DBRS Rates Goldman Sachs Auto Loan Trust 2005-1

Dominion Bond Rating Service (“DBRS”) has rated Goldman Sach’s GS Auto Loan Trust 2005-1 (“GS ALT 2005-1”) transaction as noted above. Receivables have been originated by three different parties: 59% by Ohio Savings Bank (“OSB”), 32% by Ford Motor Credit Corp (“FMCC”), and 9% by The Huntington National Bank (“Huntington”). FMCC and Huntington have transferred the receivables on a servicer-retained basis while OSB transferred the receivables on a servicing-released basis. OSB’s loans will be serviced by Systems & Services Technologies (“SST”).

The ratings on the notes reflect the following factors: (1) Credit support for each class that is provided by subordination, overcollateralization, and excess spread. The AAA credit enhancement includes 10.0% subordination from Class B, C, and D Notes. (2) The high credit quality of the receivables originated by each originator. (3) Mitigation of servicing disruption to the entire pool; if any one of the three servicers defaulted, the remaining receivables in the pool serviced by the two non-defaulted servicers would not be exposed to a potential servicing disruption. (4) The percentage (68.4%) of the receivables that finance new vehicles. (5) Longer maturity of the aggregate receivable base where 33% of the pool has a remaining term of greater than 60 months. DBRS views longer term loans (61 months or more) to be higher risk loans. (6) The track record of Goldman Sachs Mortgage Company (“GSMC”) as a “master servicer.” GSMC acts as the “master servicer” while the receivable servicers act as the primary interface between the loan and the consumer. Additionally, Goldman Sachs Group Inc. guarantees the performance of the master servicer.

The transaction includes performance triggers based on the pool’s expected delinquency levels, net losses, and excess spread levels. Each of these three triggers is curable and measured over a three-month period.

OSB has originated 58% of the receivables in the aggregate pool. OSB has been originating automobile loans since 2000, and the portfolio has grown rapidly. However, aside from the initial years in the auto-lending business, the portfolio has not been adequately tested in an economic downturn and the majority of loans have not run through to maturity. Thus, macroeconomic risk always exists, especially if the economy deteriorates.