HE8
BSMF 2006-SL1
JPMAC 2006-HE1
SACO 2006-4
BSABS 2005-HE9
BSMF 2006-SL2
JPMAC 2006-HE2
SACO 2006-5
BSABS 2005-SD1
BSMF 2006-SL3
JPMAC 2006-HE3
SACO 2006-6
BSABS 2005-SD2
BSMF 2006-SL4
JPMAC 2006-NC1
SACO 2006-7
BSABS 2005-SD3
BSMF 2006-SL5
JPMAC 2006-NC2
SACO 2006-8
BSABS 2005-SD4
BSMF 2006-SL6
JPMAC 2006-RM1
SACO 2006-9
BSABS 2005-TC1
BSMF 2007-AR1
JPMAC 2006-WF1
SACO 2007-1
BSABS 2005-TC2
BSMF 2007-AR2
JPMAC 2006-WMC1
SACO 2007-2
BSABS 2006-1
BSMF 2007-AR3
JPMAC 2006-WMC2
SACO 2007-VA1
BSABS 2006-2
BSMF 2007-AR4
JPMAC 2006-WMC3
SAMI 2005-AR1
BSABS 2006-3
BSMF 2007-AR5
JPMAC 2006-WMC4
SAMI 2005-AR2
BSABS 2006-4
BSMF 2007-SL1
JPMAC 2007-CH1
SAMI 2005-AR3
BSABS 2006-AC1
BSMF 2007-SL2
JPMAC 2007-CH2
SAMI 2005-AR4
BSABS 2006-AC2
BSSLT 2007-1
JPMAC 2007-CH3
SAMI 2005-AR5
BSABS 2006-AC3
BSSLT 2007-SV1A
JPMAC 2007-CH4
SAMI 2005-AR6
BSABS 2006-AC4
BUMT 2005-1
JPMAC 2007-CH5
SAMI 2005-AR7
BSABS 2006-AC5
CFLX 2005-1
JPMAC 2007-HE1
SAMI 2005-AR8
BSABS 2006-AQ1
CFLX 2005-2
JPMMT 2005-A1
SAMI 2006-AR1
BSABS 2006-EC1
CFLX 2006-1
JPMMT 2005-A2
SAMI 2006-AR2
BSABS 2006-EC2
CFLX 2006-2
JPMMT 2005-A3
SAMI 2006-AR3
BSABS 2006-HE1
CFLX 2007-1
JPMMT 2005-A4
SAMI 2006-AR4
BSABS 2006-HE10
CFLX 2007-2
JPMMT 2005-A5
SAMI 2006-AR5
BSABS 2006-HE2
CFLX 2007-3
JPMMT 2005-A6
SAMI 2006-AR6
BSABS 2006-HE3
CFLX 2007-M1
JPMMT 2005-A7
SAMI 2006-AR7
BSABS 2006-HE4
CHASE 2005-A1
JPMMT 2005-A8
SAMI 2006-AR8
BSABS 2006-HE5
CHASE 2005-A2
JPMMT 2005-ALT1
SAMI 2007-AR1
BSABS 2006-HE6
CHASE 2005-S1
JPMMT 2005-S1
SAMI 2007-AR2
BSABS 2006-HE7
CHASE 2005-S2
JPMMT 2005-S2
SAMI 2007-AR3
BSABS 2006-HE8
CHASE 2005-S3
JPMMT 2005-S3
SAMI 2007-AR4
BSABS 2006-HE9
CHASE 2006-A1
JPMMT 2006-A1
SAMI 2007-AR5
BSABS 2006-IM1
CHASE 2006-S1
JPMMT 2006-A2
SAMI 2007-AR6
BSABS 2006-PC1
CHASE 2006-S2
JPMMT 2006-A3
SAMI 2007-AR7
BSABS 2006-SD1
CHASE 2006-S3
JPMMT 2006-A4
BSABS 2006-SD2
CHASE 2006-S4
JPMMT 2006-A5
