Press Release:
March 17, 2010

CLAYTON INDEPENDENT PRICING SERVICE SELECTS COMPASS ANALYTICS AS NEW WHOLE LOAN VALUATION TOOL

Denver, CO– March 17, 2010– Clayton Holdings LLC, a leader in providing customized risk analysis, loss mitigation, operational solutions and staffing services for the securitization and mortgage industries, announced today that its independent pricing service, Clayton IPS LLC, will now use CompassPoint™ to support its independent assessment of performing whole loan valuations.

Clayton IPS will rely on CompassPoint as the cash flow engine, model and reporting framework to provide market color and collateral performance projections needed to generate pricing and analytics for verifying whole loan portfolio values. Prior to transitioning to CompassPoint, Clayton IPS focused primarily on the valuation of residential and commercial mortgage-backed securities and was not active in the whole loan pricing space .

"We are very excited to be using CompassPoint as our whole loan pricing tool. After a lengthy evaluation process, we selected CompassPoint due to the advanced capabilities and the flexibility of its model. Additionally, the customer support to-date has been excellent,” said Karl Weiss, President of Clayton IPS.

“There is significant demand for valuing ‘performing' collateral that is either held on a bank's balance sheet (and needs fair market valuation) or verifying asset values that will be sold/acquired in the secondary market,” explained Weiss. “The Compass tool permits us to create prepay and default projections in a manner that nearly matches what we do when valuing securities. It rounds out our product offering. After a lengthy evaluation process, we selected Compass for its advanced capabilities and the flexibility of the model.”

“We are very pleased to add Clayton IPS as a strategic CompassPoint customer,” said Rob Kessel, Managing Partner of Compass Analytics, adding, “Compass is excited to have a customer as sophisticated as Clayton IPS employing the advanced capabilities that differentiate CompassPoint from other pricing products.”

Compass Analytics provides valuation and interest rate risk management solutions to mortgage capital markets participants. Compass Analytics licenses its software CompassPoint™ to mortgage servicers, traders, investors and secondary marketing departments in order to provide rich loan-level and cohort-level analytics. CompassPoint's™ loan-level models, integrated file mapping, aggregation tools, market and credit inputs, whole loan, structured cash flow and mortgage servicing rights analysis and reporting capabilities give CompassPoint™ users the competitive advantage in evaluating all mortgage collateral. In addition to licensing CompassPoint™, Compass uses CompassPoint™ internally to provide third party valuations as well as outsource hedge execution services, both of which draw on Compass' considerable expertise and access to market color. http://www.compass-analytics.com or contact Kellie Kramer at 415-462-7500 or kkramer@compass-analytics.com.

Clayton Holdings LLC is the leading provider of customized risk analysis, loss mitigation and operational solutions that support the mortgage industry.  Clayton's services encompass analytics, residential and commercial loan due diligence, consulting, credit risk management and surveillance, independent pricing, specialized loan servicing, and staffing solutions.  Clayton provides transparency, independence, expertise and quality resources to leading investment & commercial banks, institutional investors, government agencies and service providers internationally. As a market leading participant in the third-party valuation service sector, Clayton's independent pricing affiliate, Clayton IPS, provides accurate third-party, fair market pricing of hard-to-value and other mortgage and asset-backed securities for fixed income managers and investors. Additional information about the full suite of Clayton solutions is available at http://www.clayton.com.

For more information about Compass Analytics, please visit its website at http://www.compass-analytics.com or email kkramer@compass-analytics.com.