Details on R4Mortgage Partners in-home assessment, referral, educational, and organizational solutions for troubled borrowers. The missing link in the value chain for servicers with troubled borrowers.

1. R4 Mortgage PartnersRealizing Restructured Residential Revenue Innovative, In-Home, Customized Assessment, Referral, Educational and Organizational Solutions Preventing Foreclosures Increasing Investor Returns

2. Ocwen: Industry Supremacy in Mortgage Servicing Subprime portfolio approximately 350,000 mortgages Aggregate unpaid balance $44 billion 21% redefault rate (industry average 37%)

3. Ocwen’s Supremacy Leads to 79% of Homeowners Staying Current on their Restructured Loan Payments Proprietary Software Expert Systems Director of Consumer Psychology Director of Early Intervention

4. Non-Income Barriers to Loan Success (NIBLS) Physical/Medical Barriers Cognitive Barriers Educational Barriers Organizational Barriers Transportation Barriers Cash Flow Barriers Emotional Barriers Motivational Barriers Addiction Barriers

5. Ocwen’s Restructuring Process Only Works if Three Conditions are Met #1: Homeowners have adequate income to pay restructured loan #2: Homeowners wish to continue to pay restructured loan #3: Homeowners are able to complete the Bill Paying Process

6. Bill Paying Process

7. R4’s Homeowner Groupings Group #1: Homeowners who have had a fundamental change in their economic situation since their restructuring. They no longer have adequate financial resources to pay off their restructured loan. Group #2: Homeowners who thought they were committed to keeping their home, and requested a restructured loan, but, have since decided that they do not wish to be “house poor”. They intend upon defaulting.

8. R4’s Homeowner Groupings Group #3: Homeowners who have Non-Income Barriers to Loan Success, (NIBLS). These homeowners have adequate income. Physical, psychological, or educational barriers prevent them from successfully completing the bill paying process on their own. Appropriate referrals would allow these homeowners to remain current on their loans. Group #4: Homeowners facing numerous and/or highly complex NIBLS. These homeowners represent our core business.

9. Real Stories – Confusion Affects Bill Payment Process – Results in Death Ninety-three year old Marvin Schur was a widowed veteranwithover $500,000 in the bank and enough cash in his home to pay his electric bill. Mr. Schur was mildly confused. He collected, but did not open his mail. A “limiter” was placed on his electric meter after written warnings sent to the home were ignored. On January 27, 2009, Mr. Schurfroze to death in his own home.

10. Real Stories – Poor Decision Making/Limited Comprehension of Impact of Overdraft Fees On January 8, 2009, Lizzie Bullock started her evening with $50 in her checking account, and plans to go out with friends. Using her debit card, she spent $7.50 on a movie, $20 on dinner and $6.00 for ice cream, for a total of $33.50, leaving her with $16.50 in her account. Parking cost $1.00. She did not have the $1.00 in cash to get out of the garage. The garage attendant could not take a debit card. She walked to the nearby ATM, which had a transaction fee of $2.50. The smallest withdrawal option was $20. Instead of calling someone for a ride home or borrowing from a friend, she took out the $20, activating a $35 overdraft fee. She left the garage with a balance of negative $41.

11. Real Stories – Educational Deficits Interrupt Bill Payment Process The Center for Economic and Entrepreneurial Literacy surveyed 1004 adults living in private households in the continental United States in 12/08. One in Three Americans Reported Late Payment on a Bill Despite Having Sufficient Funds to Pay 65% of respondents could not identify what would remain if you subtracted 25% from 8. 75% did not know that when in need of emergency cash, bouncing a check was more expensive than wire transfer, credit card advance or payday loans.

12. R4 Mortgage Partners Superbly trained staff meet with homeowner inside the home and conducts a complete assessment, identifying NIBLS placing homeowner at risk for redefault. A plan to reduce/eliminate NIBLS is created and a partnership agreement made between R4 and the homeowner. R4 staff serve as mentors, motivators, educators and resource providers. The homeowner perceives Ocwen and R4 as working together for the homeowners success. Appropriate referrals are made for supports as needed (medication management, guardianship, transportation). Education and skills training is conducted on a weekly basis, in the home, for up to six months, with the sole focus being retaining home ownership and keeping mortgage payments current.

13. Ocwen’s Goals Identify and reach at risk borrowers Structure highly customized payment plans and loan modifications Prevent foreclosures World Class Training Six Sigma Quality Improvement Scalable, measurable success The best possible return for investors

14. Better Information for Ocwen R4 Screening tools minimize loss, identify and target loans best suited for maximum success In-home, in-person, data collection vs. call center and/or self report forms yields increased accuracy Weekly quantitative feedback provides opportunity to further refine Ocwen’s vigorous modification formula

15. Foreclosures Leap to Record Highs March 5, 2009 According to the NY Times, 48% of the nation’s homeowners who have a sub-prime, adjustable rate mortgage are behind on their payments, or in foreclosure. 5.4 million American homeowners with a mortgage of any kind, or nearly 12%, were at least one month late or in foreclosure at the close of 2008.

16. Obama Administration Mortgage Modification Plan Provides cash incentives to modify mortgages and avoid foreclosure. Enacting policy promoting a secondary market for modified loans. Increased competition in the mortgage servicing marketplace

17. R4 Mortgage Partners Realizing Restructured Residential Revenues Ocwen’s partner in creating added value for investors Measureable, Scalable Enhancing Corporate Citizenship

18. R4 Mortgage Partners We are for increasing investors revenue We are for homeowners keeping the equity in their homes We are for maximizing Ocwen’s return on Obama administration policy We are for success R4