<PAGE>
- --------------------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported):
September 8, 1998
Morgan Stanley ABS Capital I Inc.,
as Depositor in connection with
Life Bank Asset Backed Certificates, Series 1998-1
--------------------------------------------------
(Exact Name of Registrant as Specified in its Charter)
Delaware 333-19779 13-3939229
- ------------------------ ------------- -------------------
(State of Incorporation) (Commission (I.R.S. Employer
File Number) Identification No.)
1585 Broadway, 2nd Floor, New York, New York 10036
----------------------------------------------------------------------
(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: (212) 761-4000
- --------------------------------------------------------------------------------
<PAGE>
Item 5. Other Events.
------------
Morgan Stanley ABS Capital I Inc. (the "Depositor") will cause to be filed
with the Securities and Exchange Commission (the "Commission") pursuant to the
Commission's Rule 424 a Prospectus Supplement and the Prospectus filed as part
of Registration Statement, File No. 333-19779, in connection with the
Depositor's issuance of a series of certificates, entitled Life Bank Asset
Backed Certificates, Series 1998-1 (the "Certificates"), to be issued pursuant
to a pooling and servicing agreement among the Depositor, Life Investment
Holdings, Inc., as the Transferor, Life Bank, as Servicer, and Norwest Bank
Minnesota, National Association, as Trustee.
Morgan Stanley & Co. Incorporated, as representative of the underwriters of
the Certificates (the "Underwriters"), has provided certain prospective
purchasers of the Certificates with certain yield tables and other computational
materials, collateral term sheets and structural term sheets (the "Computational
Materials") in written form, based on collateral information provided by Life
Bank.
Item 7. Financial Statements; Pro Forma Financial Information and
---------------------------------------------------------
Exhibits.
---------
(a) Not applicable.
(b) Not applicable.
(c) Exhibits:
99.1 Computational Materials (as defined in Item 5) that have been
provided by Morgan Stanley & Co. Incorporated to certain prospective
purchasers of Life Bank Asset Backed Certificates, Series 1998-1
1
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the Registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.
MORGAN STANLEY ABS CAPITAL I INC.
By: /s/ Paul Scialabba
--------------------
Name: Paul Scialabba
Title: Vice President
Date: September 10, 1998
2
<PAGE>
EXHIBIT INDEX
-------------
Exhibit
- -------
99.1 Computational Materials (as defined in Item 5) that have been provided by
Morgan Stanley & Co. Incorporated to certain prospective purchasers of
Life Bank Asset Backed Certificates, Series 1998-1
<PAGE>
EXHIBIT 99.1
MORGAN STANLEY DEAN WITTER SEPTEMBER 8, 1998
ASSET FINANCE GROUP
ABS/MBS CAPITAL MARKETS
- ------------------------------------------------------------------------------
ABS NEW TRANSACTION
COMPUTATIONAL MATERIALS
$400,000,000 (APPROXIMATE)
LIFE BANK
ASSET BACKED CERTIFICATES
SERIES 1998-1
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
$400,000,000 LIFE BANK ASSET BACKED CERTIFICATES
SERIES 1998-1
MORGAN STANLEY ABS CAPITAL I INC.
DEPOSITOR
LIFE BANK
SELLER & SERVICER
TRANSACTION HIGHLIGHTS
----------------------
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------
EXPECTED AVERAGE LIFE TO MOD DUR TO
CLASS SIZE DESCRIPTION RATINGS CALL / MATY CALL / MATY
CLASS(1) (MILLIONS) POOL / TYPE (MOODYS/S&P) (YEARS) (YEARS)
================================================================================
<S> <C> <C> <C> <C> <C>
A-1 $ 76.000 FRM Sequential Aaa/AAA 0.85 / 0.85 0.81 / 0.81
A-2 $ 35.000 FRM Sequential Aaa/AAA 2.00 / 2.00 1.83 / 1.83
A-3 $ 34.000 FRM Sequential Aaa/AAA 2.99 / 2.99 2.65 / 2.65
A-4 $ 44.000 FRM Sequential Aaa/AAA 5.02 / 5.02 4.16 / 4.16
A-5 $ 22.293 FRM Sequential Aaa/AAA .68 / 11.00 5.82 / 7.45
A-6 $ 23.477 FRM NAS Aaa/AAA 6.30 / 6.59 5.04 / 5.21
F-IO $ 23.477 FRM NAS IO Aaa/AAA 3.02 / 3.02 1.47 / 1.47
A-7 $123.922 ARM Floater Aaa/AAA 2.45 / 2.61 2.10 / 2.19
A-8 $ 41.308 ARM Fixed NAS Aaa/AAA 2.70 / 2.70 2.42 / 2.42
A-IO $ 41.308 ARM NAS IO Aaa/AAA 2.00 / 2.00 0.85 / 0.85
- --------------------------------------------------------------------------------
Total(2) $400.000 Aaa/AAA -- --
- --------------------------------------------------------------------------------
<CAPTION>
- ----------------------------------------------------------------
PAYMENT
WINDOW PRICE
TO CALL / MATY TALK
CLASS(1) (MONTHS) DAY COUNT BENCHMARK (BPS)
================================================================
<S> <C> <C> <C> <C>
A-1 19 / 19 30/360 6 3/4 of 6-99 +[ ]
A-2 11 / 11 30/360 5 3/8 of 7-00 +[ ]
A-3 16 / 16 30/360 3-year UST +[ ]
A-4 46 / 46 30/360 5-year UST +[ ]
A-5 4 / 116 30/360 6 1/8 of 8-07 +[ ]
A-6 56 / 165 30/360 7 7/8 of 11-04 +[ ]
F-IO 1 / 1 30/360 5 7/8 of 2-00 +[ ]
A-7 92 / 173 Actual/360 1 mo. LIBOR +[ ]
A-8 40 / 40 30/360 5 3/8 of 2-01 +[ ]
A-IO 5 / 5 30/360 6 of 6-99 +[ ]
- ----------------------------------------------------------------
Total(2) -- -- --
- ----------------------------------------------------------------
</TABLE>
(1) The Class A-1 through Class A-6 and Class F-IO certificates are backed by a
pool of fixed rate home equity loans and the Class A-7, A-8 and A-IO
certificates by a pool of adjustable rate home equity loans.
(2) The total class size does not include the notional balances of the Class F-
IO and A-IO certificates.
<TABLE>
<S> <C>
SELLER AND SERVICER: Life Bank
DEPOSITOR: Morgan Stanley ABS Capital I Inc. (MSDW's home equity ABS shelf)
TRUSTEE: Norwest Bank Minnesota, N.A.
COLLATERAL: Fixed and adjustable rate non-conforming home equity loans secured by first and second lien
mortgages.
<CAPTION>
PREPAYMENT ASSUMPTION:
- ---------------------
<S> <C>
FIXED RATE CERTIFICATES: All classes are priced at 115% of the prepayment assumption ("PPC"). 100% PPC describes
prepayments starting at 3% CPR in month 1, increasing by approximately 1.5454% CPR per month to
20% CPR in month 12, and remaining at 20% CPR thereafter .
ADJUSTABLE RATE CERTIFICATES: Constant 30% CPR
EXPECTED PRICING DATE: September 10, 1998
EXPECTED SETTLEMENT: September 18, 1998 through DTC, Euroclear or CEDEL
DISTRIBUTION DATES: The 25th of each month, beginning October 26, 1998
CREDIT ENHANCEMENT: 100% coverage of principal and interest due to certificates, provided by MBIA Insurance
Corporation.
PRE-FUNDING AMOUNT: 25%
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<S> <C>
CLASS A-6 AND A-8 FIXED RATE NAS The Class A-6 and A-8 fixed rate NAS classes are backed by the fixed rate Group I and
adjustable rate Group II
CERTIFICATES: loans, respectively, and pay according to the following schedule of each certificate's
pro-rata share:
CLASS A-6 CLASS A-8
--------- ---------
October 1998 - September 2001: 0% October 1998 - June 2000: 0%
October 2001 - September 2003: 45% July 2000 - September 2003: 500%
October 2003 - September 2004: 80% October 2003 - thereafter: all principal
October 2004 - September 2005: 100%
October 2005 - thereafter: 300%
<CAPTION>
CREDIT ENHANCEMENT:
- ------------------
<S> <C>
OVERCOLLATERALIZATION: The fixed rate certificates will benefit from overcollateralization which is initially 0% and
increases to 2.75% of the outstanding pool through the allocation of excess spread. The ARM
certificates will benefit from overcollateralization which is initially 0% and increases to
4.25% of the outstanding pool through the allocation of excess spread.
OVERCOLLATERALIZATION STEP-UP: The required overcollateralization amount can "step-up" to the product of (i) the amount of 90+
day delinquencies (including bankruptcies, foreclosures, and REO) as a percentage of the
outstanding pool balance and (ii) 70% (for the fixed-rate portfolio) or 85% (for the adjustable-
rate pool) if this product is greater than the base overcollateralization for each group (i.e.,
2.75% for the FRM pool, and 4.25% for the ARM pool).
OVERCOLLATERALIZATION STEP-DOWN: The required overcollateralization can also "step-down" after 30 months to the greater of:
- The product of (i) two times the base overcollateralization requirement (i.e., 5.50% for
the FRM pool and 8.50% for the ARM pool) and (ii) the outstanding pool balance;
- The overcollateralization step-up amount as calculated above;
- 0.50% of the original related pool balance (i.e., the o/c floor);
- And the sum of the three largest outstanding loan
balances;
EXCESS SPREAD: Current period losses will be covered by any excess spread available in that period. Such excess
spread will include any penalties received by the trust due to prepayments on the mortgage
loans.
INTEREST CARRY FORWARD: Any interest due but not paid to the certificates is carried forward and paid in future periods
to the extent interest funds are available. Any Interest Carry Forward amount WILL earn interest
at the current certificate rate.
CLASS F-IO COUPON: Class F-IO receives a coupon of 6% on a notional balance equal to the balance of class A-6 for
36 months.
CLASS A-IO COUPON: Class A-IO receives a coupon of 6% for months 1 through 9. The coupon then steps down to 4% for
months 10 through 15. The coupon then steps down to 3% for months 16 through 25. The notional
balance for class A-IO equals the balance of class A-8 for months 1 through 20. Thereafter, the
notional balance of class A-IO will equal the minimum of 70% of the original balance of class A-
8 or the actual balance of class A-8.
CLASS A-7 AVAILABLE FUNDS CAP: Class A-7 will receive LIBOR plus a margin subject to an available funds cap. The cap is a rate
equal to total interest and fees paid in a given month less servicing fees, less surety fees,
less interest payable to the class A-I0, divided by the beginning Group II pool balance, and
less a 0.50% carve out beginning in month 7.
BASIS RISK CARRY FORWARD: Any interest due to class A-7 based on its coupon formula but not paid due to the available
funds cap may be paid from amounts which would otherwise be paid to the residual. While these
amounts due can be carried forward, they will not accrue interest.
OPTION CALL: 10% Clean-up call (10% of pool balance)
COUPON STEP-UP: If the 10% clean-up call option is not exercised, (i) the Class A-5 and A-6 pass-through rates
increase by 0.75%, and (ii) the Class A-7 certificate spread to LIBOR doubles.
TAX STATUS: REMIC
ERISA ELIGIBILITY: The Class A certificates will be ERISA eligible.
SMMEA ELIGIBILITY: None of the Class A Certificates are SMMEA eligible.
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
LIFE BANK 1998-1 COLLATERAL DESCRIPTION
---------------------------------------
<TABLE>
<CAPTION>
FIXED RATE HOME EQUITY EOANS - GROUP I ARM HOME EQUITY lOANS - GROUP II
-------------------------------------- ------------------------------------------
<S> <C> <C>
AGGREGATE POOL BALANCE: $162,704,755.26 $114,510,217.47
NUMBER OF LOANS: 2,160 908
AVERAGE OUTSTANDING BALANCE: $75,326 (min: $10,459 / max: $531,910) $126,113 (min: $11,559 / max: $905,755)
TOTAL ORIGINAL BALANCE: $163,383,062.88 $114,904,950.00
AVERAGE ORIGINAL BALANCE: $75,640 (min: $10,510 / max: $532,500) $126,547 (min: $12,000 / max: $908,000)
LIEN POSITION: 96.07% firsts; 3.93% seconds 99.98% firsts; 0.02% seconds
PREPAYMENT PENALTY: a) 54.88% No Penalty a) 46.02% No Penalty
b) 5.58% 0.5 to 1-year b) 12.88% 0.5 to 1-year
c) 2.82% 2-year c) 13.73% 2-year
d) 19.78% 2.5 to 3-year d) 25.92% 3 to 3.5-year
e) 0.39% 3.5 to 4-year e) 1.45% 5-year
f) 16.54% 5-year
WA ORIGINAL COMBINED LOAN TO
VALUE RATIO: 75.91% (29.89% >80%, min: 17.86% / 78.80% (37.78% >80%, min: 15.73% /
max: 101.00%) max: 95.03%)
WA JUNIOR LOAN RATIO/(/1) : 32.13% (min: 7.83% / max: 71.20%) 24.21% (min: 24.21% / max: 24.21%)
LOAN TYPE: a) 74.86% Fixed Rate a) 28.20% 1-year ARM
b) 25.14% Balloon b) 35.86% 2-year fixed/6-month ARM
c) 18.10% 6-month ARM
d) 15.31% 3-year fixed/6-month ARM
e) 1.44% 3-year fixed/1-year ARM
f) 1.09% Other
WA STATED ORIGINAL TERM: 273 months (44.12% less than or equal 359 months (0.28% less than or equal to
to 180-mo. Maty 55.88% > 360-mo. Maty) 180-mo. Maty 99.72% > 360-mo. Maty)
WA STATED REMAINING TERM: 270 months (min: 59 / max: 360) 354 months (min: 103 / max: 360)
WA SEASONING: 3.6 months 4.9 months
INTEREST RATE INDEX: N/A a) 69.7% 6-month LIBOR
b) 30.2% 1-year UST
c) 0.1% 6-month COFI
</TABLE>
NOTE: (1) EXCLUDES FIRST MORTGAGES. DEFINED AS RATIO OF ORIGINAL PRINCIPAL
BALANCE OF THE MORTGAGE LOAN TO THE SUM OF THE ORIGINAL PRINCIPAL BALANCE OF
LOAN AND PRINCIPAL BALANCE AT TIME OF ORIGINATION OF THE LOAN OF ANY SENIOR
LIENS.
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
LIFE BANK 1998-1 COLLATERAL DESCRIPTION
---------------------------------------
(CONTINUED)
<TABLE>
<CAPTION>
FIXED RATE HOME EQUITY LOANS - GROUP I ARM HOME EQUITY LOANS - GROUP II
-------------------------------------- --------------------------------
<S> <C> <C>
WA GROSS COUPON: 9.756% (min: 6.000%/max: 16.000%) 9.276% (current, min: 6.750%/
max: 15.000%)
WA GROSS MARGIN: N/A 5.592% (current, min: 1.000%/
max: 11.250%)
LATEST SCHEDULED MATURITY: August 1, 2028 August 1, 2028
PROPERTY TYPE: a) 87.02% single family a) 84.23% single family
b) 4.89% PUD b) 5.27% condominium
c) 4.79% 2-4 family c) 5.26% PUD
d) 3.30% condominium d) 5.24% 2-4 family
OWNER OCCUPANCY: a) 92.10% owner occupied a) 93.45% owner occupied
b) 7.90% investor property b) 6.55% investor property
GEOGRAPHIC DISTRIBUTION
(GREATER THAN 5%): CA (20.90%), TX (7.22%), NC (5.97%), CA (20.19%), MI (15.99%),
AL (5.38%), FL (5.07%) UT (14.35%), CO (6.15%)
% CASHOUT REFINANCING: 69.10% 41.42%
WA INITIAL PERIODIC CAP: NA 2.32%
WA PERIODIC CAP: NA 1.42%
WA MONTHS TO ROLL: NA 16
WA FLOOR: NA 8.95%
WA FICO SCORE: 649 659
% FULL DOC: 69.68% 55.03%
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
LIFE BANK 1998-1 COLLATERAL DETAIL
----------------------------------
FIXED RATE GROUP I
<TABLE>
<CAPTION>
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
Current Mortgage LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
Rates (%)
- ----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
5.751 - 6.000 1 47,295.56 0.03 6.000 47,296 75.00 0.00 100.00 100.00 774
- ----------------------------------------------------------------------------------------------------------------------------
6.251 - 6.500 2 273,143.31 0.17 6.447 136,572 73.20 0.00 100.00 100.00 728
- ----------------------------------------------------------------------------------------------------------------------------
6.501 - 6.750 1 102,500.00 0.06 6.750 102,500 64.87 0.00 100.00 100.00 610
- ----------------------------------------------------------------------------------------------------------------------------
6.751 - 7.000 1 46,922.81 0.03 6.875 46,923 67.53 0.00 100.00 100.00 544
- ----------------------------------------------------------------------------------------------------------------------------
7.001 - 7.250 5 444,662.36 0.27 7.125 88,932 60.96 0.00 100.00 100.00 652
- ----------------------------------------------------------------------------------------------------------------------------
7.251 - 7.500 9 1,141,036.11 0.70 7.430 126,782 67.28 26.13 100.00 100.00 683
- ----------------------------------------------------------------------------------------------------------------------------
7.501 - 7.750 19 1,403,033.38 0.86 7.659 73,844 67.70 9.56 100.00 100.00 666
- ----------------------------------------------------------------------------------------------------------------------------
7.751 - 8.000 69 5,568,962.27 3.42 7.955 80,710 67.85 4.85 92.10 100.00 668
- ----------------------------------------------------------------------------------------------------------------------------
8.001 - 8.250 80 6,513,602.55 4.00 8.232 81,420 71.71 11.37 89.81 96.92 666
- ----------------------------------------------------------------------------------------------------------------------------
8.251 - 8.500 97 8,274,651.88 5.09 8.412 85,306 76.29 9.80 84.65 96.21 656
- ----------------------------------------------------------------------------------------------------------------------------
8.501 - 8.750 157 15,348,261.94 9.43 8.657 97,760 77.20 15.90 81.66 96.22 673
- ----------------------------------------------------------------------------------------------------------------------------
8.751 - 9.000 199 18,114,597.26 11.13 8.949 91,028 77.93 13.81 81.07 90.33 667
- ----------------------------------------------------------------------------------------------------------------------------
9.001 - 9.250 100 9,173,168.49 5.64 9.188 91,732 78.48 37.06 59.66 86.69 680
- ----------------------------------------------------------------------------------------------------------------------------
9.251 - 9.500 178 15,505,365.01 9.53 9.443 87,109 77.64 37.72 54.06 84.02 677
- ----------------------------------------------------------------------------------------------------------------------------
9.501 - 9.750 158 13,133,351.90 8.07 9.698 83,122 78.80 45.93 50.92 90.30 668
- ----------------------------------------------------------------------------------------------------------------------------
9.751 - 10.000 180 13,291,482.92 8.17 9.917 73,842 76.77 35.33 58.00 91.90 653
- ----------------------------------------------------------------------------------------------------------------------------
10.001 - 10.250 93 7,292,401.05 4.48 10.162 78,413 74.64 24.87 65.27 88.11 639
- ----------------------------------------------------------------------------------------------------------------------------
10.251 - 10.500 117 8,482,865.99 5.21 10.432 72,503 72.78 24.69 59.86 92.55 626
- ----------------------------------------------------------------------------------------------------------------------------
10.501 - 10.750 101 7,442,260.99 4.57 10.674 73,686 75.39 35.91 62.28 93.43 627
- ----------------------------------------------------------------------------------------------------------------------------
10.751 - 11.000 130 7,172,016.19 4.41 10.941 55,169 68.29 29.19 68.10 87.05 622
- ----------------------------------------------------------------------------------------------------------------------------
11.001 - 11.250 71 3,769,172.39 2.32 11.201 53,087 69.49 19.75 70.04 97.59 598
- ----------------------------------------------------------------------------------------------------------------------------
11.251 - 11.500 87 4,750,706.71 2.92 11.444 54,606 67.78 20.37 72.36 91.93 601
- ----------------------------------------------------------------------------------------------------------------------------
11.501 - 11.750 59 3,033,320.11 1.86 11.711 51,412 68.83 13.39 75.20 90.73 584
- ----------------------------------------------------------------------------------------------------------------------------
11.751 - 12.000 60 3,264,898.00 2.01 11.942 54,415 59.70 24.22 62.25 97.14 594
- ----------------------------------------------------------------------------------------------------------------------------
12.001 - 12.250 41 2,278,788.54 1.40 12.216 55,580 58.93 15.41 75.41 100.00 581
- ----------------------------------------------------------------------------------------------------------------------------
12.251 - 12.500 33 1,446,605.30 0.89 12.461 43,837 64.55 11.12 87.19 96.10 585
- ----------------------------------------------------------------------------------------------------------------------------
12.501 - 12.750 21 1,060,743.70 0.65 12.687 50,512 63.31 10.43 42.86 92.58 579
- ----------------------------------------------------------------------------------------------------------------------------
12.751 - 13.000 34 1,668,949.93 1.03 12.954 49,087 48.62 7.62 80.01 98.24 566
- ----------------------------------------------------------------------------------------------------------------------------
13.001 - 13.250 15 697,222.67 0.43 13.213 46,482 50.64 5.02 70.33 100.00 608
- ----------------------------------------------------------------------------------------------------------------------------
13.251 - 13.500 7 300,529.18 0.18 13.449 42,933 57.40 0.00 63.64 100.00 578
- ----------------------------------------------------------------------------------------------------------------------------
13.501 - 13.750 5 309,112.15 0.19 13.675 61,822 57.09 6.28 100.00 100.00 522
- ----------------------------------------------------------------------------------------------------------------------------
13.751 - 14.000 19 794,850.29 0.49 13.978 41,834 57.44 11.00 72.08 100.00 546
- ----------------------------------------------------------------------------------------------------------------------------
14.001 - 14.250 2 79,893.99 0.05 14.250 39,947 67.76 0.00 49.68 100.00 511
- ----------------------------------------------------------------------------------------------------------------------------
14.251 - 14.500 1 48,734.04 0.03 14.490 48,734 75.00 0.00 100.00 100.00 516
- ----------------------------------------------------------------------------------------------------------------------------
14.501 - 14.750 2 120,851.60 0.07 14.750 60,426 65.60 0.00 100.00 100.00 607
- ----------------------------------------------------------------------------------------------------------------------------
14.751 - 15.000 3 179,450.92 0.11 14.977 59,817 66.35 0.00 44.09 100.00 561
- ----------------------------------------------------------------------------------------------------------------------------
15.501 - 15.750 1 31,500.00 0.02 15.750 31,500 60.00 0.00 0.00 0.00 526
- ----------------------------------------------------------------------------------------------------------------------------
15.751 - 16.000 2 97,843.77 0.06 15.967 48,922 58.32 66.81 100.00 100.00 597
- ----------------------------------------------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326 73.83 24.41 69.68 92.10 649
- ----------------------------------------------------------------------------------------------------------------------------
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
Current Mortgage Loan MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
Principal Balance ($) LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
10,000.01 - 20,000.00 38 637,574.06 0.39 11.391 16,778 30.48 14.50 69.84 81.68 645
- ----------------------------------------------------------------------------------------------------------------------------------
20,000.01 - 30,000.00 180 4,777,630.75 2.94 10.919 26,542 46.96 6.01 73.85 88.07 619
- ----------------------------------------------------------------------------------------------------------------------------------
30,000.01 - 40,000.00 296 10,530,494.16 6.47 10.448 35,576 60.17 11.37 81.62 93.06 633
- ----------------------------------------------------------------------------------------------------------------------------------
40,000.01 - 50,000.00 317 14,426,462.64 8.87 10.150 45,509 69.03 12.63 83.75 90.20 629
- ----------------------------------------------------------------------------------------------------------------------------------
50,000.01 - 60,000.00 273 15,077,104.71 9.27 10.022 55,227 71.33 13.16 79.66 91.15 643
- ----------------------------------------------------------------------------------------------------------------------------------
60,000.01 - 70,000.00 217 14,139,108.36 8.69 9.863 65,157 74.68 17.83 76.79 89.92 647
- ----------------------------------------------------------------------------------------------------------------------------------
70,000.01 - 80,000.00 175 13,036,651.93 8.01 9.706 74,495 74.04 22.93 73.07 97.23 647
- ----------------------------------------------------------------------------------------------------------------------------------
80,000.01 - 90,000.00 125 10,689,384.61 6.57 9.752 85,515 74.97 21.86 72.09 95.14 639
- ----------------------------------------------------------------------------------------------------------------------------------
90,000.01 - 100,000.00 100 9,526,795.25 5.86 9.668 95,268 76.36 17.10 78.79 95.96 641
- ----------------------------------------------------------------------------------------------------------------------------------
100,000.01 - 110,000.00 74 7,792,066.88 4.79 9.447 105,298 78.38 20.51 82.39 90.52 654
- ----------------------------------------------------------------------------------------------------------------------------------
110,000.01 - 120,000.00 76 8,737,595.21 5.37 9.668 114,968 78.09 27.56 69.71 85.49 656
- -----------------------------------------------------------------------------------------------------------------------------------
120,000.01 - 130,000.00 40 4,998,809.54 3.07 9.499 124,970 81.19 42.26 55.30 95.03 676
- ----------------------------------------------------------------------------------------------------------------------------------
130,000.01 - 140,000.00 47 6,412,829.69 3.94 9.708 136,443 76.50 31.90 57.67 93.52 648
- ----------------------------------------------------------------------------------------------------------------------------------
140,000.01 - 150,000.00 33 4,779,159.48 2.94 9.256 144,823 80.95 42.14 51.31 96.89 668
- ----------------------------------------------------------------------------------------------------------------------------------
150,000.01 - 175,000.00 46 7,428,708.90 4.57 9.445 161,494 78.26 32.83 63.29 87.18 666
- ----------------------------------------------------------------------------------------------------------------------------------
175,000.01 - 200,000.00 40 7,532,770.25 4.63 9.422 188,319 79.93 43.22 49.76 97.35 652
- ----------------------------------------------------------------------------------------------------------------------------------
200,000.01 - 225,000.00 22 4,670,758.09 2.87 9.478 212,307 77.99 45.14 31.07 90.48 681
- ----------------------------------------------------------------------------------------------------------------------------------
225,000.01 - 250,000.00 24 5,647,708.53 3.47 9.259 235,321 79.12 41.15 46.20 83.92 678
- ----------------------------------------------------------------------------------------------------------------------------------
250,000.01 - 275,000.00 8 2,116,066.24 1.30 9.448 264,508 84.85 62.79 49.74 100.00 666
- ----------------------------------------------------------------------------------------------------------------------------------
275,000.01 - 300,000.00 11 3,158,981.27 1.94 9.193 287,180 78.24 46.62 45.15 100.00 675
- ----------------------------------------------------------------------------------------------------------------------------------
300,000.01 - 400,000.00 15 5,132,054.94 3.15 9.075 342,137 80.34 34.01 73.09 86.79 652
- ----------------------------------------------------------------------------------------------------------------------------------
400,000.01 - 500,000.00 2 924,129.80 0.57 8.557 462,065 69.26 0.00 45.90 100.00 684
- ----------------------------------------------------------------------------------------------------------------------------------
500,000.01 - 600,000.00 1 531,909.97 0.33 8.950 531,910 75.00 0.00 100.00 100.00 691
- ----------------------------------------------------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326 73.83 24.41 69.68 92.10 649
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
% OF WEIGHTED WEIGHTED
Original NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
Combined MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
Loan-to-Value Ratio(%) LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
15.001 - 20.000 3 124,586.53 0.08 8.872 41,529 18.42 0.00 23.75 100.00 707
- ---------------------------------------------------------------------------------------------------------------------------------
20.001 - 25.000 4 185,132.53 0.11 9.044 46,283 23.60 0.00 45.04 100.00 734
- ---------------------------------------------------------------------------------------------------------------------------------
25.001 - 30.000 12 474,413.74 0.29 10.025 39,534 28.46 0.00 94.37 100.00 611
- ---------------------------------------------------------------------------------------------------------------------------------
30.001 - 35.000 20 764,356.19 0.47 10.210 38,218 32.92 0.00 96.08 100.00 607
- ---------------------------------------------------------------------------------------------------------------------------------
35.001 - 40.000 35 1,559,886.76 0.96 10.243 44,568 37.33 0.00 66.20 93.60 624
- ---------------------------------------------------------------------------------------------------------------------------------
40.001 - 45.000 39 2,031,146.75 1.25 10.070 52,081 40.79 1.20 70.77 97.93 633
- ---------------------------------------------------------------------------------------------------------------------------------
45.001 - 50.000 57 2,913,276.19 1.79 9.793 51,110 47.66 4.51 55.43 86.45 645
- ---------------------------------------------------------------------------------------------------------------------------------
50.001 - 55.000 72 3,893,061.72 2.39 10.009 54,070 52.31 5.06 65.24 92.59 632
- ---------------------------------------------------------------------------------------------------------------------------------
55.001 - 60.000 111 6,625,995.31 4.07 9.908 59,694 55.67 1.93 63.11 97.02 625
- ---------------------------------------------------------------------------------------------------------------------------------
60.001 - 65.000 140 8,688,731.65 5.34 10.707 62,062 61.06 9.49 57.53 91.72 627
- ---------------------------------------------------------------------------------------------------------------------------------
65.001 - 70.000 204 14,048,575.57 8.63 9.889 68,866 67.18 12.76 54.84 82.27 643
- ---------------------------------------------------------------------------------------------------------------------------------
70.001 - 75.000 306 23,377,541.11 14.37 9.670 76,397 72.26 12.03 61.80 88.85 645
- ---------------------------------------------------------------------------------------------------------------------------------
75.001 - 80.000 634 49,382,215.54 30.35 9.446 77,890 78.15 23.40 81.38 93.61 654
- ---------------------------------------------------------------------------------------------------------------------------------
80.001 - 85.000 238 19,907,030.23 12.24 9.673 83,643 81.21 16.75 94.10 94.47 633
- ---------------------------------------------------------------------------------------------------------------------------------
85.001 - 90.000 248 25,999,906.77 15.98 9.899 104,838 85.74 65.34 48.31 93.42 678
- ---------------------------------------------------------------------------------------------------------------------------------
90.001 - 95.000 29 2,293,096.77 1.41 10.548 79,072 88.71 64.85 96.39 100.00 660
- ---------------------------------------------------------------------------------------------------------------------------------
95.001 - 100.000 6 355,667.75 0.22 8.493 59,27 96.97 100.00 100.00 84.96 689
- ---------------------------------------------------------------------------------------------------------------------------------
100.001 >= 2 80,134.15 0.05 9.838 40,067 100.84 100.00 100.00 100.00 554
- ---------------------------------------------------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326 73.83 24.41 69.68 92.10 649
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
<CAPTION>
% OF WEIGHTED WEIGHTED
Original NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
Combined MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
Loan-to-Value Ratio (%) LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
- ---------------------------------------------------------------------------------------------------------------------------------
Fixed - 5 Year 2 54,241.00 0.03 10.996 27,121 35.36 0.00 100.00 100.00 557
- ---------------------------------------------------------------------------------------------------------------------------------
Fixed - 10 Year 30 1,267,561.30 0.78 10.511 42,252 61.01 0.00 88.40 97.22 612
- ---------------------------------------------------------------------------------------------------------------------------------
Fixed - 15 Year 578 29,674,671.73 18.24 9.839 51,340 64.70 3.58 82.66 93.63 635
- ---------------------------------------------------------------------------------------------------------------------------------
Fixed - 20 Year 147 8,493,792.60 5.22 9.798 57,781 68.45 4.06 74.32 96.59 649
- ---------------------------------------------------------------------------------------------------------------------------------
Fixed - 25 Year 5 306,265.97 0.19 9.693 61,253 71.05 0.00 71.57 100.00 673
- ---------------------------------------------------------------------------------------------------------------------------------
Fixed - 30 Year 924 82,007,918.77 50.40 9.654 88,753 77.40 27.13 71.75 92.42 656
- ---------------------------------------------------------------------------------------------------------------------------------
Balloon - 15/30 474 40,900,303.89 25.14 9.868 86,288 74.89 39.26 54.52 89.18 648
- ---------------------------------------------------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326 73.83 24.41 69.68 92.10 649
- ---------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
Balloon LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Balloon 474 40,900,303.89 25.14 9.868 86,288 74.89 39.26 54.52 89.18 648
- ---------------------------------------------------------------------------------------------------------------------------
Non-Balloon 1,686 121,804,451.37 74.86 9.719 72,245 73.47 19.42 74.78 93.08 650
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326 73.83 24.41 69.68 92.10 649
- ---------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------
<CAPTION>
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
Lien Position LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
1st Lien 1,993 156,310,258.00 96.07 9.686 78,430 75.84 25.27 69.42 91.88 650
- ----------------------------------------------------------------------------------------------------------------------------
2nd Lien 167 6,394,497.26 3.93 11.461 38,290 24.59 3.38 76.17 97.42 627
- ----------------------------------------------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326 73.83 24.41 69.68 92.10 649
- ----------------------------------------------------------------------------------------------------------------------------
<CAPTION>
- ----------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
Original Term LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
60 or less 2 54,241.00 0.03 10.996 27,121 35.36 0.00 100.00 100.00 557
- ----------------------------------------------------------------------------------------------------------------------------
61 - 180 1,080 71,728,534.16 44.09 9.865 66,415 70.44 23.87 66.69 91.15 642
- ----------------------------------------------------------------------------------------------------------------------------
181 - 240 149 8,607,795.36 5.29 9.815 57,770 68.48 4.00 74.66 96.64 649
- ----------------------------------------------------------------------------------------------------------------------------
241 - 360 929 82,314,184.74 50.59 9.654 88,605 77.37 27.03 71.75 92.45 656
- ----------------------------------------------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326 73.83 24.41 69.68 92.10 649
- ----------------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
</TABLE>
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
Seasoning LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- --------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
0 325 24,490,479.17 15.05 9.815 75,355 71.45 30.33 54.53 95.67 660
- --------------------------------------------------------------------------------------------------------------------------
1 - 3 1,353 97,853,783.22 60.14 9.720 72,324 73.49 18.20 78.14 94.34 641
- --------------------------------------------------------------------------------------------------------------------------
4 - 6 250 22,646,285.76 13.92 9.693 90,585 77.82 34.69 50.48 86.88 665
- --------------------------------------------------------------------------------------------------------------------------
7 - 9 66 4,681,412.98 2.88 10.189 70,930 72.04 42.37 66.36 95.51 643
- --------------------------------------------------------------------------------------------------------------------------
10 - 12 69 4,697,220.06 2.89 10.201 68,076 71.71 30.87 62.58 69.09 657
- --------------------------------------------------------------------------------------------------------------------------
13 - 15 45 2,745,412.88 1.69 10.288 61,009 73.57 29.06 58.33 80.49 668
- --------------------------------------------------------------------------------------------------------------------------
16 - 18 8 988,994.42 0.61 9.566 123,624 76.69 60.68 94.00 94.45 661
- --------------------------------------------------------------------------------------------------------------------------
19 - 21 9 1,167,207.52 0.72 9.240 129,690 78.08 22.15 68.10 54.61 713
- --------------------------------------------------------------------------------------------------------------------------
22 - 24 9 625,704.59 0.38 9.681 69,523 76.31 57.96 74.58 75.39 638
- --------------------------------------------------------------------------------------------------------------------------
25 - 27 7 874,139.93 0.54 9.712 124,877 78.57 39.63 60.12 100.00 644
- --------------------------------------------------------------------------------------------------------------------------
28 - 30 2 97,091.96 0.06 7.327 48,546 82.76 51.67 100.00 100.00 635
- --------------------------------------------------------------------------------------------------------------------------
31 - 33 5 618,548.29 0.38 9.668 123,710 76.91 31.25 80.64 42.89 707
- --------------------------------------------------------------------------------------------------------------------------
34 - 36 2 472,313.20 0.29 9.046 236,157 68.64 0.00 89.80 100.00 691
- --------------------------------------------------------------------------------------------------------------------------
37 - 39 3 179,601.87 0.11 11.292 59,867 81.70 100.00 100.00 100.00 685
- --------------------------------------------------------------------------------------------------------------------------
43 - 45 1 63,754.60 0.04 9.125 63,755 96.91 100.00 100.00 100.00 711
- --------------------------------------------------------------------------------------------------------------------------
52 - 54 1 127,549.18 0.08 6.500 127,549 73.42 0.00 100.00 100.00 820
- --------------------------------------------------------------------------------------------------------------------------
58 - 60 1 37,987.89 0.02 7.500 37,988 93.54 0.00 100.00 100.00 715
- --------------------------------------------------------------------------------------------------------------------------
61 - 63 1 231,505.86 0.14 8.250 231,506 78.73 100.00 100.00 100.00 635
- --------------------------------------------------------------------------------------------------------------------------
91 - 93 1 27,069.87 0.02 10.500 27,070 100.52 100.00 100.00 100.00 645
- --------------------------------------------------------------------------------------------------------------------------
103 - 105 1 53,064.28 0.03 9.500 53,064 101.00 100.00 100.00 100.00 507
- --------------------------------------------------------------------------------------------------------------------------
112 - 114 1 25,627.73 0.02 10.375 25,628 79.97 100.00 100.00 100.00 684
- --------------------------------------------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326 73.83 24.41 69.68 92.10 649
- --------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
Geographic MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Distribution LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
California-Southern 240 27,486,111.11 16.89 9.270 114,525
- -----------------------------------------------------------------------------------------
Texas 229 11,744,095.84 7.22 10.926 51,284
- -----------------------------------------------------------------------------------------
North Carolina 135 9,719,561.39 5.97 9.722 71,997
- -----------------------------------------------------------------------------------------
Alabama 149 8,761,414.28 5.38 10.148 58,801
- -----------------------------------------------------------------------------------------
Florida 114 8,246,425.05 5.07 9.863 72,337
- -----------------------------------------------------------------------------------------
Georgia 96 7,622,734.56 4.69 9.733 79,403
- -----------------------------------------------------------------------------------------
Utah 90 7,431,643.40 4.57 9.587 82,574
- -----------------------------------------------------------------------------------------
California-Northern 58 6,519,793.76 4.01 9.464 112,410
- -----------------------------------------------------------------------------------------
Michigan 89 5,842,994.18 3.59 9.565 65,652
- -----------------------------------------------------------------------------------------
Ohio 83 5,115,788.80 3.14 9.788 61,636
- -----------------------------------------------------------------------------------------
Virginia 56 4,513,643.87 2.77 9.462 80,601
- -----------------------------------------------------------------------------------------
Illinois 50 4,260,172.46 2.62 9.803 85,203
- -----------------------------------------------------------------------------------------
Washington 48 4,215,553.75 2.59 9.919 87,824
- -----------------------------------------------------------------------------------------
Indiana 76 4,211,615.58 2.59 10.038 55,416
- -----------------------------------------------------------------------------------------
Pennsylvania 53 3,806,085.87 2.34 9.614 71,813
- -----------------------------------------------------------------------------------------
Maryland 48 3,617,884.56 2.22 9.560 75,373
- -----------------------------------------------------------------------------------------
Colorado 43 3,578,183.04 2.20 9.488 83,214
- -----------------------------------------------------------------------------------------
Nevada 35 3,459,812.63 2.13 9.726 98,852
- -----------------------------------------------------------------------------------------
Oklahoma 55 2,924,342.47 1.80 9.783 53,170
- -----------------------------------------------------------------------------------------
Arizona 29 2,621,321.56 1.61 9.347 90,390
- -----------------------------------------------------------------------------------------
Missouri 38 2,379,177.98 1.46 9.674 62,610
- -----------------------------------------------------------------------------------------
Oregon 25 2,265,750.54 1.39 8.973 90,630
- -----------------------------------------------------------------------------------------
South Carolina 30 1,945,221.65 1.20 9.922 64,841
- -----------------------------------------------------------------------------------------
Tennessee 24 1,814,512.06 1.12 10.276 75,605
- -----------------------------------------------------------------------------------------
Kansas 25 1,740,468.57 1.07 9.170 69,619
- -----------------------------------------------------------------------------------------
New York 13 1,716,830.46 1.06 10.975 132,064
- -----------------------------------------------------------------------------------------
Massachusetts 14 1,663,911.69 1.02 9.812 118,851
- -----------------------------------------------------------------------------------------
Minnesota 17 1,299,206.03 0.80 9.590 76,424
- -----------------------------------------------------------------------------------------
Hawaii 11 1,287,598.36 0.79 9.793 117,054
- -----------------------------------------------------------------------------------------
Louisiana 26 1,286,468.77 0.79 10.003 49,480
- -----------------------------------------------------------------------------------------
New Mexico 19 1,105,337.08 0.68 9.703 58,176
- -----------------------------------------------------------------------------------------
Iowa 18 966,679.86 0.59 9.563 53,704
- -----------------------------------------------------------------------------------------
Kentucky 15 966,613.99 0.59 10.211 64,441
- -----------------------------------------------------------------------------------------
Wisconsin 12 790,429.59 0.49 10.116 65,869
- -----------------------------------------------------------------------------------------
Connecticut 9 751,579.16 0.46 9.996 83,509
- -----------------------------------------------------------------------------------------
Arkansas 15 730,334.15 0.45 9.172 48,689
- -----------------------------------------------------------------------------------------
New Jersey 6 681,822.71 0.42 10.498 113,637
- -----------------------------------------------------------------------------------------
Montana 10 665,198.50 0.41 10.750 66,520
- -----------------------------------------------------------------------------------------
Nebraska 14 618,937.02 0.38 9.841 44,210
- -----------------------------------------------------------------------------------------
Mississippi 13 596,849.77 0.37 9.498 45,912
- -----------------------------------------------------------------------------------------
South Dakota 6 428,246.35 0.26 10.936 71,374
- -----------------------------------------------------------------------------------------
Idaho 8 352,041.70 0.22 9.633 44,005
- -----------------------------------------------------------------------------------------
Maine 5 282,694.51 0.17 10.189 56,539
- -----------------------------------------------------------------------------------------
New Hampshire 3 247,639.73 0.15 8.910 82,547
- -----------------------------------------------------------------------------------------
District of Columbia 3 160,846.15 0.10 9.754 53,615
- -----------------------------------------------------------------------------------------
Wyoming 3 154,527.56 0.09 10.379 51,509
- -----------------------------------------------------------------------------------------
Rhode Island 1 87,159.45 0.05 10.502 87,159
- -----------------------------------------------------------------------------------------
West Virginia 1 19,493.71 0.01 11.375 19,494
- -----------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
Geographic ORIGINAL % FULL OWNER FICO
Distribution LTV PURCHASE DOC OCCUPIED SCORE
- ----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
California-Southern 75.19 37.29 63.95 81.98 675
- ----------------------------------------------------------------------------------
Texas 66.57 3.93 93.71 98.89 582
- ----------------------------------------------------------------------------------
North Carolina 76.73 32.28 56.05 95.44 660
- ----------------------------------------------------------------------------------
Alabama 71.17 11.85 61.78 92.71 634
- ----------------------------------------------------------------------------------
Florida 75.59 40.14 63.73 92.90 655
- ----------------------------------------------------------------------------------
Georgia 75.39 36.04 68.29 90.40 651
- ----------------------------------------------------------------------------------
Utah 70.06 20.55 86.34 93.95 633
- ----------------------------------------------------------------------------------
California-Northern 77.12 29.39 58.63 93.43 677
- ----------------------------------------------------------------------------------
Michigan 72.54 6.41 79.17 100.00 649
- ----------------------------------------------------------------------------------
Ohio 75.02 19.70 74.38 96.18 645
- ----------------------------------------------------------------------------------
Virginia 73.10 17.97 63.60 94.21 670
- ----------------------------------------------------------------------------------
Illinois 73.77 42.53 62.92 96.05 644
- ----------------------------------------------------------------------------------
Washington 75.67 18.34 79.65 93.70 631
- ----------------------------------------------------------------------------------
Indiana 73.76 11.36 78.03 89.63 638
- ----------------------------------------------------------------------------------
Pennsylvania 70.56 5.31 86.37 97.27 646
- ----------------------------------------------------------------------------------
Maryland 69.36 19.67 73.90 87.87 656
- ----------------------------------------------------------------------------------
Colorado 75.99 19.85 67.30 98.01 657
- ----------------------------------------------------------------------------------
Nevada 79.45 51.52 52.87 94.65 668
- ----------------------------------------------------------------------------------
Oklahoma 77.93 3.35 85.91 100.00 654
- ----------------------------------------------------------------------------------
Arizona 71.60 22.81 47.99 97.90 648
- ----------------------------------------------------------------------------------
Missouri 79.22 19.53 83.97 91.61 659
- ----------------------------------------------------------------------------------
Oregon 75.98 9.04 90.96 96.26 645
- ----------------------------------------------------------------------------------
South Carolina 75.05 21.51 62.67 98.44 646
- ----------------------------------------------------------------------------------
Tennessee 78.80 39.67 83.06 68.37 644
- ----------------------------------------------------------------------------------
Kansas 76.22 8.04 78.06 96.24 645
- ----------------------------------------------------------------------------------
New York 74.53 59.19 26.08 100.00 638
- ----------------------------------------------------------------------------------
Massachusetts 76.57 63.69 55.21 77.61 665
- ----------------------------------------------------------------------------------
Minnesota 75.31 11.77 83.78 100.00 653
- ----------------------------------------------------------------------------------
Hawaii 76.29 18.72 1.96 76.09 691
- ----------------------------------------------------------------------------------
Louisiana 75.31 14.63 92.90 93.71 622
- ----------------------------------------------------------------------------------
New Mexico 66.73 0.00 70.46 97.75 640
- ----------------------------------------------------------------------------------
Iowa 75.63 38.94 64.81 85.13 654
- ----------------------------------------------------------------------------------
Kentucky 76.01 22.75 75.06 100.00 627
- ----------------------------------------------------------------------------------
Wisconsin 76.02 14.46 85.54 100.00 639
- ----------------------------------------------------------------------------------
Connecticut 71.53 20.66 77.45 77.45 672
- ----------------------------------------------------------------------------------
Arkansas 65.25 0.00 86.56 100.00 639
- ----------------------------------------------------------------------------------
New Jersey 67.54 33.81 12.14 66.41 659
- ----------------------------------------------------------------------------------
Montana 72.11 0.00 72.10 100.00 621
- ----------------------------------------------------------------------------------
Nebraska 66.67 7.11 76.85 94.78 618
- ----------------------------------------------------------------------------------
Mississippi 73.27 0.00 100.00 100.00 631
- ----------------------------------------------------------------------------------
South Dakota 74.21 0.00 58.06 100.00 604
- ----------------------------------------------------------------------------------
Idaho 64.12 0.00 63.44 100.00 692
- ----------------------------------------------------------------------------------
Maine 64.97 0.00 100.00 100.00 584
- ----------------------------------------------------------------------------------
New Hampshire 63.31 45.40 54.60 100.00 689
- ----------------------------------------------------------------------------------
District of Columbia 66.86 0.00 75.16 100.00 635
- ----------------------------------------------------------------------------------
Wyoming 67.86 0.00 100.00 100.00 649
- ----------------------------------------------------------------------------------
Rhode Island 90.00 100.00 0.00 100.00 720
- ----------------------------------------------------------------------------------
West Virginia 52.63 100.00 0.00 100.00 593
- ----------------------------------------------------------------------------------
TOTAL: 73.83 24.41 69.68 92.10 649
- ----------------------------------------------------------------------------------
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Property Type LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Single Family Detached 1,943 141,587,436.23 87.02 9.762 72,871
- -----------------------------------------------------------------------------------------
PUD 70 7,957,271.09 4.89 9.675 113,675
- -----------------------------------------------------------------------------------------
2-4 Family 73 7,790,292.60 4.79 9.842 106,716
- -----------------------------------------------------------------------------------------
Condo - Low Rise 74 5,369,755.34 3.30 9.588 72,564
- -----------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
ORIGINAL % FULL OWNER FICO
Property Type LTV PURCHASE DOC OCCUPIED SCORE
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Single Family Detached 73.14 20.89 72.68 94.62 645
- -----------------------------------------------------------------------------------
PUD 78.33 41.93 45.73 95.30 664
- -----------------------------------------------------------------------------------
2-4 Family 79.52 55.61 42.01 48.68 696
- -----------------------------------------------------------------------------------
Condo - Low Rise 77.02 45.84 66.34 83.71 670
- -----------------------------------------------------------------------------------
TOTAL: 73.83 24.41 69.68 92.10 649
- -----------------------------------------------------------------------------------
<CAPTION>
- -----------------------------------------------------------------------------------------
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Occupancy LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Primary 1,978 149,846,090.31 92.10 9.754 75,756
- -----------------------------------------------------------------------------------------
Investment 182 12,858,664.95 7.90 9.777 70,652
- -----------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
ORIGINAL % FULL OWNER FICO
Occupancy LTV PURCHASE DOC OCCUPIED SCORE
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Primary 73.77 23.27 70.85 100.00 646
- -----------------------------------------------------------------------------------
Investment 74.48 37.71 56.11 0.00 688
- -----------------------------------------------------------------------------------
TOTAL: 73.83 24.41 69.68 92.10 649
- -----------------------------------------------------------------------------------
<CAPTION>
- -----------------------------------------------------------------------------------
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Purpose LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Refinance - Cashout 1,659 112,428,763.79 69.10 9.755 67,769
- -----------------------------------------------------------------------------------------
Purchase 399 39,712,726.50 24.41 9.836 99,531
- -----------------------------------------------------------------------------------------
Refinance - Rate Term 102 10,563,264.97 6.49 9.471 103,561
- -----------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
ORIGINAL % FULL OWNER FICO
Purpose LTV PURCHASE DOC OCCUPIED SCORE
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Refinance - Cashout 70.26 0.00 80.30 94.45 636
- -----------------------------------------------------------------------------------
Purchase 83.29 100.00 41.50 87.79 682
- -----------------------------------------------------------------------------------
Refinance - Rate Term 76.24 0.00 62.67 83.28 671
- -----------------------------------------------------------------------------------
TOTAL: 73.83 24.41 69.68 92.10 649
- -----------------------------------------------------------------------------------
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Documentation Level LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Full Doc -Asset and Income 1,617 113,378,537.38 69.68 9.667 70,117
- -----------------------------------------------------------------------------------------
No Documentation 289 29,113,683.67 17.89 10.000 100,739
- -----------------------------------------------------------------------------------------
No Income Verification 254 20,212,534.21 12.42 9.906 79,577
- -----------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
ORIGINAL % FULL OWNER FICO
Documentation Level LTV PURCHASE DOC OCCUPIED SCORE
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Full Doc -Asset and Income 73.84 14.54 100.00 93.64 637
- -----------------------------------------------------------------------------------
No Documentation 77.43 57.33 0.00 89.65 684
- -----------------------------------------------------------------------------------
No Income Verification 68.58 32.36 0.00 86.99 668
- -----------------------------------------------------------------------------------
TOTAL: 73.83 24.41 69.68 92.10 649
- -----------------------------------------------------------------------------------
<CAPTION>
- -----------------------------------------------------------------------------------------
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
FICO MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Score LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Not Available 19 1,061,078.06 0.65 10.329 55,846
- -----------------------------------------------------------------------------------------
426 - 450 2 87,987.27 0.05 11.037 43,994
- -----------------------------------------------------------------------------------------
451 - 475 8 381,727.39 0.23 12.011 47,716
- -----------------------------------------------------------------------------------------
476 - 500 33 1,737,803.34 1.07 11.554 52,661
- -----------------------------------------------------------------------------------------
501 - 525 68 4,218,104.57 2.59 11.263 62,031
- -----------------------------------------------------------------------------------------
526 - 550 142 8,299,196.17 5.10 11.081 58,445
- -----------------------------------------------------------------------------------------
551 - 575 151 10,095,216.46 6.20 10.526 66,856
- -----------------------------------------------------------------------------------------
576 - 600 182 12,131,378.25 7.46 10.355 66,656
- -----------------------------------------------------------------------------------------
601 - 625 235 16,248,026.79 9.99 9.786 69,141
- -----------------------------------------------------------------------------------------
626 - 650 288 22,584,350.91 13.88 9.691 78,418
- -----------------------------------------------------------------------------------------
651 - 675 311 25,377,881.15 15.60 9.281 81,601
- -----------------------------------------------------------------------------------------
676 - 700 295 25,963,690.86 15.96 9.443 88,013
- -----------------------------------------------------------------------------------------
701 - 725 189 14,936,076.84 9.18 9.378 79,027
- -----------------------------------------------------------------------------------------
726 - 750 135 11,781,534.32 7.24 9.245 87,271
- -----------------------------------------------------------------------------------------
751 - 775 74 5,751,170.97 3.53 9.195 77,719
- -----------------------------------------------------------------------------------------
776 - 800 22 1,534,896.65 0.94 9.528 69,768
- -----------------------------------------------------------------------------------------
801 - 825 6 514,635.26 0.32 8.443 85,773
- -----------------------------------------------------------------------------------------
TOTAL: 2,160 162,704,755.26 100.00 9.756 75,326
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
FICO ORIGINAL % FULL OWNER FICO
Score LTV PURCHASE DOC OCCUPIED SCORE
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Not Available 64.62 23.08 74.23 96.28 0
- -----------------------------------------------------------------------------------
426 - 450 55.50 0.00 100.00 100.00 441
- -----------------------------------------------------------------------------------
451 - 475 64.08 0.00 91.36 100.00 469
- -----------------------------------------------------------------------------------
476 - 500 68.93 4.23 100.00 98.02 491
- -----------------------------------------------------------------------------------
501 - 525 67.96 8.36 85.29 98.73 514
- -----------------------------------------------------------------------------------
526 - 550 67.48 7.07 88.04 97.03 539
- -----------------------------------------------------------------------------------
551 - 575 69.45 16.42 85.03 97.98 564
- -----------------------------------------------------------------------------------
576 - 600 71.08 8.60 84.78 95.42 587
- -----------------------------------------------------------------------------------
601 - 625 72.89 11.91 85.69 96.12 613
- -----------------------------------------------------------------------------------
626 - 650 73.35 16.27 79.11 93.01 639
- -----------------------------------------------------------------------------------
651 - 675 75.63 22.73 67.01 94.37 664
- -----------------------------------------------------------------------------------
676 - 700 77.40 35.34 53.65 87.71 687
- -----------------------------------------------------------------------------------
701 - 725 75.63 44.99 49.54 91.50 711
- -----------------------------------------------------------------------------------
726 - 750 75.59 41.31 48.10 83.54 738
- -----------------------------------------------------------------------------------
751 - 775 77.25 49.49 59.28 83.32 760
- -----------------------------------------------------------------------------------
776 - 800 73.69 38.94 73.92 70.56 785
- -----------------------------------------------------------------------------------
801 - 825 72.62 32.55 60.01 46.41 814
- -----------------------------------------------------------------------------------
TOTAL: 73.83 24.41 69.68 92.10 649
- -----------------------------------------------------------------------------------
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
Life Bank 1998-1 Collateral Detail
----------------------------------
ADJUSTABLE RATE GROUP II
<TABLE>
<CAPTION>
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Current Mortgage Rates (%) LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
6.501 - 6.750 1 122,618.48 0.11 6.750 122,618
- -----------------------------------------------------------------------------------------
6.751 - 7.000 1 87,753.19 0.08 6.890 87,753
- -----------------------------------------------------------------------------------------
7.001 - 7.250 8 1,469,396.58 1.28 7.227 183,675
- -----------------------------------------------------------------------------------------
7.251 - 7.500 7 1,255,000.41 1.10 7.478 179,286
- -----------------------------------------------------------------------------------------
7.501 - 7.750 29 4,245,776.10 3.71 7.717 146,406
- -----------------------------------------------------------------------------------------
7.751 - 8.000 47 6,149,000.99 5.37 7.908 130,830
- -----------------------------------------------------------------------------------------
8.001 - 8.250 34 5,642,008.60 4.93 8.166 165,941
- -----------------------------------------------------------------------------------------
8.251 - 8.500 67 8,963,918.26 7.83 8.420 133,790
- -----------------------------------------------------------------------------------------
8.501 - 8.750 85 13,223,558.67 11.55 8.675 155,571
- -----------------------------------------------------------------------------------------
8.751 - 9.000 93 14,294,655.67 12.48 8.913 153,706
- -----------------------------------------------------------------------------------------
9.001 - 9.250 75 8,597,340.07 7.51 9.172 114,631
- -----------------------------------------------------------------------------------------
9.251 - 9.500 79 11,499,256.57 10.04 9.439 145,560
- -----------------------------------------------------------------------------------------
9.501 - 9.750 77 9,087,467.48 7.94 9.655 118,019
- -----------------------------------------------------------------------------------------
9.751 - 10.000 87 10,330,312.34 9.02 9.923 118,739
- -----------------------------------------------------------------------------------------
10.001 - 10.250 31 3,747,304.81 3.27 10.148 120,881
- -----------------------------------------------------------------------------------------
10.251 - 10.500 33 3,076,718.98 2.69 10.399 93,234
- -----------------------------------------------------------------------------------------
10.501 - 10.750 26 2,284,183.31 1.99 10.701 87,853
- -----------------------------------------------------------------------------------------
10.751 - 11.000 27 2,621,423.31 2.29 10.921 97,090
- -----------------------------------------------------------------------------------------
11.001 - 11.250 10 913,039.90 0.80 11.216 91,304
- -----------------------------------------------------------------------------------------
11.251 - 11.500 17 1,360,388.74 1.19 11.467 80,023
- -----------------------------------------------------------------------------------------
11.501 - 11.750 17 1,484,882.87 1.30 11.704 87,346
- -----------------------------------------------------------------------------------------
11.751 - 12.000 7 795,885.01 0.70 11.928 113,698
- -----------------------------------------------------------------------------------------
12.001 - 12.250 8 652,812.89 0.57 12.214 81,602
- -----------------------------------------------------------------------------------------
12.251 - 12.500 9 695,088.49 0.61 12.481 77,232
- -----------------------------------------------------------------------------------------
12.501 - 12.750 8 449,840.03 0.39 12.677 56,230
- -----------------------------------------------------------------------------------------
12.751 - 13.000 6 408,957.70 0.36 12.943 68,160
- -----------------------------------------------------------------------------------------
13.001 - 13.250 2 69,830.90 0.06 13.164 34,915
- -----------------------------------------------------------------------------------------
13.251 - 13.500 5 238,643.29 0.21 13.472 47,729
- -----------------------------------------------------------------------------------------
13.501 - 13.750 5 320,554.56 0.28 13.649 64,111
- -----------------------------------------------------------------------------------------
13.751 - 14.000 3 121,799.56 0.11 13.996 40,600
- -----------------------------------------------------------------------------------------
14.001 - 14.250 1 17,564.47 0.02 14.125 17,564
- -----------------------------------------------------------------------------------------
14.251 - 14.500 1 75,000.00 0.07 14.425 75,000
- -----------------------------------------------------------------------------------------
14.501 - 14.750 1 93,555.21 0.08 14.625 93,555
- -----------------------------------------------------------------------------------------
14.751 - 15.000 1 114,680.03 0.10 15.000 114,680
- -----------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
ORIGINAL % FULL OWNER FICO
Current Mortgage Rates (%) LTV PURCHASE DOC OCCUPIED SCORE
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
6.501 - 6.750 80.00 0.00 100.00 100.00 574
- -----------------------------------------------------------------------------------
6.751 - 7.000 80.00 100.00 100.00 100.00 645
- -----------------------------------------------------------------------------------
7.001 - 7.250 78.30 35.32 64.36 100.00 658
- -----------------------------------------------------------------------------------
7.251 - 7.500 68.54 30.70 25.43 100.00 667
- -----------------------------------------------------------------------------------
7.501 - 7.750 80.00 49.68 52.73 96.21 685
- -----------------------------------------------------------------------------------
7.751 - 8.000 79.21 60.57 51.74 97.05 656
- -----------------------------------------------------------------------------------
8.001 - 8.250 83.27 65.06 54.28 92.21 686
- -----------------------------------------------------------------------------------
8.251 - 8.500 78.83 45.58 60.34 93.40 678
- -----------------------------------------------------------------------------------
8.501 - 8.750 78.76 43.74 70.89 88.89 686
- -----------------------------------------------------------------------------------
8.751 - 9.000 79.61 47.88 44.30 94.86 673
- -----------------------------------------------------------------------------------
9.001 - 9.250 78.92 54.08 55.24 93.02 669
- -----------------------------------------------------------------------------------
9.251 - 9.500 81.51 62.56 47.14 95.45 662
- -----------------------------------------------------------------------------------
9.501 - 9.750 79.31 50.85 57.28 91.68 672
- -----------------------------------------------------------------------------------
9.751 - 10.000 81.43 57.48 58.37 92.97 638
- -----------------------------------------------------------------------------------
10.001 - 10.250 76.63 49.78 40.17 95.93 629
- -----------------------------------------------------------------------------------
10.251 - 10.500 78.65 63.19 52.18 84.48 648
- -----------------------------------------------------------------------------------
10.501 - 10.750 83.16 59.20 72.20 93.32 654
- -----------------------------------------------------------------------------------
10.751 - 11.000 74.91 33.24 65.60 96.16 611
- -----------------------------------------------------------------------------------
11.001 - 11.250 81.73 37.12 81.82 100.00 601
- -----------------------------------------------------------------------------------
11.251 - 11.500 69.66 26.28 46.45 93.01 563
- -----------------------------------------------------------------------------------
11.501 - 11.750 70.09 39.54 44.39 87.88 600
- -----------------------------------------------------------------------------------
11.751 - 12.000 68.50 29.78 32.10 84.94 597
- -----------------------------------------------------------------------------------
12.001 - 12.250 56.24 0.00 51.75 100.00 574
- -----------------------------------------------------------------------------------
12.251 - 12.500 62.71 0.00 44.52 100.00 537
- -----------------------------------------------------------------------------------
12.501 - 12.750 69.92 0.00 68.30 100.00 550
- -----------------------------------------------------------------------------------
12.751 - 13.000 67.06 16.21 83.79 100.00 545
- -----------------------------------------------------------------------------------
13.001 - 13.250 42.00 0.00 57.24 42.76 550
- -----------------------------------------------------------------------------------
13.251 - 13.500 67.88 0.00 100.00 100.00 509
- -----------------------------------------------------------------------------------
13.501 - 13.750 57.70 9.59 13.19 100.00 536
- -----------------------------------------------------------------------------------
13.751 - 14.000 65.00 0.00 100.00 100.00 540
- -----------------------------------------------------------------------------------
14.001 - 14.250 15.73 0.00 100.00 100.00 518
- -----------------------------------------------------------------------------------
14.251 - 14.500 55.56 0.00 0.00 100.00 535
- -----------------------------------------------------------------------------------
14.501 - 14.750 60.00 0.00 0.00 100.00 583
- -----------------------------------------------------------------------------------
14.751 - 15.000 57.50 0.00 0.00 100.00 536
- -----------------------------------------------------------------------------------
TOTAL: 78.80 50.01 55.03 93.45 659
- -----------------------------------------------------------------------------------
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
Current Mortgage Loan Mortgage PRINCIPAL PRINCIPAL AVERAGE CURRENT
Principal Balance ($) Loans BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
10,000.01 - 20,000.00 3 46,440.67 0.04 12.214 15,480
- -----------------------------------------------------------------------------------------
20,000.01 - 30,000.00 14 385,053.06 0.34 10.732 27,504
- -----------------------------------------------------------------------------------------
30,000.01 - 40,000.00 36 1,274,540.41 1.11 10.847 35,404
- -----------------------------------------------------------------------------------------
40,000.01 - 50,000.00 64 2,937,171.18 2.56 10.074 45,893
- -----------------------------------------------------------------------------------------
50,000.01 - 60,000.00 66 3,633,366.39 3.17 9.897 55,051
- -----------------------------------------------------------------------------------------
60,000.01 - 70,000.00 71 4,640,986.70 4.05 9.540 65,366
- -----------------------------------------------------------------------------------------
70,000.01 - 80,000.00 65 4,880,018.42 4.26 9.689 75,077
- -----------------------------------------------------------------------------------------
80,000.01 - 90,000.00 50 4,253,651.04 3.71 9.721 85,073
- -----------------------------------------------------------------------------------------
90,000.01 - 100,000.00 67 6,349,555.26 5.54 9.378 94,769
- -----------------------------------------------------------------------------------------
100,000.01 - 110,000.00 65 6,838,428.83 5.97 9.336 105,207
- -----------------------------------------------------------------------------------------
110,000.01 - 120,000.00 49 5,614,712.01 4.90 9.546 114,586
- -----------------------------------------------------------------------------------------
120,000.01 - 130,000.00 47 5,866,384.44 5.12 9.169 124,817
- -----------------------------------------------------------------------------------------
130,000.01 - 140,000.00 36 4,862,546.46 4.25 9.384 135,071
- -----------------------------------------------------------------------------------------
140,000.01 - 150,000.00 29 4,243,267.50 3.71 9.345 146,320
- -----------------------------------------------------------------------------------------
150,000.01 - 175,000.00 58 9,416,112.81 8.22 9.180 162,347
- -----------------------------------------------------------------------------------------
175,000.01 - 200,000.00 60 11,211,918.18 9.79 8.970 186,865
- -----------------------------------------------------------------------------------------
200,000.01 - 225,000.00 37 7,857,043.00 6.86 9.177 212,353
- -----------------------------------------------------------------------------------------
225,000.01 - 250,000.00 22 5,219,629.75 4.56 9.610 237,256
- -----------------------------------------------------------------------------------------
250,000.01 - 275,000.00 18 4,757,971.41 4.16 8.618 264,332
- -----------------------------------------------------------------------------------------
275,000.01 - 300,000.00 15 4,367,691.72 3.81 9.158 291,179
- -----------------------------------------------------------------------------------------
300,000.01 - 400,000.00 19 6,385,537.35 5.58 8.818 336,081
- -----------------------------------------------------------------------------------------
400,000.01 - 500,000.00 9 3,960,492.80 3.46 8.331 440,055
- -----------------------------------------------------------------------------------------
500,000.01 - 600,000.00 3 1,663,873.19 1.45 8.699 554,624
- -----------------------------------------------------------------------------------------
600,000.01 - 700,000.00 2 1,357,278.09 1.19 8.496 678,639
- -----------------------------------------------------------------------------------------
700,000.01 - 800,000.00 1 750,000.00 0.65 9.000 750,000
- -----------------------------------------------------------------------------------------
800,000.01 - 900,000.00 1 830,791.97 0.73 9.875 830,792
- -----------------------------------------------------------------------------------------
900,000.01 - 1,000,000.00 1 905,754.83 0.79 9.550 905,755
- -----------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
Current Mortgage Loan ORIGINAL % FULL OWNER FICO
Principal Balance ($) LTV PURCHASE DOC OCCUPIED SCORE
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
10,000.01 - 20,000.00 23.94 0.00 100.00 100.00 617
- -----------------------------------------------------------------------------------
20,000.01 - 30,000.00 57.47 19.88 55.81 86.35 568
- -----------------------------------------------------------------------------------
30,000.01 - 40,000.00 70.61 49.08 79.06 72.68 598
- -----------------------------------------------------------------------------------
40,000.01 - 50,000.00 72.47 32.47 79.38 79.82 626
- -----------------------------------------------------------------------------------
50,000.01 - 60,000.00 73.52 32.35 77.38 91.03 636
- -----------------------------------------------------------------------------------
60,000.01 - 70,000.00 75.42 41.19 75.96 87.04 632
- -----------------------------------------------------------------------------------
70,000.01 - 80,000.00 77.50 42.94 65.93 92.27 642
- -----------------------------------------------------------------------------------
80,000.01 - 90,000.00 78.59 43.38 63.58 90.03 616
- -----------------------------------------------------------------------------------
90,000.01 - 100,000.00 80.78 56.82 62.59 89.47 646
- -----------------------------------------------------------------------------------
100,000.01 - 110,000.00 80.78 49.14 72.15 92.32 635
- -----------------------------------------------------------------------------------
110,000.01 - 120,000.00 80.60 52.77 63.28 91.53 662
- -----------------------------------------------------------------------------------
120,000.01 - 130,000.00 78.85 46.65 68.03 95.68 643
- -----------------------------------------------------------------------------------
130,000.01 - 140,000.00 83.52 64.04 58.21 91.72 678
- -----------------------------------------------------------------------------------
140,000.01 - 150,000.00 79.04 65.54 65.48 89.76 671
- -----------------------------------------------------------------------------------
150,000.01 - 175,000.00 81.13 59.88 44.88 100.00 662
- -----------------------------------------------------------------------------------
175,000.01 - 200,000.00 82.40 61.66 45.20 86.15 665
- -----------------------------------------------------------------------------------
200,000.01 - 225,000.00 83.91 64.71 32.48 97.22 682
- -----------------------------------------------------------------------------------
225,000.01 - 250,000.00 76.51 59.61 41.03 95.26 688
- -----------------------------------------------------------------------------------
250,000.01 - 275,000.00 78.90 50.26 38.49 100.00 706
- -----------------------------------------------------------------------------------
275,000.01 - 300,000.00 81.16 66.33 27.26 100.00 678
- -----------------------------------------------------------------------------------
300,000.01 - 400,000.00 79.79 62.36 36.47 100.00 678
- -----------------------------------------------------------------------------------
400,000.01 - 500,000.00 73.01 0.00 42.72 100.00 626
- -----------------------------------------------------------------------------------
500,000.01 - 600,000.00 72.75 0.00 100.00 100.00 630
- -----------------------------------------------------------------------------------
600,000.01 - 700,000.00 64.67 0.00 48.63 100.00 784
- -----------------------------------------------------------------------------------
700,000.01 - 800,000.00 62.50 0.00 0.00 100.00 649
- -----------------------------------------------------------------------------------
800,000.01 - 900,000.00 70.00 0.00 100.00 100.00 639
- -----------------------------------------------------------------------------------
900,000.01 - 1,000,000.00 62.41 0.00 100.00 100.00 750
- -----------------------------------------------------------------------------------
TOTAL: 78.80 50.01 55.03 93.45 659
- -----------------------------------------------------------------------------------
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
Original MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Loan-to-Value Ratio (%) LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
15.001 - 20.000 1 17,564.47 0.02 14.125 17,564
- -----------------------------------------------------------------------------------------
20.001 - 25.000 2 59,733.37 0.05 11.520 29,867
- -----------------------------------------------------------------------------------------
25.001 - 30.000 6 213,643.70 0.19 9.279 35,607
- -----------------------------------------------------------------------------------------
30.001 - 35.000 3 140,549.96 0.12 8.712 46,850
- -----------------------------------------------------------------------------------------
35.001 - 40.000 5 347,654.34 0.30 10.624 69,531
- -----------------------------------------------------------------------------------------
40.001 - 45.000 3 279,922.24 0.24 11.192 93,307
- -----------------------------------------------------------------------------------------
45.001 - 50.000 15 1,239,174.99 1.08 10.866 82,612
- -----------------------------------------------------------------------------------------
50.001 - 55.000 13 1,860,508.03 1.62 9.351 143,116
- -----------------------------------------------------------------------------------------
55.001 - 60.000 23 2,352,193.14 2.05 10.795 102,269
- -----------------------------------------------------------------------------------------
60.001 - 65.000 54 5,717,577.03 4.99 10.288 105,881
- -----------------------------------------------------------------------------------------
65.001 - 70.000 78 10,795,917.66 9.43 9.414 138,409
- -----------------------------------------------------------------------------------------
70.001 - 75.000 118 17,129,811.71 14.96 9.082 145,168
- -----------------------------------------------------------------------------------------
75.001 - 80.000 260 31,093,203.30 27.15 8.978 119,589
- -----------------------------------------------------------------------------------------
80.001 - 85.000 92 10,480,876.43 9.15 9.275 113,923
- -----------------------------------------------------------------------------------------
85.001 - 90.000 217 30,343,220.93 26.50 9.210 139,831
- -----------------------------------------------------------------------------------------
90.001 - 95.000 17 2,303,889.83 2.01 9.520 135,523
- -----------------------------------------------------------------------------------------
95.001 - 100.000 1 134,776.34 0.12 9.000 134,776
- -----------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
Original ORIGINAL % FULL OWNER FICO
Loan-to-Value Ratio (%) LTV PURCHASE DOC OCCUPIED SCORE
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
15.001 - 20.000 15.73 0.00 100.00 100.00 518
- -----------------------------------------------------------------------------------
20.001 - 25.000 21.76 0.00 0.00 100.00 574
- -----------------------------------------------------------------------------------
25.001 - 30.000 28.59 42.04 76.67 100.00 658
- -----------------------------------------------------------------------------------
30.001 - 35.000 31.74 0.00 100.00 100.00 584
- -----------------------------------------------------------------------------------
35.001 - 40.000 38.02 0.00 65.51 65.51 607
- -----------------------------------------------------------------------------------
40.001 - 45.000 42.27 0.00 31.96 100.00 619
- -----------------------------------------------------------------------------------
45.001 - 50.000 47.96 17.89 36.23 88.00 600
- -----------------------------------------------------------------------------------
50.001 - 55.000 53.71 25.19 26.33 94.46 732
- -----------------------------------------------------------------------------------
55.001 - 60.000 57.83 6.54 17.98 93.72 595
- -----------------------------------------------------------------------------------
60.001 - 65.000 63.73 20.08 43.75 97.07 620
- -----------------------------------------------------------------------------------
65.001 - 70.000 68.77 28.07 41.66 84.85 636
- -----------------------------------------------------------------------------------
70.001 - 75.000 74.01 32.09 54.33 90.63 658
- -----------------------------------------------------------------------------------
75.001 - 80.000 79.71 51.92 68.10 95.18 661
- -----------------------------------------------------------------------------------
80.001 - 85.000 84.45 42.19 81.21 89.31 631
- -----------------------------------------------------------------------------------
85.001 - 90.000 89.70 77.94 42.29 96.85 687
- -----------------------------------------------------------------------------------
90.001 - 95.000 94.52 100.00 88.94 100.00 691
- -----------------------------------------------------------------------------------
95.001 - 100.000 95.03 100.00 100.00 100.00 654
- -----------------------------------------------------------------------------------
TOTAL: 78.80 50.01 55.03 93.45 659
- -----------------------------------------------------------------------------------
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Margin (%) LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
0.501 - 1.000 1 93,478.02 0.08 10.125 93,478
- -----------------------------------------------------------------------------------------
2.001 - 2.500 1 69,551.16 0.06 7.750 69,551
- -----------------------------------------------------------------------------------------
2.501 - 3.000 9 753,998.31 0.66 8.178 83,778
- -----------------------------------------------------------------------------------------
3.001 - 3.500 30 4,161,429.97 3.63 8.387 138,714
- -----------------------------------------------------------------------------------------
3.501 - 4.000 64 7,368,256.94 6.43 8.234 115,129
- -----------------------------------------------------------------------------------------
4.001 - 4.500 73 10,814,002.16 9.44 8.681 148,137
- -----------------------------------------------------------------------------------------
4.501 - 5.000 93 14,393,074.87 12.57 8.927 154,764
- -----------------------------------------------------------------------------------------
5.001 - 5.500 141 19,060,626.52 16.65 9.186 135,182
- -----------------------------------------------------------------------------------------
5.501 - 6.000 147 19,072,271.71 16.66 9.449 129,743
- -----------------------------------------------------------------------------------------
6.001 - 6.500 134 16,273,395.54 14.21 9.422 121,443
- -----------------------------------------------------------------------------------------
6.501 - 7.000 86 10,028,143.90 8.76 9.625 116,606
- -----------------------------------------------------------------------------------------
7.001 - 7.500 68 7,247,189.17 6.33 10.183 106,576
- -----------------------------------------------------------------------------------------
7.501 - 8.000 33 2,802,981.34 2.45 10.516 84,939
- -----------------------------------------------------------------------------------------
8.001 - 8.500 12 1,006,413.44 0.88 11.521 83,868
- -----------------------------------------------------------------------------------------
8.501 - 9.000 7 554,881.66 0.48 11.522 79,269
- -----------------------------------------------------------------------------------------
9.001 - 9.500 4 406,159.55 0.35 11.682 101,540
- -----------------------------------------------------------------------------------------
9.501 - 10.000 3 196,127.97 0.17 12.108 65,376
- -----------------------------------------------------------------------------------------
10.001 - 10.500 1 114,680.03 0.10 15.000 114,680
- -----------------------------------------------------------------------------------------
11.001 - 11.500 1 93,555.21 0.08 14.625 93,555
- -----------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
ORIGINAL % FULL OWNER FICO
Margin (%) LTV PURCHASE DOC OCCUPIED SCORE
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
0.501 - 1.000 90.00 0.00 100.00 100.00 555
- -----------------------------------------------------------------------------------
2.001 - 2.500 90.00 100.00 100.00 0.00 686
- -----------------------------------------------------------------------------------
2.501 - 3.000 79.29 38.38 82.86 51.56 737
- -----------------------------------------------------------------------------------
3.001 - 3.500 74.37 36.79 87.13 65.85 696
- -----------------------------------------------------------------------------------
3.501 - 4.000 79.65 40.97 56.45 98.66 680
- -----------------------------------------------------------------------------------
4.001 - 4.500 83.22 75.35 31.20 94.72 694
- -----------------------------------------------------------------------------------
4.501 - 5.000 80.73 55.39 61.49 96.28 673
- -----------------------------------------------------------------------------------
5.001 - 5.500 76.38 45.94 53.46 97.72 666
- -----------------------------------------------------------------------------------
5.501 - 6.000 79.43 43.71 60.43 95.70 651
- -----------------------------------------------------------------------------------
6.001 - 6.500 80.11 51.17 53.50 93.90 650
- -----------------------------------------------------------------------------------
6.501 - 7.000 78.02 50.01 60.30 88.13 624
- -----------------------------------------------------------------------------------
7.001 - 7.500 75.95 47.50 40.90 93.11 635
- -----------------------------------------------------------------------------------
7.501 - 8.000 76.53 44.86 58.39 86.91 632
- -----------------------------------------------------------------------------------
8.001 - 8.500 76.91 68.33 76.45 91.39 621
- -----------------------------------------------------------------------------------
8.501 - 9.000 70.75 56.65 58.76 100.00 605
- -----------------------------------------------------------------------------------
9.001 - 9.500 68.22 11.92 0.00 88.08 589
- -----------------------------------------------------------------------------------
9.501 - 10.000 61.63 23.65 23.65 100.00 571
- -----------------------------------------------------------------------------------
10.001 - 10.500 57.50 0.00 0.00 100.00 536
- -----------------------------------------------------------------------------------
11.001 - 11.500 60.00 0.00 0.00 100.00 583
- -----------------------------------------------------------------------------------
TOTAL: 78.80 50.01 55.03 93.45 659
- -----------------------------------------------------------------------------------
<CAPTION>
- -----------------------------------------------------------------------------------------
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Initial Periodic Cap (%) LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
1 51 6,534,524.47 5.71 9.396 128,128
- -----------------------------------------------------------------------------------------
1.5 131 20,420,610.49 17.83 9.118 155,883
- -----------------------------------------------------------------------------------------
2 240 34,693,994.92 30.30 8.770 144,558
- -----------------------------------------------------------------------------------------
3 484 52,721,735.53 46.04 9.654 108,929
- -----------------------------------------------------------------------------------------
6 2 139,352.06 0.12 9.928 69,676
- -----------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
ORIGINAL % FULL OWNER FICO
Initial Periodic Cap (%) LTV PURCHASE DOC OCCUPIED SCORE
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
1 81.67 51.95 48.90 95.15 655
- -----------------------------------------------------------------------------------
1.5 77.06 53.49 34.15 97.02 699
- -----------------------------------------------------------------------------------
2 79.15 55.08 39.65 90.81 686
- -----------------------------------------------------------------------------------
3 78.87 45.13 73.87 93.66 627
- -----------------------------------------------------------------------------------
6 81.67 33.48 100.00 66.52 585
- -----------------------------------------------------------------------------------
TOTAL: 78.80 50.01 55.03 93.45 659
- -----------------------------------------------------------------------------------
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
% OF
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE
Subsequent MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT
Periodic Cap (%) LOANS BALANCE BALANCE COUPON BALANCE
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
1 536 58,971,705.73 51.50 9.606 110,022
- -----------------------------------------------------------------------------------------
1.5 116 18,889,464.39 16.50 9.128 162,840
- -----------------------------------------------------------------------------------------
2 240 34,746,720.13 30.34 8.772 144,778
- -----------------------------------------------------------------------------------------
3 16 1,902,327.22 1.66 9.731 118,895
- -----------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113
- -----------------------------------------------------------------------------------------
<CAPTION>
WEIGHTED WEIGHTED
AVERAGE % % AVERAGE
Subsequent ORIGINAL % FULL OWNER FICO
Periodic Cap (%) LTV PURCHASE DOC OCCUPIED SCORE
- ----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
1 79.51 47.46 70.31 93.85 634
- ----------------------------------------------------------------------------------
1.5 76.04 46.97 36.98 96.67 689
- ----------------------------------------------------------------------------------
2 78.96 54.77 39.53 90.83 685
- ----------------------------------------------------------------------------------
3 81.05 72.23 43.45 96.94 666
- ----------------------------------------------------------------------------------
TOTAL: 78.80 50.01 55.03 93.45 659
- ----------------------------------------------------------------------------------
</TABLE>
________________________________________________________________________________
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MAXIMUM MORTGAGE MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
RATES (%) LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- -------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
10.751 - 11.000 1 71,735.41 0.06 8.625 71,735 46.74 100.00 100.00 0.00 804
- -------------------------------------------------------------------------------------------------------------------------------
11.251 - 11.500 2 227,064.35 0.20 8.362 113,532 75.04 43.09 43.09 43.09 763
- -------------------------------------------------------------------------------------------------------------------------------
12.001 - 12.250 8 883,596.36 0.77 8.743 110,450 69.03 28.18 85.96 66.39 721
- -------------------------------------------------------------------------------------------------------------------------------
12.251 - 12.500 1 47,850.34 0.04 8.500 47,850 75.00 0.00 100.00 0.00 636
- -------------------------------------------------------------------------------------------------------------------------------
12.501 - 12.750 8 1,129,284.20 0.99 8.732 141,161 72.44 9.81 100.00 19.37 643
- -------------------------------------------------------------------------------------------------------------------------------
12.751 - 13.000 3 538,099.52 0.47 8.324 179,367 72.63 16.31 100.00 92.73 737
- -------------------------------------------------------------------------------------------------------------------------------
13.001 - 13.250 3 436,550.12 0.38 7.183 145,517 80.00 44.66 100.00 100.00 676
- -------------------------------------------------------------------------------------------------------------------------------
13.251 - 13.500 6 1,143,835.42 1.00 7.993 190,639 73.11 41.95 25.19 91.75 671
- -------------------------------------------------------------------------------------------------------------------------------
13.501 - 13.750 24 3,626,534.65 3.17 7.795 151,106 80.94 51.06 51.02 92.98 685
- -------------------------------------------------------------------------------------------------------------------------------
13.751 - 14.000 28 3,355,834.84 2.93 7.898 119,851 83.61 75.73 37.19 100.00 691
- -------------------------------------------------------------------------------------------------------------------------------
14.001 - 14.250 25 4,550,548.65 3.97 7.965 182,022 81.63 53.19 58.43 96.30 669
- -------------------------------------------------------------------------------------------------------------------------------
14.251 - 14.500 43 5,915,877.91 5.17 8.347 137,579 77.98 48.59 44.77 93.06 697
- -------------------------------------------------------------------------------------------------------------------------------
14.501 - 14.750 50 6,672,350.99 5.83 8.466 133,447 81.15 62.71 47.65 94.00 682
- -------------------------------------------------------------------------------------------------------------------------------
14.751 - 15.000 75 11,719,761.79 10.23 8.697 156,263 80.30 49.28 51.26 98.45 655
- -------------------------------------------------------------------------------------------------------------------------------
15.001 - 15.250 54 6,366,256.63 5.56 8.904 117,894 83.33 76.56 41.03 90.32 698
- -------------------------------------------------------------------------------------------------------------------------------
15.251 - 15.500 67 8,911,955.98 7.78 9.120 133,014 81.07 66.65 54.63 98.18 660
- -------------------------------------------------------------------------------------------------------------------------------
15.501 - 15.750 76 11,429,659.42 9.98 9.307 150,390 79.41 45.88 68.05 98.57 688
- -------------------------------------------------------------------------------------------------------------------------------
15.751 - 16.000 81 10,864,539.95 9.49 9.443 134,130 78.59 52.06 40.07 92.86 664
- -------------------------------------------------------------------------------------------------------------------------------
16.001 - 16.250 52 6,370,226.21 5.56 9.535 122,504 75.13 41.84 53.84 95.63 638
- -------------------------------------------------------------------------------------------------------------------------------
16.251 - 16.500 57 7,739,167.33 6.76 9.698 135,775 80.63 52.89 54.84 89.76 656
- -------------------------------------------------------------------------------------------------------------------------------
16.501 - 16.750 39 4,169,379.94 3.64 9.930 106,907 80.45 42.65 68.64 84.95 645
- -------------------------------------------------------------------------------------------------------------------------------
16.751 - 17.000 53 6,112,451.07 5.34 10.103 115,329 80.32 52.45 71.71 92.81 623
- -------------------------------------------------------------------------------------------------------------------------------
17.001 - 17.250 13 1,559,090.01 1.36 10.308 119,930 79.53 33.47 63.43 100.00 614
- -------------------------------------------------------------------------------------------------------------------------------
17.251 - 17.500 21 1,606,887.12 1.40 10.668 76,518 77.30 38.68 63.22 97.10 612
- -------------------------------------------------------------------------------------------------------------------------------
17.501 - 17.750 20 1,642,239.65 1.43 11.085 82,112 75.75 60.27 63.55 86.02 626
- -------------------------------------------------------------------------------------------------------------------------------
17.751 - 18.000 27 2,291,434.34 2.00 10.890 84,868 70.74 17.15 62.97 85.88 605
- -------------------------------------------------------------------------------------------------------------------------------
18.001 - 18.250 6 379,995.54 0.33 11.331 63,333 72.82 21.68 100.00 100.00 548
- -------------------------------------------------------------------------------------------------------------------------------
18.251 - 18.500 8 850,571.09 0.74 11.676 106,321 61.69 6.00 32.93 100.00 511
- -------------------------------------------------------------------------------------------------------------------------------
18.501 - 18.750 11 691,329.10 0.60 11.898 62,848 71.61 16.02 83.98 100.00 539
- -------------------------------------------------------------------------------------------------------------------------------
18.751 - 19.000 6 460,381.33 0.40 12.172 76,730 71.49 14.40 58.01 100.00 559
- -------------------------------------------------------------------------------------------------------------------------------
19.001 - 19.250 8 622,177.92 0.54 12.280 77,772 52.84 0.00 44.58 100.00 575
- -------------------------------------------------------------------------------------------------------------------------------
19.251 - 19.500 6 401,167.51 0.35 12.479 66,861 66.46 0.00 54.83 100.00 543
- -------------------------------------------------------------------------------------------------------------------------------
19.501 - 19.750 6 452,523.93 0.40 12.780 75,421 62.08 0.00 54.02 100.00 549
- -------------------------------------------------------------------------------------------------------------------------------
19.751 - 20.000 6 457,351.74 0.40 13.462 76,225 64.97 0.00 74.93 100.00 547
- -------------------------------------------------------------------------------------------------------------------------------
20.001 - 20.250 1 39,973.78 0.03 13.250 39,974 57.14 0.00 100.00 0.00 511
- -------------------------------------------------------------------------------------------------------------------------------
20.251 - 20.500 7 336,336.96 0.29 13.720 48,048 64.94 0.00 77.70 100.00 515
- -------------------------------------------------------------------------------------------------------------------------------
20.501 - 20.750 4 337,090.48 0.29 13.928 84,273 61.95 9.12 9.12 100.00 545
- -------------------------------------------------------------------------------------------------------------------------------
20.751 - 21.000 2 99,105.89 0.09 13.995 49,553 65.00 0.00 100.00 100.00 540
- -------------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- -------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MINIMUM MORTGAGE MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
RATES (%) LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
2.501 - 3.000 6 464,590.22 0.41 8.089 77,432 75.33 0.00 72.18 21.38 752
- ----------------------------------------------------------------------------------------------------------------------------
3.001 - 3.500 15 2,171,639.52 1.90 8.669 144,776 70.22 24.38 94.29 55.55 704
- ----------------------------------------------------------------------------------------------------------------------------
3.501 - 4.000 33 2,453,987.69 2.14 8.467 74,363 81.61 24.75 97.48 100.00 673
- ----------------------------------------------------------------------------------------------------------------------------
4.001 - 4.500 1 112,954.28 0.10 7.830 112,954 80.00 100.00 100.00 100.00 760
- ----------------------------------------------------------------------------------------------------------------------------
5.001 - 5.500 6 482,701.14 0.42 9.293 80,450 82.03 6.84 93.16 100.00 591
- ----------------------------------------------------------------------------------------------------------------------------
5.501 - 6.000 4 270,000.78 0.24 9.760 67,500 82.65 62.48 53.12 100.00 693
- ----------------------------------------------------------------------------------------------------------------------------
6.001 - 6.500 7 820,077.62 0.72 9.262 117,154 81.17 0.00 87.28 87.76 638
- ----------------------------------------------------------------------------------------------------------------------------
6.501 - 7.000 7 670,059.03 0.59 8.099 95,723 78.55 25.82 87.28 60.96 644
- ----------------------------------------------------------------------------------------------------------------------------
7.001 - 7.500 16 2,934,103.31 2.56 7.644 183,381 74.31 25.69 47.04 96.78 660
- ----------------------------------------------------------------------------------------------------------------------------
7.501 - 8.000 68 9,997,547.04 8.73 7.910 147,023 79.55 58.33 47.64 97.61 666
- ----------------------------------------------------------------------------------------------------------------------------
8.001 - 8.500 83 13,143,808.60 11.48 8.315 158,359 80.66 58.10 54.78 94.52 680
- ----------------------------------------------------------------------------------------------------------------------------
8.501 - 9.000 148 24,000,626.33 20.96 8.819 162,166 80.01 49.39 52.44 96.15 678
- ----------------------------------------------------------------------------------------------------------------------------
9.001 - 9.500 152 19,892,507.83 17.37 9.366 130,872 80.67 60.69 50.70 94.58 665
- ----------------------------------------------------------------------------------------------------------------------------
9.501 - 10.000 158 19,107,175.64 16.69 9.865 120,931 80.04 56.09 55.89 92.24 653
- ----------------------------------------------------------------------------------------------------------------------------
10.001 - 10.500 64 6,739,113.51 5.89 10.271 105,299 77.41 56.53 44.90 90.65 637
- ----------------------------------------------------------------------------------------------------------------------------
10.501 - 11.000 51 4,625,089.04 4.04 10.829 90,688 78.04 42.60 65.86 94.52 628
- ----------------------------------------------------------------------------------------------------------------------------
11.001 - 11.500 20 1,585,553.84 1.38 11.385 79,278 71.12 24.56 57.24 97.06 564
- ----------------------------------------------------------------------------------------------------------------------------
11.501 - 12.000 21 1,861,369.95 1.63 11.779 88,637 67.98 27.27 44.87 83.89 587
- ----------------------------------------------------------------------------------------------------------------------------
12.001 - 12.500 15 1,266,886.35 1.11 12.354 84,459 58.79 0.00 48.02 100.00 553
- ----------------------------------------------------------------------------------------------------------------------------
12.501 - 13.000 17 1,002,601.38 0.88 13.089 58,977 65.91 6.61 67.73 100.00 546
- ----------------------------------------------------------------------------------------------------------------------------
13.001 - 13.500 8 331,167.86 0.29 13.443 41,396 62.23 0.00 90.98 87.93 518
- ----------------------------------------------------------------------------------------------------------------------------
13.501 - 14.000 6 408,101.30 0.36 13.730 68,017 60.30 7.53 31.82 100.00 537
- ----------------------------------------------------------------------------------------------------------------------------
14.001 - 14.500 1 75,000.00 0.07 14.425 75,000 55.56 0.00 0.00 100.00 535
- ----------------------------------------------------------------------------------------------------------------------------
14.501 - 15.000 1 93,555.21 0.08 14.625 93,555 60.00 0.00 0.00 100.00 583
- ----------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ----------------------------------------------------------------------------------------------------------------------------
<CAPTION>
- -------------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
PRODUCT LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- -------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
ARM - 6 Month 126 20,731,575.03 18.10 9.059 164,536 76.60 45.37 36.35 95.85 691
- -------------------------------------------------------------------------------------------------------------------------------
ARM - 1 Year/6 Month 1 83,879.59 0.07 9.275 83,880 84.48 100.00 0.00 100.00 683
- -------------------------------------------------------------------------------------------------------------------------------
ARM - 2 Year/6 Month 365 41,065,147.63 35.86 9.594 112,507 80.53 55.91 64.49 94.53 641
- -------------------------------------------------------------------------------------------------------------------------------
ARM - 3 Year/6 Month 172 17,527,958.43 15.31 9.803 101,907 76.69 32.32 84.08 93.51 615
- -------------------------------------------------------------------------------------------------------------------------------
ARM - 5 Year/6 Month 6 519,139.93 0.45 8.918 86,523 85.41 34.41 100.00 86.60 620
- -------------------------------------------------------------------------------------------------------------------------------
ARM - 1 Year 208 32,293,494.56 28.20 8.781 155,257 78.88 57.33 35.64 90.13 686
- -------------------------------------------------------------------------------------------------------------------------------
ARM - 2 Year/1 Year 5 363,416.72 0.32 8.120 72,683 81.39 72.12 100.00 100.00 636
- -------------------------------------------------------------------------------------------------------------------------------
ARM - 3 Year/1 Year 21 1,646,530.76 1.44 8.654 78,406 80.41 11.73 96.25 100.00 680
- -------------------------------------------------------------------------------------------------------------------------------
ARM - 5 Year/1 Year 4 279,074.82 0.24 8.769 69,769 84.36 0.00 100.00 100.00 673
- -------------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- -------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
INDEX TYPE LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Treasury - 1 Year 238 34,582,516.86 30.20 8.768 145,305 79.02 54.86 39.72 90.78 686
- ---------------------------------------------------------------------------------------------------------------------------
Libor - 6 Month 668 79,811,021.11 69.70 9.496 119,478 78.69 47.89 61.59 94.68 648
- ---------------------------------------------------------------------------------------------------------------------------
COFI - 6 Month 2 116,679.50 0.10 9.366 58,340 84.12 59.61 100.00 40.39 622
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ---------------------------------------------------------------------------------------------------------------------------
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
BALLOON LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Balloon 1 134,442.38 0.12 10.500 134,442 90.00 100.00 100.00 100.00 647
- ---------------------------------------------------------------------------------------------------------------------------
Non-Balloon 907 114,375,775.09 99.88 9.275 126,103 78.78 49.95 54.97 93.44 659
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ---------------------------------------------------------------------------------------------------------------------------
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
LIEN MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
POSITION LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
1st Lien 907 114,492,653.00 99.98 9.275 126,232 78.81 50.01 55.02 93.45 659
- ---------------------------------------------------------------------------------------------------------------------------
2nd Lien 1 17,564.47 0.02 14.125 17,564 15.73 0.00 100.00 100.00 518
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ---------------------------------------------------------------------------------------------------------------------------
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
ORIGINAL TERM LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
61 - 180 7 319,137.49 0.28 10.214 45,591 75.36 42.13 100.00 100.00 637
- ---------------------------------------------------------------------------------------------------------------------------
181 - 240 1 65,165.21 0.06 8.000 65,165 80.00 0.00 100.00 100.00 615
- ---------------------------------------------------------------------------------------------------------------------------
241 - 360 900 114,125,914.77 99.66 9.274 126,807 78.81 50.06 54.87 93.43 660
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ---------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
SEASONING LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
0 124 18,447,805.61 16.11 9.137 148,773 78.16 41.64 51.75 99.11 670
- ------------------------------------------------------------------------------------------------------------------------------
1 - 3 400 49,082,739.37 42.86 9.362 122,707 79.96 55.87 60.49 91.41 654
- ------------------------------------------------------------------------------------------------------------------------------
4 - 6 178 24,838,710.42 21.69 9.006 139,543 78.95 56.10 41.84 95.71 675
- ------------------------------------------------------------------------------------------------------------------------------
7 - 9 62 7,535,708.12 6.58 9.251 121,544 79.40 49.41 54.84 97.05 652
- ------------------------------------------------------------------------------------------------------------------------------
10 - 12 59 6,626,215.04 5.79 9.840 112,309 74.37 41.89 46.94 100.00 609
- ------------------------------------------------------------------------------------------------------------------------------
13 - 15 33 2,785,004.92 2.43 10.363 84,394 78.38 43.00 59.43 93.16 645
- ------------------------------------------------------------------------------------------------------------------------------
16 - 18 8 623,731.43 0.54 9.851 77,966 75.40 0.00 57.32 100.00 606
- ------------------------------------------------------------------------------------------------------------------------------
19 - 21 8 658,155.48 0.57 9.758 82,269 82.70 0.00 88.74 94.05 685
- ------------------------------------------------------------------------------------------------------------------------------
22 - 24 10 784,194.34 0.68 8.782 78,419 81.67 0.00 100.00 100.00 653
- ------------------------------------------------------------------------------------------------------------------------------
25 - 27 2 99,351.97 0.09 7.750 49,676 80.00 0.00 100.00 100.00 667
- ------------------------------------------------------------------------------------------------------------------------------
31 - 33 1 44,919.58 0.04 10.625 44,920 64.91 0.00 100.00 100.00 537
- ------------------------------------------------------------------------------------------------------------------------------
34 - 36 2 212,037.51 0.19 9.840 106,019 66.54 0.00 44.18 55.82 697
- ------------------------------------------------------------------------------------------------------------------------------
40 - 42 5 962,903.55 0.84 8.625 192,581 71.65 11.51 100.00 59.77 692
- ------------------------------------------------------------------------------------------------------------------------------
43 - 45 7 979,142.27 0.86 8.654 139,877 67.37 14.17 100.00 46.57 705
- ------------------------------------------------------------------------------------------------------------------------------
46 - 48 5 427,615.27 0.37 8.802 85,523 76.27 25.78 71.00 30.55 680
- ------------------------------------------------------------------------------------------------------------------------------
49 - 51 4 401,982.59 0.35 8.316 100,496 69.98 42.18 67.85 24.34 780
- ------------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
GEOGRAPHIC MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
DISTRIBUTION LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- -------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Michigan 115 18,313,575.26 15.99 9.384 159,248 75.91 43.39 40.88 97.04 694
- -------------------------------------------------------------------------------------------------------------------------------
Utah 132 16,429,301.11 14.35 9.120 124,464 79.98 30.90 79.43 93.81 625
- -------------------------------------------------------------------------------------------------------------------------------
California-Southern 102 14,601,104.38 12.75 8.868 143,148 81.12 63.26 59.59 85.24 675
- -------------------------------------------------------------------------------------------------------------------------------
California-Northern 38 8,524,136.92 7.44 8.748 224,319 75.76 51.75 47.19 94.15 697
- -------------------------------------------------------------------------------------------------------------------------------
Colorado 52 7,037,896.12 6.15 9.239 135,344 82.78 51.52 62.59 97.60 644
- -------------------------------------------------------------------------------------------------------------------------------
North Carolina 46 4,238,954.18 3.70 9.610 92,151 78.19 64.57 42.69 94.28 643
- -------------------------------------------------------------------------------------------------------------------------------
Ohio 43 3,879,312.68 3.39 9.333 90,217 80.53 45.52 77.15 89.95 639
- -------------------------------------------------------------------------------------------------------------------------------
Florida 28 3,600,610.49 3.14 9.553 128,593 79.67 65.43 32.71 95.37 652
- -------------------------------------------------------------------------------------------------------------------------------
Maryland 31 3,469,247.55 3.03 9.024 111,911 77.83 53.36 55.12 88.78 638
- -------------------------------------------------------------------------------------------------------------------------------
Virginia 20 3,186,254.75 2.78 8.842 159,313 84.80 75.87 17.85 97.96 696
- -------------------------------------------------------------------------------------------------------------------------------
Washington 24 3,085,118.49 2.69 9.469 128,547 76.78 40.49 43.43 100.00 628
- -------------------------------------------------------------------------------------------------------------------------------
Illinois 23 3,060,822.69 2.67 9.643 133,079 78.21 51.90 52.46 79.58 629
- -------------------------------------------------------------------------------------------------------------------------------
Georgia 30 2,620,666.32 2.29 9.933 87,356 83.97 76.70 66.76 94.04 671
- -------------------------------------------------------------------------------------------------------------------------------
Texas 18 2,464,012.36 2.15 10.164 136,890 77.01 40.40 53.51 98.58 631
- -------------------------------------------------------------------------------------------------------------------------------
Indiana 34 2,227,405.56 1.95 9.032 65,512 80.02 43.27 88.98 94.81 666
- -------------------------------------------------------------------------------------------------------------------------------
Alabama 20 1,835,531.44 1.60 9.382 91,777 73.25 40.22 28.14 100.00 658
- -------------------------------------------------------------------------------------------------------------------------------
Nevada 13 1,724,983.28 1.51 9.522 132,691 82.60 87.21 58.30 84.28 641
- -------------------------------------------------------------------------------------------------------------------------------
Arizona 13 1,529,050.03 1.34 8.856 117,619 80.38 69.32 54.99 100.00 683
- -------------------------------------------------------------------------------------------------------------------------------
New Jersey 8 1,326,571.93 1.16 9.864 165,821 73.97 66.74 0.00 91.88 646
- -------------------------------------------------------------------------------------------------------------------------------
Kentucky 11 1,243,895.51 1.09 9.156 113,081 74.86 0.00 46.99 100.00 658
- -------------------------------------------------------------------------------------------------------------------------------
Oregon 10 1,131,879.83 0.99 9.318 113,188 75.36 32.52 76.10 100.00 642
- -------------------------------------------------------------------------------------------------------------------------------
Pennsylvania 7 877,068.25 0.77 10.843 125,295 72.75 13.32 74.07 100.00 560
- -------------------------------------------------------------------------------------------------------------------------------
New York 5 839,081.08 0.73 9.848 167,816 79.34 86.33 0.00 100.00 705
- -------------------------------------------------------------------------------------------------------------------------------
South Carolina 8 746,589.97 0.65 10.676 93,324 81.50 59.83 48.37 100.00 658
- -------------------------------------------------------------------------------------------------------------------------------
New Mexico 6 735,099.02 0.64 8.877 122,517 72.01 52.32 43.18 83.07 607
- -------------------------------------------------------------------------------------------------------------------------------
Wisconsin 7 638,375.47 0.56 10.273 91,196 80.56 9.71 78.08 93.74 645
- -------------------------------------------------------------------------------------------------------------------------------
Idaho 7 588,185.07 0.51 9.144 84,026 75.33 59.46 71.44 100.00 618
- -------------------------------------------------------------------------------------------------------------------------------
Oklahoma 7 505,306.66 0.44 10.027 72,187 70.02 10.05 44.95 100.00 667
- -------------------------------------------------------------------------------------------------------------------------------
Tennessee 5 493,530.53 0.43 9.962 98,706 83.70 72.12 100.00 49.91 703
- -------------------------------------------------------------------------------------------------------------------------------
Massachusetts 4 450,292.97 0.39 9.148 112,573 77.32 58.56 41.44 100.00 676
- -------------------------------------------------------------------------------------------------------------------------------
District of Columbia 4 449,952.64 0.39 9.086 112,488 77.51 56.01 32.47 67.53 733
- -------------------------------------------------------------------------------------------------------------------------------
Arkansas 3 394,108.06 0.34 9.347 131,369 79.72 83.51 28.11 100.00 701
- -------------------------------------------------------------------------------------------------------------------------------
Vermont 4 302,512.45 0.26 9.709 75,628 74.49 90.13 42.02 100.00 623
- -------------------------------------------------------------------------------------------------------------------------------
Minnesota 3 294,009.32 0.26 8.152 98,003 82.24 55.19 82.33 100.00 612
- -------------------------------------------------------------------------------------------------------------------------------
Louisiana 3 253,157.49 0.22 11.288 84,386 82.32 32.55 78.86 100.00 588
- -------------------------------------------------------------------------------------------------------------------------------
Missouri 6 221,448.40 0.19 11.160 36,908 67.69 0.00 100.00 100.00 591
- -------------------------------------------------------------------------------------------------------------------------------
Connecticut 2 192,242.54 0.17 10.394 96,121 75.19 63.62 100.00 100.00 624
- -------------------------------------------------------------------------------------------------------------------------------
New Hampshire 2 179,049.27 0.16 9.924 89,525 85.62 56.21 56.21 100.00 667
- -------------------------------------------------------------------------------------------------------------------------------
Kansas 3 111,863.75 0.10 12.003 37,288 62.94 0.00 100.00 100.00 592
- -------------------------------------------------------------------------------------------------------------------------------
Iowa 1 109,200.00 0.10 8.750 109,200 80.00 100.00 0.00 100.00 709
- -------------------------------------------------------------------------------------------------------------------------------
Hawaii 1 104,719.06 0.09 7.250 104,719 70.00 100.00 100.00 100.00 643
- -------------------------------------------------------------------------------------------------------------------------------
Wyoming 2 102,866.70 0.09 10.689 51,433 82.68 0.00 53.69 100.00 609
- -------------------------------------------------------------------------------------------------------------------------------
South Dakota 2 102,766.09 0.09 11.571 51,383 85.00 0.00 100.00 100.00 563
- -------------------------------------------------------------------------------------------------------------------------------
Montana 2 100,081.71 0.09 9.900 50,041 71.35 58.14 100.00 100.00 702
- -------------------------------------------------------------------------------------------------------------------------------
Rhode Island 1 79,200.00 0.07 8.875 79,200 90.00 100.00 0.00 100.00 705
- -------------------------------------------------------------------------------------------------------------------------------
West Virginia 1 59,680.09 0.05 8.750 59,680 89.55 0.00 100.00 100.00 586
- -------------------------------------------------------------------------------------------------------------------------------
Maine 1 49,500.00 0.04 8.625 49,500 90.00 100.00 100.00 100.00 646
- -------------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- -------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
PROPERTY TYPE LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Single Family Detached 778 96,455,343.31 84.23 9.297 123,979 78.48 45.52 57.60 96.01 656
- ---------------------------------------------------------------------------------------------------------------------------------
Condo - Low Rise 53 6,030,498.50 5.27 9.151 113,783 79.03 75.41 38.02 89.11 681
- ---------------------------------------------------------------------------------------------------------------------------------
PUD 35 6,022,042.67 5.26 9.081 172,058 84.18 86.36 26.81 99.25 690
- ---------------------------------------------------------------------------------------------------------------------------------
2-4 Family 42 6,002,332.99 5.24 9.260 142,913 78.30 60.09 59.09 50.88 668
- ---------------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ---------------------------------------------------------------------------------------------------------------------------------
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
OCCUPANCY LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Primary 824 107,009,038.61 93.45 9.273 129,865 78.99 49.46 53.86 100.00 658
- ---------------------------------------------------------------------------------------------------------------------------------
Investment 84 7,501,178.86 6.55 9.316 89,300 76.08 57.75 71.69 0.00 674
- ---------------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ---------------------------------------------------------------------------------------------------------------------------------
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
PURPOSE LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Purchase 442 57,263,435.77 50.01 9.159 129,555 83.06 100.00 42.30 92.43 685
- ---------------------------------------------------------------------------------------------------------------------------------
Refinance - Cashout 412 47,432,487.91 41.42 9.413 115,127 75.18 0.00 72.93 93.82 627
- ---------------------------------------------------------------------------------------------------------------------------------
Refinance - Rate Term 54 9,814,293.79 8.57 9.301 181,746 71.43 0.00 42.75 97.56 665
- ---------------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ---------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
DOCUMENTATION LEVEL LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Full Doc -Asset and Income 564 63,009,551.19 55.03 9.271 111,719 79.59 38.44 100.00 91.47 635
- ------------------------------------------------------------------------------------------------------------------------------------
No Documentation 245 38,514,495.96 33.63 9.239 157,202 79.41 70.71 0.00 96.34 697
- ------------------------------------------------------------------------------------------------------------------------------------
No Income Verification 99 12,986,170.32 11.34 9.412 131,173 73.14 44.73 0.00 94.51 664
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ------------------------------------------------------------------------------------------------------------------------------------
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
% OF WEIGHTED WEIGHTED
NUMBER OF AGGREGATE AGGREGATE WEIGHTED AVERAGE AVERAGE % % AVERAGE
FICO MORTGAGE PRINCIPAL PRINCIPAL AVERAGE CURRENT ORIGINAL % FULL OWNER FICO
SCORE LOANS BALANCE BALANCE COUPON BALANCE LTV PURCHASE DOC OCCUPIED SCORE
- ---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Not Available 12 888,425.68 0.78 10.543 74,035 71.65 47.27 52.97 100.00 0
- ---------------------------------------------------------------------------------------------------------------------------
426 - 450 3 178,241.65 0.16 10.952 59,414 54.10 27.31 27.31 86.16 437
- ---------------------------------------------------------------------------------------------------------------------------
451 - 475 6 426,955.60 0.37 9.782 71,159 76.61 39.13 100.00 100.00 463
- ---------------------------------------------------------------------------------------------------------------------------
476 - 500 10 744,622.84 0.65 10.864 74,462 69.97 6.85 93.15 100.00 492
- ---------------------------------------------------------------------------------------------------------------------------
501 - 525 39 3,983,385.07 3.48 10.337 102,138 72.62 12.22 73.53 96.29 512
- ---------------------------------------------------------------------------------------------------------------------------
526 - 550 50 4,856,014.20 4.24 10.283 97,120 72.40 17.82 87.08 99.04 536
- ---------------------------------------------------------------------------------------------------------------------------
551 - 575 71 8,030,825.71 7.01 9.577 113,110 77.37 31.52 84.24 99.54 566
- ---------------------------------------------------------------------------------------------------------------------------
576 - 600 76 8,129,562.77 7.10 9.800 106,968 76.99 35.87 82.75 94.61 589
- ---------------------------------------------------------------------------------------------------------------------------
601 - 625 78 9,587,723.96 8.37 9.499 122,920 77.72 28.54 71.39 93.06 611
- ---------------------------------------------------------------------------------------------------------------------------
626 - 650 101 12,111,658.33 10.58 9.080 119,917 75.96 42.48 71.69 85.87 638
- ---------------------------------------------------------------------------------------------------------------------------
651 - 675 114 14,975,104.69 13.08 9.071 131,361 80.84 46.66 46.71 91.92 664
- ---------------------------------------------------------------------------------------------------------------------------
676 - 700 112 14,792,615.23 12.92 9.002 132,077 83.63 67.74 36.19 94.06 690
- ---------------------------------------------------------------------------------------------------------------------------
701 - 725 99 12,653,804.00 11.05 8.981 127,816 80.79 69.72 33.13 95.91 712
- ---------------------------------------------------------------------------------------------------------------------------
726 - 750 64 10,174,464.27 8.89 9.018 158,976 80.82 72.66 38.24 93.18 740
- ---------------------------------------------------------------------------------------------------------------------------
751 - 775 51 8,838,180.74 7.72 9.059 173,298 79.42 69.66 35.25 93.23 764
- ---------------------------------------------------------------------------------------------------------------------------
776 - 800 15 3,368,766.64 2.94 8.607 224,584 77.92 61.72 36.79 89.02 787
- ---------------------------------------------------------------------------------------------------------------------------
801 - 825 7 769,866.09 0.67 8.364 109,981 71.68 56.70 52.62 78.87 811
- ---------------------------------------------------------------------------------------------------------------------------
TOTAL: 908 114,510,217.47 100.00 9.276 126,113 78.80 50.01 55.03 93.45 659
- ---------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
AVERAGE LIFE SENSITIVITY TO CHANGES IN PREPAYMENT RATES
<TABLE>
<CAPTION>
SCENARIO I II III IV V V VI
<S> <C> <C> <C> <C> <C> <C> <C>
FIXED 0% PPM 50% PPM 85% PPM 115% PPM 150% PPM 175% PPM 200% PPM
ARM 0% CPR 15% CPR 25% CPR 30% CPR 40% CPR 50% CPR 60% CPR
</TABLE>
<TABLE>
<CAPTION>
PRICED TO 10% OPTIONAL CALL
--------------------------------------------------------------------
SCENARIO I II III IV V VI VII
<S> <C> <C> <C> <C> <C> <C> <C>
Class A-1 @ Price 99.9952
Yield 6.45 6.23 6.10 6.00 5.90 5.82 5.76
Average Life 8.09 1.58 1.06 0.85 0.71 0.63 0.58
Mod Duration 5.74 1.44 0.99 0.81 0.67 0.60 0.55
First Prin 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98
Last Prin 5/25/13 12/25/01 9/25/00 4/25/00 12/25/99 10/25/99 9/25/99
Payment Window 176 39 24 19 15 13 12
Class A-2 @ Price 99.9937
Yield 6.13 6.06 6.00 5.95 5.89 5.86 5.82
Average Life 14.74 4.26 2.63 2.00 1.57 1.37 1.22
Mod Duration 9.49 3.65 2.36 1.83 1.46 1.28 1.14
First Prin 5/25/13 12/25/01 9/25/00 4/25/00 12/25/99 10/25/99 9/25/99
Last Prin 10/25/13 1/25/04 12/25/01 2/25/01 8/25/00 5/25/00 2/25/00
Payment Window 6 26 16 11 9 8 6
Class A-3 @ Price 99.9870
Yield 6.31 6.28 6.24 6.20 6.16 6.13 6.10
Average Life 17.57 6.95 4.06 2.99 2.30 1.97 1.72
Mod Duration 10.35 5.47 3.49 2.65 2.08 1.80 1.59
First Prin 10/25/13 1/25/04 12/25/01 2/25/01 8/25/00 5/25/00 2/25/00
Last Prin 10/25/19 10/25/07 9/25/03 5/25/02 6/25/01 1/25/01 9/25/00
Payment Window 73 46 22 16 11 9 8
Class A-4 @ Price 99.9726
Yield 6.44 6.43 6.41 6.38 6.35 6.33 6.30
Average Life 24.56 12.30 7.34 5.02 3.67 3.05 2.60
Mod Duration 12.07 8.25 5.65 4.16 3.17 2.69 2.33
First Prin 10/25/19 10/25/07 9/25/03 5/25/02 6/25/01 1/25/01 9/25/00
Last Prin 1/25/26 5/25/13 9/25/08 2/25/06 8/25/03 10/25/02 2/25/02
Payment Window 76 68 61 46 27 22 18
Class A-5 @ Price 99.9383
Yield 6.88 6.86 6.85 6.84 6.82 6.80 6.79
Average Life 28.05 14.69 10.02 7.68 5.63 4.58 3.83
Mod Duration 12.19 9.03 7.06 5.82 4.55 3.82 3.28
First Prin 1/25/26 5/25/13 9/25/08 2/25/06 8/25/03 10/25/02 2/25/02
Last Prin 11/25/26 5/25/13 9/25/08 5/25/06 6/25/04 5/25/03 8/25/02
Payment Window 11 1 1 4 11 8 7
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
PRICED TO 10% OPTIONAL CALL
(CONTINUED)
--------------------------------------------------------------------
SCENARIO I II III IV V VI VII
<S> <C> <C> <C> <C> <C> <C> <C>
Class A-6 @ Price 99.9503
Yield 6.24 6.22 6.21 6.21 6.20 6.18 6.17
Average Life 12.30 8.17 7.03 6.30 5.22 4.45 3.85
Mod Duration 8.21 6.13 5.49 5.04 4.33 3.78 3.34
First Prin 10/25/01 10/25/01 10/25/01 10/25/01 10/25/01 10/25/01 10/25/01
Last Prin 11/25/26 5/25/13 9/25/08 5/25/06 6/25/04 5/25/03 8/25/02
Payment Window 302 140 84 56 33 20 11
Class A-7 @ Price 100/00
Yield 5.90 5.90 5.90 5.90 5.90 5.90 5.90
Average Life 23.07 5.79 3.22 2.45 1.51 0.84 0.64
Mod Duration 11.87 4.36 2.66 2.10 1.35 0.79 0.61
First Prin 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98
Last Prin 11/25/26 5/25/13 9/25/08 5/25/06 6/25/04 5/25/03 2/25/00
Payment Window 338 176 120 92 69 56 17
Class A-8 @ Price 99.9768
Yield 6.01 5.92 5.90 5.90 5.90 5.91 5.88
Average Life 12.24 3.09 2.76 2.70 2.71 2.96 2.32
Mod Duration 8.19 2.73 2.47 2.42 2.43 2.62 2.10
First Prin 7/25/00 7/25/00 7/25/00 7/25/00 7/25/00 7/25/00 2/25/00
Last Prin 10/25/16 1/25/04 10/25/03 10/25/03 10/25/03 5/25/03 8/25/02
Payment Window 196 43 40 40 40 35 31
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
AVERAGE LIFE SENSITIVITY TO CHANGES IN PREPAYMENT RATES
<TABLE>
<CAPTION>
SCENARIO I II III IV V V VI
<S> <C> <C> <C> <C> <C> <C> <C>
FIXED 0% PPM 50% PPM 85% PPM 115% PPM 150% PPM 175% PPM 200% PPM
ARM 0% CPR 15% CPR 25% CPR 30% CPR 40% CPR 50% CPR 60% CPR
</TABLE>
<TABLE>
<CAPTION>
PRICED TO MATURITY
--------------------------------------------------------------------
SCENARIO I II III IV V VI VII
<S> <C> <C> <C> <C> <C> <C> <C>
Class A-1 @ Price 99.9952
Yield 6.45 6.23 6.10 6.00 5.90 5.82 5.76
Average Life 8.09 1.58 1.06 0.85 0.71 0.63 0.58
Mod Duration 5.74 1.44 0.99 0.81 0.67 0.60 0.55
First Prin 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98
Last Prin 5/25/13 12/25/01 9/25/00 4/25/00 12/25/99 10/25/99 9/25/99
Payment Window 176 39 24 19 15 13 12
Class A-2 @ Price 99.9937
Yield 6.13 6.06 6.00 5.95 5.89 5.86 5.82
Average Life 14.74 4.26 2.63 2.00 1.57 1.37 1.22
Mod Duration 9.49 3.65 2.36 1.83 1.46 1.28 1.14
First Prin 5/25/13 12/25/01 9/25/00 4/25/00 12/25/99 10/25/99 9/25/99
Last Prin 10/25/13 1/25/04 12/25/01 2/25/01 8/25/00 5/25/00 2/25/00
Payment Window 6 26 16 11 9 8 6
Class A-3 @ Price 99.9870
Yield 6.31 6.28 6.24 6.20 6.16 6.13 6.10
Average Life 17.57 6.95 4.06 2.99 2.30 1.97 1.72
Mod Duration 10.35 5.47 3.49 2.65 2.08 1.80 1.59
First Prin 10/25/13 1/25/04 12/25/01 2/25/01 8/25/00 5/25/00 2/25/00
Last Prin 10/25/19 10/25/07 9/25/03 5/25/02 6/25/01 1/25/01 9/25/00
Payment Window 73 46 22 16 11 9 8
Class A-4 @ Price 99.9726
Yield 6.44 6.43 6.41 6.38 6.35 6.33 6.30
Average Life 24.56 12.31 7.40 5.02 3.67 3.05 2.60
Mod Duration 12.07 8.26 5.68 4.16 3.17 2.69 2.33
First Prin 10/25/19 10/25/07 9/25/03 5/25/02 6/25/01 1/25/01 9/25/00
Last Prin 1/25/26 8/25/13 10/25/09 2/25/06 8/25/03 10/25/02 2/25/02
Payment Window 76 71 74 46 27 22 18
Class A-5 @ Price 99.9383
Yield 6.88 6.97 7.01 7.02 6.99 6.95 6.89
Average Life 28.47 19.31 14.23 11.00 7.66 5.85 4.44
Mod Duration 12.26 10.37 8.80 7.45 5.69 4.61 3.70
First Prin 1/25/26 8/25/13 10/25/09 2/25/06 8/25/03 10/25/02 2/25/02
Last Prin 5/25/28 5/25/26 8/25/20 9/25/15 9/25/12 8/25/10 12/25/08
Payment Window 29 154 131 116 110 95 83
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
<PAGE>
<TABLE>
<CAPTION>
PRICED TO MATURITY
(CONTINUED)
--------------------------------------------------------------------
SCENARIO I II III IV V VI VII
<S> <C> <C> <C> <C> <C> <C> <C>
Class A-6 @ Price 99.9503
Yield 6.24 6.22 6.22 6.24 6.30 6.36 6.41
Average Life 12.30 8.18 7.14 6.59 6.13 5.89 5.66
Mod Duration 8.21 6.14 5.54 5.21 4.91 4.75 4.59
First Prin 10/25/01 10/25/01 10/25/01 10/25/01 10/25/01 10/25/01 10/25/01
Last Prin 3/25/28 2/25/26 5/25/20 6/25/15 7/25/12 6/25/10 10/25/08
Payment Window 318 293 224 165 130 105 85
Class A-7 @ Price 100/00
Yield 5.90 5.91 5.91 5.92 5.92 5.91 5.90
Average Life 23.21 6.16 3.37 2.61 1.60 0.87 0.64
Mod Duration 11.89 4.49 2.74 2.19 1.41 0.81 0.61
First Prin 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98 10/25/98
Last Prin 8/25/28 9/25/24 3/25/16 2/25/13 12/25/08 4/25/06 2/25/00
Payment Window 359 312 210 173 123 91 17
Class A-8 @ Price 99.9768
Yield 6.01 5.92 5.90 5.90 5.90 5.91 5.88
Average Life 12.24 3.09 2.76 2.70 2.71 3.02 2.39
Mod Duration 8.19 2.73 2.47 2.42 2.43 2.67 2.15
First Prin 7/25/00 7/25/00 7/25/00 7/25/00 7/25/00 7/25/00 2/25/00
Last Prin 10/25/16 1/25/04 10/25/03 10/25/03 10/25/03 10/25/04 7/25/04
Payment Window 196 43 40 40 40 52 54
</TABLE>
- --------------------------------------------------------------------------------
This information has been prepared in connection with the issuance of securities
representing interests in the above trust, and is based in part on information
provided by Life Bank with respect to the expected characteristics of the pool
of home equity loans in which these securities will represent undivided
beneficial interests. The actual characteristics and performance of the home
equity loans will differ from the assumptions used in preparing these materials,
which are hypothetical in nature. Changes in the assumptions may have a
material impact on the information set forth in these materials. No
representation is made that any performance or return indicated herein will be
achieved. For example, it is very unlikely that the loans will prepay at a
constant rate or follow a predictable pattern. This information may not be used
or otherwise disseminated in connection with the offer or sale of these or any
other securities, except in connection with the initial offer or sale of these
securities to you to the extent set forth below. NO REPRESENTATION IS MADE AS
TO THE APPROPRIATENESS, USEFULNESS, ACCURACY OR COMPLETENESS OF THESE MATERIALS
OR THE ASSUMPTIONS ON WHICH THEY ARE BASED. Additional information is available
upon request. These materials do not constitute an offer to buy or sell or a
solicitation of an offer to buy or sell any security or instrument or to
participate in any particular trading strategy. ANY SUCH OFFER TO BUY OR SELL
ANY SECURITY WOULD BE MADE PURSUANT TO A DEFINITIVE PROSPECTUS AND PROSPECTUS
SUPPLEMENT PREPARED BY THE ISSUER WHICH WOULD CONTAIN MATERIAL INFORMATION NOT
CONTAINED IN THESE MATERIALS. SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT WILL
CONTAIN ALL MATERIAL INFORMATION IN RESPECT OF ANY SUCH SECURITY OFFERED THEREBY
AND ANY DECISION TO INVEST IN SUCH SECURITIES SHOULD BE MADE SOLELY WITH
RELIANCE UPON SUCH PROSPECTUS AND PROSPECTUS SUPPLEMENT. ANY CAPITALIZED TERMS
USED BUT NOT DEFINED HEREIN ARE TO BE READ IN CONJUNCTION WITH SUCH PROSPECTUS
AND PROSPECTUS SUPPLEMENT. In the event of any such offering, these materials,
including any description of the loans contained herein, shall be deemed
superseded, amended and supplemented in their entirety by such Prospectus and
Prospectus Supplement. To Our Readers Worldwide: In addition, please note that
this information has been provided by Morgan Stanley & Co. Incorporated and
approved by Morgan Stanley & Co. International Limited, a member of the
Securities and Futures Authority, and Morgan Stanley Japan Ltd. We recommend
that investors obtain the advice of their Morgan Stanley & Co. International
Limited or Morgan Stanley Japan Ltd. representative about the investment
concerned. NOT FOR DISTRIBUTION TO PRIVATE CUSTOMERS AS DEFINED BY THE U.K.
SECURITIES AND FUTURES AUTHORITY.
