Overall ranking: ABOVE AVERAGE The ABOVE AVERAGE overall ranking assigned to Bluestone Servicing Pty Ltd. and Bluestone Servicing NZ Ltd. (collectively Bluestone Servicing) as prime and subprime residential mortgage loan servicers reflects the companies' experienced management team and high competence in the use of technology in their servicing operations. Moderating factors are the companies' risk-management and compliance framework/resources and audit framework/resources, which we believe are adequate for its business, but are not strong compared with industry best practices. Bluestone Servicing's key servicer strengths include: Well-documented policies and procedures, which are updated regularly. Strong information technology capability, with a fully integrated origination and servicing system. Comprehensive business continuity and disaster recovery plans and testing program. Both servicing companies have the same
