Financial Times FT.com

Probe uncovers concern over ratings quality

By Joanna Chung in New York

Published: July 9 2008 01:09 | Last updated: July 9 2008 01:09

Some analysts at the top credit rating agencies were sceptical about the quality of the ratings they assigned to bonds backed by subprime mortgages, according to internal communications uncovered in a regulatory probe.

In one e-mail from April last year, an analyst expressed concern that the firm’s model did not capture “half” of the deal’s risk, but “it could be structured by cows and we would rate it”.

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