FC CBO II

FC CBO II is a $1 billion collateralized bond obligation that originally closed in September 1998. We were selected as the replacement manager of FC CBO II in February 2004, when the capital structure had delevered to $747 million and performing collateral totaled $615 million. The FC CBO II portfolio is invested in high yield bonds. Trading flexibility is limited to defaulted and equity securities.

Closing Date   September 9, 1998
Manager Replacement Date   February 18, 2004
Distribution Dates   March 9 and September 9
End of Non-Call Period   September 7, 2001
End of Reinvestment Period   September 5, 2003
Maturity Date   September 9, 2010
Type
Cash Flow CBO

Underwriter
Goldman Sachs

Rating Agencies
Moody's, S&P

Trustee
Bank of New York

Portfolio Manager
Joe Lemanowicz

CDO Analyst
Edwin Wilches
+1 973 367 3447





  Tranche   Initial Ratings   Ratings on Replacement Date   Current Ratings   Original Principal Amount ($)   Balance on Replacement Date ($)   Balance After 3/9/09 Payment Date ($)   Interest Rate  
  Class A Notes   Aa2/AA  A2/AA-  Aaa/AAA  770,000,000 501,323,533 0   6M LIBOR + 0.50%  
  Class B Notes   Baa2/BBB-  B2/B+  B2/B  65,000,000 66,655,845 6,260,570   6M LIBOR + 1.35%  
  Class C Notes   Ba3  C  C  60,000,000 74,399,959 60,000,000   11.05%  
  Class D-1 & D-2 Notes   NR  NR  NR  60,000,000 60,000,000 60,000,000   Excess Interest  
  Class D-3 & D-4 Notes   NR  NR  NR  45,000,000 45,000,000 45,000,000   Excess Interest  
Total         1,000,000,000   747,379,336   171,260,570    
  NR = not rated, N/A = not applicable






Prudential Investment Management is the primary asset management business of Prudential Financial, Inc. Prudential Fixed Income is Prudential Investment Management's largest public fixed income asset management unit and operates through Prudential Investment Management, Inc. (PIM), a registered investment advisor. Prudential Financial and the Rock logo are registered service marks of The Prudential Insurance Company of America and its affiliates.