Macquarie prices $A315 million PUMA Masterfund P-15 RMBS transaction

23 June 2008

Macquarie Securitisation Limited (MSL), the manager of the PUMA residential mortgage backed securitisation program, today announced that it has priced the $A315 million PUMA Masterfund P-15 bond issue.

The Class A senior notes, to be rated AAA by Standard & Poor’s Ratings Group and AAA by Fitch Ratings, with a face value of $A300 million and a weighted average life of approximately 2.8 years, were priced at a margin of 1.10 per cent (110 basis points) over 1-month BBSW. The $A15 million Class B subordinated notes, representing 4.8 per cent subordination, are not rated. Macquarie Bank was the sole lead manager and arranger for the issue. The issue will settle on 8 July, 2008.

Macquarie’s Head of Mortgages, Frank Ganis said: "We are very pleased with the outcome of this transaction, especially the pricing. We received strong support from investors who recognise the solid underlying collateral and performance of PUMA bonds and saw the transaction as good value. The 100 per cent RBA repo eligibility of the collateral was a strong selling point. This issue is only the second Australian prime RMBS backed by verified income loans to be issued in 2008. The margin of 110bp is an encouraging sign for the market, relative to other similar deals over the past few months and to MSL’s PUMA S-6 stated income RMBS which priced at 180bps in early June."

Mr Ganis added: "The PUMA P-15 bond issue is collateralised by a pool of mortgage loans with a weighted average current loan-to-value ratio of 66 per cent and a weighted average seasoning of 22 months. The pool consists entirely of fully verified income loans. All of our loans have the benefit of mortgage insurance covering 100 per cent of principal and interest on the loans, provided by either Genworth Financial Mortgage Insurance or PMI Mortgage Insurance."

About Macquarie Securitisation Limited

As manager of the PUMA Program, Macquarie Securitisation Limited is a leading Australian issuer of residential mortgage-backed securities. It has raised a total of $A37.8 billion in 41 separate issues since 1993, involving 30 public issues in Australia, five public issues in the European markets and six global issues. PUMA Masterfund P-15 represents the fourth public RMBS transaction for Macquarie Securitisation since the onset of the disruptions in the global capital markets in August 2007.

This release is not an offer of securities for sale in the United States. The notes described above may not be offered or sold in the United States absent registration or an exemption from registration. No public offering of the notes is intended, and any public offering of the notes to be made in the United States would be made by means of a prospectus that may be obtained from the issuer and that will contain detailed information about the trust.

Macquarie Securitisation Limited is not an authorised deposit-taking institution for the purposes of the Banking Act (Cth) 1959, and Macquarie Securitisation Limited's obligations do not represent deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583 542. Macquarie Bank Limited does not guarantee or otherwise provide assurance in respect of the obligations of Macquarie Securitisation Limited.

Macquarie Bank Limited ABN 46 008 583 542 is authorized by The Australian Prudential Regulation Authority in the Commonwealth of Australia and The Financial Services Authority in the United Kingdom, to carry out banking business or to accept deposits in those respective jurisdictions. Macquarie Bank Limited and its related bodies corporate (the Macquarie Bank Group) are not otherwise currently authorised to carry out banking business or to accept deposits in any other countries.

Contact:

Kristen Costandi
Head of Media
Banking and Mortgages
Tel: (+61 2) 8232 6134