Fitch Downgrades Citi's Sedna Siv

Fitch Ratings-

London-04 December 2007: Fitch Ratings has today downgraded
the second priority senior notes issued from the MTN programmes of Sedna Finance
to 'CCC' on Rating Watch Negative (RWN) from 'A' on RWN.
The action affects
USD867m of second priority senior (SPS) notes initially rated 'A' and issued by
Sedna Finance Corporation and Sedna Finance Inc. (Sedna Finance).

The rating action reflects Fitch's view that the
probability that the SPS notes will incur a loss has significantly increased
over the recent weeks with the reduction in the average asset price falling to
below 97%. Sedna finance's NAV of its SPS notes and subordinated notes is now
54%. Although the manager has reduced the leverage in Sedna to 9 times from 13.5
in July 2007 the realised losses have nearly eroded all protection
provided by the unrated capital tranche. If the manager sold $US0.5Bn
of assets at the current market average price then the SPS notes would incur a
realised loss. While Fitch recognises that Sedna is funded to the end of January
2008 there will be significant refinancing requirements that may need to be
covered by the sale of assets.