EX-1 33 ms06h412.htm
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
External Parties Table of Contents
Page
Seller
Morgan Stanley 1. Certificate Payment Report 2
2. Collection Account Report 4
Servicer(s) 3. Credit Enhancement Report 6
Wells Fargo 4. Collateral Report 7
5. Delinquency Report 10
Underwriter(s) 6. REO Report 11
Morgan Stanley 7. Foreclosure Report 12
8. Prepayment Report 20
Swap Counterparty 9. Prepayment Detail Report 23
MorganStanleyCapitalSrv Inc 10. Realized Loss Report 29
11. Realized Loss Detail Report 32
12. Triggers and Adj. Cert. Report 33
13. Additional Certificate Report 34
14. Other Related Information 35
Total Number of Pages 35
Dates Contacts
Cut-Off Date: June 01, 2006 Marion Hogan
Close Date: June 23, 2006 Administrator
First Distribution Date: July 25, 2006 (714) 247-6282
marion.c.hogan@db.com
Address:
Distribution Date: December 26, 2006
1761 East St. Andrew Place, Santa Ana, CA 92705
Record Date: November 30, 2006
Factor Information: (800) 735-7777
December 22, 2006 Main Phone Number: (714) 247-6000
Determination Date: December 18, 2006
https://www.tss.db.com/invr
Page 1 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Certificate Payment Report
Current Period Distribution - REMIC IV
Prior Current
Class Original Principal Total Realized Deferred Principal
Class Type Cur Face Value Balance Interest Principal Distribution Loss Interest Balance
(1) (2) (3) (4)=(2)+(3) (5) (6) (7)=(1)-(3)-(5)+(6)
A-1 SR $ 859,060,000.00 640,495,346.17 2,765,516.57 50,955,038.43 53,720,555.00 0.00 0.00 589,540,307.74
A-2 SR $ 261,740,000.00 261,740,000.00 1,142,785.92 0.00 1,142,785.92 0.00 0.00 261,740,000.00
A-3 SR $ 370,990,000.00 370,990,000.00 1,634,726.21 0.00 1,634,726.21 0.00 0.00 370,990,000.00
A-4 SR $ 238,440,000.00 238,440,000.00 1,067,946.27 0.00 1,067,946.27 0.00 0.00 238,440,000.00
M-1 MEZ $ 74,523,000.00 74,523,000.00 336,181.53 0.00 336,181.53 0.00 0.00 74,523,000.00
M-2 MEZ $ 65,883,000.00 65,883,000.00 298,266.98 0.00 298,266.98 0.00 0.00 65,883,000.00
M-3 MEZ $ 39,962,000.00 39,962,000.00 181,238.77 0.00 181,238.77 0.00 0.00 39,962,000.00
M-4 MEZ $ 34,561,000.00 34,561,000.00 157,857.37 0.00 157,857.37 0.00 0.00 34,561,000.00
M-5 MEZ $ 35,642,000.00 35,642,000.00 163,656.18 0.00 163,656.18 0.00 0.00 35,642,000.00
M-6 MEZ $ 32,401,000.00 32,401,000.00 150,862.66 0.00 150,862.66 0.00 0.00 32,401,000.00
B-1 MEZ $ 30,241,000.00 30,241,000.00 150,306.17 0.00 150,306.17 0.00 0.00 30,241,000.00
B-2 MEZ $ 28,081,000.00 28,081,000.00 144,094.53 0.00 144,094.53 0.00 0.00 28,081,000.00
B-3 MEZ $ 21,601,000.00 21,601,000.00 125,111.79 0.00 125,111.79 0.00 0.00 21,601,000.00
X NOF $ 66,967,243.00 66,962,859.53 3,963,652.58 0.00 3,963,652.58 0.00 0.00 66,962,859.53
P NOF $ 0.00 0.00 846,408.15 0.00 846,408.15 0.00 0.00 0.00
R EXE $ 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Total 2,160,092,243.00 1,941,523,205.70 13,128,611.68 50,955,038.43 64,083,650.11 0.00 0.00 1,890,568,167.27
Interest Accrual Detail Current Period Factor Information per $1,000 of Original Face-
Orig. Principal Prior Current
Period Period (with Notional) Principal Total Principal
Class Starting Ending Method Cusip Balance Balance Interest Principal Distribution Balance
(1) (1) (2) (3) (4)=(2)+(3) (5)
A-1 11/27/06 12/25/06 A-Act/360 61748BAA2 859,060,000.00 745.576963 3.219236 59.314877 62.534113 686.262086
A-2 11/27/06 12/25/06 A-Act/360 61748BAB0 261,740,000.00 1,000.000000 4.366111 0.000000 4.366111 1,000.000000
A-3 11/27/06 12/25/06 A-Act/360 61748BAC8 370,990,000.00 1,000.000000 4.406389 0.000000 4.406389 1,000.000000
A-4 11/27/06 12/25/06 A-Act/360 61748BAD6 238,440,000.00 1,000.000000 4.478889 0.000000 4.478889 1,000.000000
M-1 11/27/06 12/25/06 A-Act/360 61748BAE4 74,523,000.00 1,000.000000 4.511111 0.000000 4.511111 1,000.000000
M-2 11/27/06 12/25/06 A-Act/360 61748BAF1 65,883,000.00 1,000.000000 4.527222 0.000000 4.527222 1,000.000000
M-3 11/27/06 12/25/06 A-Act/360 61748BAG9 39,962,000.00 1,000.000000 4.535278 0.000000 4.535278 1,000.000000
M-4 11/27/06 12/25/06 A-Act/360 61748BAH7 34,561,000.00 1,000.000000 4.567500 0.000000 4.567500 1,000.000000
M-5 11/27/06 12/25/06 A-Act/360 61748BAJ3 35,642,000.00 1,000.000000 4.591667 0.000000 4.591667 1,000.000000
M-6 11/27/06 12/25/06 A-Act/360 61748BAK0 32,401,000.00 1,000.000000 4.656111 0.000000 4.656111 1,000.000000
B-1 11/27/06 12/25/06 A-Act/360 61748BAL8 30,241,000.00 1,000.000000 4.970278 0.000000 4.970278 1,000.000000
B-2 11/27/06 12/25/06 A-Act/360 61748BAM6 28,081,000.00 1,000.000000 5.131389 0.000000 5.131389 1,000.000000
B-3 11/27/06 12/25/06 A-Act/360 61748BAN4 21,601,000.00 1,000.000000 5.791944 0.000000 5.791944 1,000.000000
X 11/25/06 12/24/06 A-30/360 MS06H4101 66,967,243.00 999.934543 59.187931 0.000000 59.187931 999.934543
P 11/25/06 12/24/06 A-30/360 MS06H4102 0.00 0.000000 0.000000 0.000000 0.000000 0.000000
R 11/25/06 12/24/06 A-30/360 MS06H4103 0.00 0.000000 0.000000 0.000000 0.000000 0.000000
Page 2 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Distribution to Date - REMIC IV
Current
Original Unscheduled Scheduled Total Total Realized Deferred Principal
Class Face Value Interest Principal Principal Principal Distribution Loss Interest Balance
(1) (2) (3) (4) (5)=(3)+(4) (6)=(2)+(5) (7) (8) (9)=(1)-(5)-(7)+(8)
A-1 859,060,000.00 20,962,287.71 263,629,055.31 5,890,636.95 269,519,692.26 290,481,979.97 0.00 0.00 589,540,307.74
A-2 261,740,000.00 7,343,267.36 0.00 0.00 0.00 7,343,267.36 0.00 0.00 261,740,000.00
A-3 370,990,000.00 10,504,178.50 0.00 0.00 0.00 10,504,178.50 0.00 0.00 370,990,000.00
A-4 238,440,000.00 6,862,043.97 0.00 0.00 0.00 6,862,043.97 0.00 0.00 238,440,000.00
M-1 74,523,000.00 2,160,092.33 0.00 0.00 0.00 2,160,092.33 0.00 0.00 74,523,000.00
M-2 65,883,000.00 1,916,464.86 0.00 0.00 0.00 1,916,464.86 0.00 0.00 65,883,000.00
M-3 39,962,000.00 1,164,515.84 0.00 0.00 0.00 1,164,515.84 0.00 0.00 39,962,000.00
M-4 34,561,000.00 1,014,270.18 0.00 0.00 0.00 1,014,270.18 0.00 0.00 34,561,000.00
M-5 35,642,000.00 1,051,519.06 0.00 0.00 0.00 1,051,519.06 0.00 0.00 35,642,000.00
M-6 32,401,000.00 969,294.69 0.00 0.00 0.00 969,294.69 0.00 0.00 32,401,000.00
B-1 30,241,000.00 965,612.66 0.00 0.00 0.00 965,612.66 0.00 0.00 30,241,000.00
B-2 28,081,000.00 925,659.64 0.00 0.00 0.00 925,659.64 0.00 0.00 28,081,000.00
B-3 21,601,000.00 803,569.71 0.00 0.00 0.00 803,569.71 0.00 0.00 21,601,000.00
X 66,967,243.00 23,185,413.49 4,271.74 111.28 4,383.02 23,189,796.51 0.00 0.00 66,962,859.53
P 0.00 4,051,620.99 0.00 0.00 0.00 4,051,620.99 0.00 0.00 0.00
R 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Total 2,160,092,243.00 83,879,810.99 263,633,327.05 5,890,748.23 269,524,075.28 353,403,886.27 0.00 0.00 1,890,568,167.27
Interest Detail - REMIC IV
Pass Prior Principal Non- Prior Unscheduled Paid or Current
Through (with Notional) Accrued Supported Unpaid Interest Optimal Deferred Unpaid
Class Rate Balance Interest Interest SF Interest Adjustment Interest Interest Interest
(1) (2) (3) (4) (5)=(1)-(2)+(3)+(4) (6) (7)=(5)-(6)
A-1 5.36000% 640,495,346.17 2,765,516.57 0.00 0.00 0.00 2,765,516.57 2,765,516.57 0.00
A-2 5.42000% 261,740,000.00 1,142,785.92 0.00 0.00 0.00 1,142,785.92 1,142,785.92 0.00
A-3 5.47000% 370,990,000.00 1,634,726.21 0.00 0.00 0.00 1,634,726.21 1,634,726.21 0.00
A-4 5.56000% 238,440,000.00 1,067,946.27 0.00 0.00 0.00 1,067,946.27 1,067,946.27 0.00
M-1 5.60000% 74,523,000.00 336,181.53 0.00 0.00 0.00 336,181.53 336,181.53 0.00
M-2 5.62000% 65,883,000.00 298,266.98 0.00 0.00 0.00 298,266.98 298,266.98 0.00
M-3 5.63000% 39,962,000.00 181,238.77 0.00 0.00 0.00 181,238.77 181,238.77 0.00
M-4 5.67000% 34,561,000.00 157,857.37 0.00 0.00 0.00 157,857.37 157,857.37 0.00
M-5 5.70000% 35,642,000.00 163,656.18 0.00 0.00 0.00 163,656.18 163,656.18 0.00
M-6 5.78000% 32,401,000.00 150,862.66 0.00 0.00 0.00 150,862.66 150,862.66 0.00
B-1 6.17000% 30,241,000.00 150,306.17 0.00 0.00 0.00 150,306.17 150,306.17 0.00
B-2 6.37000% 28,081,000.00 144,094.53 0.00 0.00 0.00 144,094.53 144,094.53 0.00
B-3 7.19000% 21,601,000.00 125,111.79 0.00 0.00 0.00 125,111.79 125,111.79 0.00
X 71.03017% 66,962,859.53 0.00 527.78 0.00 0.00 -527.78 3,963,652.58 0.00
P 0.00000% 0.00 0.00 0.00 0.00 0.00 0.00 846,408.15 0.00
R 0.00000% 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Total 1,941,523,205.70 8,318,550.95 527.78 0.00 0.00 8,318,023.17 13,128,611.68 0.00
Page 3 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Collection Account Report
SUMMARY
Total
Principal Collections 50,955,038.43
Principal Withrawals 0.00
Principal Other Accounts 0.00
TOTAL NET PRINCIPAL 50,955,038.43
Interest Collections 12,726,813.60
Interest Withdrawals -0.00
Interest Other Accounts 538,796.92
Interest Fees -136,998.84
TOTAL NET INTEREST 13,436,222.91
TOTAL AVAILABLE FUNDS FOR DISTRIBUTION 64,083,650.11
PRINCIPAL - COLLECTIONS
Total
Scheduled Principal Received 946,692.83
Prepayments In Full 49,870,961.67
Curtailments 137,383.93
Liquidations 0.00
Insurance Principal 0.00
Repurchased Principal Amounts 0.00
Other Principal 0.00
Total Realized Loss Of Principal -0.00
Delinquent Principal -783,064.37
Advanced Principal 783,064.37
TOTAL PRINCIPAL COLLECTED 50,955,038.43
PRINCIPAL - WITHDRAWALS
SPACE INTENTIONALLY LEFT BLANK
PRINCIPAL - OTHER ACCOUNTS
Total
Closing Deposit 0.00
TOTAL OTHER ACCOUNTS PRINCIPAL 0.00
Page 4 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
INTEREST - COLLECTIONS
Total
Scheduled Interest 13,403,076.46
Liquidation Interest 0.00
Repurchased Interest 0.00
Insurance Interest 0.00
Other Interest 0.00
Relief Act Interest Shortfalls -527.78
Prepayment Interest Shortfalls -32,623.53
Compensating Interest 32,623.53
Delinquent Interest -11,213,285.03
Interest Advanced 10,537,549.95
Interest Loss -0.00
TOTAL INTEREST COLLECTED 12,726,813.60
INTEREST - WITHDRAWALS
Total
Nonrecoverable Advances
TOTAL INTEREST WITHDRAWALS 0.00
INTEREST - OTHER ACCOUNTS
Total
Prepayment Charges 846,408.15
Swap Receipts/(Payments) (307,611.23)
TOTAL INTEREST OTHER ACCOUNTS 538,796.92
INTEREST FEES
Total
Current Servicing Fees 133,232.93
Current Trustee Fees 1,828.27
DB Custodian Fees 275.05
Wells Fargo Custodian Fees -33.76
LaSalle Custodian Fees 1,696.35
TOTAL INTEREST OTHER FEES 136,998.84
Page 5 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Credit Enhancement Report
ACCOUNTS
RESERVE ACCOUNT
Beginning Balance 0.00
Fund Deposits 0.00
Fund Withdrawals 0.00
Ending Account Balance 0.00
INSURANCE
SPACE INTENTIONALLY LEFT BLANK
STRUCTURAL FEATURES
Total
Specified Subordinated Target Amount 66,962,859.53
Subordinated Amount 66,962,859.53
Subordinated Deficiency Amount 0.00
Subordinated Release Amount 0.00
Page 6 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Collateral Report
COLLATERAL
Total
Loan Count:
Original 23,784
Prior 11,152
Prefunding 0
Scheduled Paid Offs -0
Full Voluntary Prepayments -246
Repurchases -0
Liquidations -0
Current 10,906
Principal Balance:
Original 2,160,092,179.47
Prior 1,941,523,205.70
Prefunding 2,160,092,243.00
Scheduled Principal -946,692.83
Partial Prepayments -137,383.93
Full Voluntary Prepayments -49,870,961.67
Repurchases -0.00
Liquidations -0.00
Current 1,890,568,167.27
PREFUNDING
Total
Closing Date Deposit Amount 0.00
Total Original Principal Balance 2,160,092,243.00
Page 7 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
CHARACTERISTICS
Total
Weighted Average Coupon Original 8.30267%
Weighted Average Coupon Prior 8.28558%
Weighted Average Coupon Current 8.27584%
Weighted Average Months to Maturity Original 346
Weighted Average Months to Maturity Prior 342
Weighted Average Months to Maturity Current 341
Weighted Avg Remaining Amortization Term Original 394
Weighted Avg Remaining Amortization Term Prior 390
Weighted Avg Remaining Amortization Term Current 388
Weighted Average Seasoning Original 4.08
Weighted Average Seasoning Prior 8.06
Weighted Average Seasoning Current 9.06
Page 8 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
ARM CHARACTERISTICS
Total
Weighted Average Margin Original 6.66281%
Weighted Average Margin Prior 6.66474%
Weighted Average Margin Current 6.66006%
Weighted Average Max Rate Original 14.58529%
Weighted Average Max Rate Prior 14.56055%
Weighted Average Max Rate Current 14.55151%
Weighted Average Min Rate Original 8.16762%
Weighted Average Min Rate Prior 8.14810%
Weighted Average Min Rate Current 8.13924%
Weighted Average Cap Up Original 1.10787%
Weighted Average Cap Up Prior 1.10469%
Weighted Average Cap Up Current 1.10493%
Weighted Average Cap Down Original 1.10787%
Weighted Average Cap Down Prior 1.10469%
Weighted Average Cap Down Current 1.10493%
SERVICING FEES & ADVANCES
Total
Current Servicing Fees 133,232.93
Delinquent Servicing Fees 675,735.08
TOTAL SERVICING FEES 808,968.02
Compensating Interest -32,623.53
Delinquent Servicing Fees -675,735.08
COLLECTED SERVICING FEES -100,609.42
Aggregate Advances with respect to this Distribution 11,320,614.32
ADDITIONAL COLLATERAL INFORMATION
Total
Net Prepayment Interest Shortfall 0.00
Libor For Current Period 5.320000%
Libor For Next Period 5.350000%
Page 9 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Delinquency Report
TOTAL
< 1 PAYMENT 1 PAYMENT 2 PAYMENTS 3+ PAYMENTS TOTAL
DELINQUENT Balance 77,171,333.96 42,629,902.88 41,557,550.31 161,358,787.15
% Balance 4.08% 2.25% 2.20% 8.53%
# Loans 438 228 240 906
% # Loans 4.02% 2.09% 2.20% 8.31%
FORECLOSURE Balance 1,491,394.91 1,620,839.36 5,351,398.17 63,723,160.04 72,186,792.48
% Balance 0.08% 0.09% 0.28% 3.37% 3.82%
# Loans 9 7 33 288 337
% # Loans 0.08% 0.06% 0.30% 2.64% 3.09%
BANKRUPTCY Balance 330,113.44 126,628.13 694,750.75 4,997,355.09 6,148,847.41
% Balance 0.02% 0.01% 0.04% 0.26% 0.33%
# Loans 3 1 4 29 37
% # Loans 0.03% 0.01% 0.04% 0.27% 0.34%
REO Balance 0.00 0.00 130,014.34 2,121,412.11 2,251,426.45
% Balance 0.00% 0.00% 0.01% 0.11% 0.12%
# Loans 0 0 1 9 10
% # Loans 0.00% 0.00% 0.01% 0.08% 0.09%
TOTAL Balance 1,821,508.35 78,918,801.45 48,806,066.14 112,399,477.55 241,945,853.49
% Balance 0.10% 4.17% 2.58% 5.95% 12.80%
# Loans 12 446 266 566 1,290
% # Loans 0.11% 4.09% 2.44% 5.19% 11.83%
Page 10 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
REO Report
Loan Number Original Stated Current State & First
& Principal Principal Paid to Note LTV at Original Payment
Loan Group Balance Balance Date Rate Origination Term Date
Became REO Property this Period:
1127065766 1 498,734.00 497,582.41 01-Mar-2006 8.850% CA - 90.00% 360 01-Mar-2006
1127065974 1 400,500.00 399,484.96 01-Mar-2006 8.870% AZ - 90.00% 360 01-Feb-2006
1127069593 1 360,000.00 358,967.25 01-Jun-2006 7.774% MO - 80.00% 360 01-Apr-2006
1006212653 1 130,500.00 130,014.34 01-Aug-2006 9.900% IA - 90.00% 360 01-May-2006
1127081829 1 60,300.00 60,103.92 15-May-2006 10.540% TN - 90.00% 360 15-Apr-2006
1127065051 1 105,600.00 104,931.80 05-Jun-2006 7.900% MO - 80.00% 360 05-Mar-2006
1127083286 1 95,310.00 94,962.72 05-Jun-2006 9.990% MO - 90.00% 360 05-Apr-2006
1127083684 1 145,200.00 144,279.37 01-May-2006 7.890% TX - 80.00% 360 01-Apr-2006
1127063304 1 148,500.00 147,783.88 01-Apr-2006 9.240% GA - 90.00% 360 01-Apr-2006
TOTAL 1,944,644.00 1,938,110.65
Became REO Property in a Prior Period:
1127068410 1 315,242.00 313,315.80 01-Apr-2006 8.075% TX - 80.00% 360 01-Apr-2006
TOTAL 315,242.00 313,315.80
TOTAL 2,259,886.00 2,251,426.45
Page 11 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Foreclosure Report
Loan Number Original Stated Current State & First
& Principal Principal Paid to Note LTV at Original Payment
Loan Group Balance Balance Date Rate Origination Term Date
Became Foreclosure Property this Period:
1127072586 1 336,000.00 334,589.71 01-Jul-2006 7.100% CA - 80.00% 360 01-Feb-2006
1127065779 1 412,000.00 411,177.60 01-Jul-2006 9.345% FL - 80.00% 360 01-Mar-2006
1127065912 1 308,000.00 305,748.55 01-Jul-2006 7.720% CA - 80.00% 360 01-Mar-2006
1127065970 1 152,000.00 151,108.19 01-Jul-2006 9.300% MA - 80.00% 360 01-Feb-2006
1127065971 1 28,500.00 28,422.23 01-Jul-2006 12.875% MA - 15.00% 180 01-Feb-2006
1127066008 1 79,800.00 79,602.96 01-Jul-2006 12.875% NJ - 20.00% 180 01-Mar-2006
1127066189 1 180,000.00 178,944.87 01-Jul-2006 8.820% TX - 80.00% 360 01-Mar-2006
1127066287 1 675,000.00 673,207.54 01-Jul-2006 7.990% CA - 90.00% 360 01-Apr-2006
1127066866 1 198,400.00 197,312.90 01-Jul-2006 9.150% NJ - 80.00% 360 01-Mar-2006
1127066960 1 296,000.00 295,094.48 01-Jul-2006 7.875% CA - 80.00% 360 01-Mar-2006
1127067129 1 321,600.00 320,908.39 01-Jul-2006 8.720% NJ - 79.92% 360 01-Apr-2006
1127067242 1 152,648.00 152,648.00 01-Jun-2006 6.995% IL - 80.00% 360 01-Apr-2006
1127067330 1 135,850.00 135,192.53 01-Jun-2006 9.750% NY - 95.00% 360 01-Mar-2006
1127067412 1 236,000.00 235,607.98 01-Jul-2006 9.595% AZ - 80.00% 360 01-Apr-2006
1127067454 1 276,250.00 275,513.32 01-Jul-2006 8.375% CA - 85.00% 360 01-Mar-2006
1127067904 1 504,000.00 502,661.65 01-Jul-2006 7.990% CA - 80.00% 360 01-Apr-2006
1127068050 1 70,000.00 69,831.90 01-Jul-2006 12.500% VA - 20.00% 180 01-Apr-2006
1127068101 1 389,600.00 387,276.10 01-Jul-2006 8.195% CA - 80.00% 360 01-Apr-2006
1127068140 1 296,000.00 295,116.77 01-Jul-2006 7.590% CA - 80.00% 360 01-Apr-2006
1127068344 1 143,200.00 142,495.81 01-Aug-2006 9.145% TX - 80.00% 360 01-Apr-2006
1127068516 1 277,600.00 276,708.81 01-Jul-2006 7.320% FL - 80.00% 360 01-Apr-2006
1127068581 1 199,200.00 198,158.34 01-Jul-2006 8.845% IL - 80.00% 360 01-Apr-2006
1127068650 1 292,000.00 290,564.06 01-Jul-2006 9.145% FL - 80.00% 360 01-Apr-2006
1127068726 1 620,000.00 617,131.29 01-Jul-2006 9.440% NJ - 80.00% 360 01-Apr-2006
1127068867 1 296,000.00 294,346.37 01-Jul-2006 8.520% NJ - 80.00% 360 01-Apr-2006
1127069298 1 356,400.00 355,622.32 01-Jul-2006 8.670% CA - 81.18% 360 01-Apr-2006
1127069340 1 64,000.00 63,734.43 01-Aug-2006 10.550% IL - 20.00% 180 01-Apr-2006
1127069351 1 284,000.00 283,069.84 01-Jul-2006 7.250% CA - 80.00% 360 01-Apr-2006
1127069405 1 15,000.00 14,944.45 01-Jul-2006 10.500% MO - 27.27% 180 01-Apr-2006
1127069559 1 272,000.00 270,480.44 01-Jul-2006 8.520% FL - 80.00% 360 01-Apr-2006
1127069621 1 124,000.00 123,317.75 01-Jul-2006 8.595% MT - 80.00% 360 01-Apr-2006
1127069642 1 528,941.00 528,143.70 01-Jul-2006 9.920% CA - 80.00% 360 01-Apr-2006
1127069709 1 319,600.00 318,821.41 01-Jul-2006 8.290% CA - 80.00% 360 01-Apr-2006
1127069907 1 391,992.00 390,937.61 01-Jul-2006 7.945% CA - 80.00% 360 01-Apr-2006
1127069974 1 316,000.00 313,917.56 01-Jul-2006 7.695% NY - 80.00% 360 01-Apr-2006
1127070008 1 210,800.00 209,759.12 01-Jun-2006 9.125% FL - 85.00% 360 01-Apr-2006
1127070238 1 144,000.00 143,482.81 01-Jul-2006 7.165% IL - 80.00% 360 01-Apr-2006
1127070290 1 760,500.00 757,024.73 01-Apr-2006 9.500% CA - 90.00% 360 01-Apr-2006
1127070329 1 536,750.00 535,957.75 01-Jul-2006 9.990% CA - 95.00% 360 01-Apr-2006
1127070472 1 117,600.00 117,064.83 01-Jul-2006 9.520% ID - 80.00% 360 01-Apr-2006
1127077007 1 114,750.00 114,158.54 01-Mar-2006 9.925% IA - 85.00% 360 01-Feb-2006
1005427362 1 270,000.00 268,705.41 01-Jul-2006 8.675% CA - 65.85% 360 01-May-2006
1127073946 1 544,000.00 541,390.00 01-Jul-2006 9.600% CO - 80.00% 360 01-Apr-2006
Page 12 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Loan Number Original Stated Current State & First
& Principal Principal Paid to Note LTV at Original Payment
Loan Group Balance Balance Date Rate Origination Term Date
1127072640 1
260,550.00 260,104.71 01-Jun-2006 9.500% OR - 90.00% 360 01-Apr-2006
1127072657 1 85,504.90 85,122.20 01-Jul-2006 9.600% OH - 85.00% 360 01-Apr-2006
1127075127 1 452,500.00 450,836.23 01-Jul-2006 11.050% CA - 71.60% 360 01-Mar-2006
1127072731 1 467,500.00 466,894.96 01-Jul-2006 10.425% NJ - 85.00% 360 01-Apr-2006
1006263802 1 70,400.00 70,193.05 01-Jul-2006 11.750% NY - 80.00% 360 01-May-2006
1127073683 1 480,000.00 478,938.72 01-Jul-2006 8.625% CA - 80.00% 360 01-Apr-2006
1006283103 1 674,500.00 674,499.97 01-Jul-2006 7.350% CA - 95.00% 360 01-Apr-2006
1127072803 1 61,200.00 61,099.90 01-Jul-2006 9.650% MI - 90.00% 360 01-Apr-2006
1127072849 1 250,000.00 249,435.11 01-Jul-2006 8.550% FL - 73.53% 360 01-Apr-2006
1127074488 1 214,650.00 213,654.83 01-Jul-2006 9.450% CT - 90.00% 360 01-Apr-2006
1006355017 1 327,250.00 326,094.54 01-Jul-2006 10.150% CA - 85.00% 360 01-May-2006
1127072860 1 441,000.00 440,086.96 01-Jul-2006 8.850% CA - 90.00% 360 01-Apr-2006
1127074493 1 382,500.00 380,312.42 01-Jul-2006 8.400% CA - 90.00% 360 01-Apr-2006
1127074495 1 122,000.00 121,272.93 01-Jul-2006 8.200% VA - 69.71% 360 01-Apr-2006
1006364668 1 215,000.00 214,045.31 01-Jul-2006 9.050% MD - 74.91% 360 01-May-2006
1127076558 1 60,000.00 59,709.76 01-Jul-2006 9.225% MI - 58.82% 360 01-Apr-2006
1127075518 1 310,250.00 309,678.94 01-May-2006 9.250% TX - 85.00% 360 01-Apr-2006
1127072899 1 387,200.00 386,543.12 01-Jul-2006 9.525% FL - 80.00% 360 01-Apr-2006
1127076628 1 111,200.00 110,520.54 01-Jul-2006 8.075% OH - 80.00% 360 01-Apr-2006
1127072917 1 212,000.00 211,999.94 01-Jul-2006 8.675% GA - 80.00% 360 01-Apr-2006
1127074676 1 502,200.00 502,200.00 01-Jul-2006 8.250% CA - 90.00% 360 01-Apr-2006
1006462044 1 72,000.00 71,691.56 01-Jul-2006 9.225% OH - 90.00% 360 01-May-2006
1127074734 1 103,700.00 102,928.22 01-Jul-2006 7.075% IN - 85.00% 360 01-Apr-2006
1127074746 1 97,650.00 97,219.63 01-Oct-2006 9.675% MO - 90.00% 360 01-Apr-2006
1127075594 1 224,000.00 223,605.63 01-May-2006 9.400% NV - 80.00% 360 01-Apr-2006
1127076808 1 124,800.00 124,144.66 01-Apr-2006 8.825% NE - 80.00% 360 01-Apr-2006
1006545312 1 175,500.00 174,641.49 01-Jul-2006 8.775% PA - 75.00% 360 01-May-2006
1006599521 1 39,300.00 39,214.49 01-May-2006 12.950% WA - 20.00% 360 01-Apr-2006
1006761818 1 41,000.00 40,921.15 01-Jun-2006 12.950% CO - 20.00% 360 01-May-2006
1006782378 1 388,000.00 386,017.73 01-Jul-2006 7.990% CA - 80.00% 360 01-May-2006
1127064307 1 200,000.00 198,746.51 01-Jul-2006 8.490% VA - 80.00% 360 01-Mar-2006
1127063818 1 104,000.00 103,345.90 01-Jul-2006 7.940% NC - 80.00% 360 01-Apr-2006
1127064439 1 155,000.00 154,127.62 23-Jul-2006 8.490% VA - 80.31% 360 23-Mar-2006
1127063265 1 122,400.00 121,732.55 23-Jun-2006 8.640% SC - 85.00% 360 23-Mar-2006
1127082557 1 130,500.00 129,976.37 06-Jul-2006 9.540% VA - 75.00% 360 06-Apr-2006
1127063327 1 78,400.00 77,882.81 01-Jul-2006 7.690% SC - 80.00% 360 01-Apr-2006
1127082619 1 110,000.00 109,516.79 01-Jul-2006 9.690% TN - 80.00% 360 01-Apr-2006
1127064191 1 133,360.00 132,522.86 17-Jul-2006 7.940% SC - 80.00% 360 17-Mar-2006
1127064028 1 93,600.00 93,148.61 13-Apr-2006 9.240% NC - 80.00% 360 13-Mar-2006
1127081803 1 93,210.00 92,755.27 24-Jul-2006 8.590% SC - 80.00% 360 24-Apr-2006
1127081827 1 67,200.00 66,837.29 16-Jul-2006 8.090% MS - 80.00% 360 16-Apr-2006
1127081880 1 144,000.00 143,297.47 01-May-2006 8.590% NC - 80.00% 360 01-May-2006
1127082772 1 192,000.00 191,558.53 13-Jul-2006 8.490% NJ - 80.00% 360 13-Mar-2006
1127082819 1 113,600.00 113,098.81 20-Jul-2006 9.090% FL - 80.00% 360 20-Apr-2006
1127063315 1 81,000.00 80,562.82 01-Jul-2006 8.690% IN - 90.00% 360 01-Apr-2006
1127064646 1 76,720.00 76,247.89 10-Apr-2006 8.040% IN - 80.00% 360 10-Mar-2006
1127063499 1 118,400.00 117,618.94 15-Jul-2006 7.690% IN - 80.00% 360 15-Mar-2006
Page 13 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Loan Number Original Stated Current State & First
& Principal Principal Paid to Note LTV at Original Payment
Loan Group Balance Balance Date Rate Origination Term Date
1127081977 1
96,000.00 95,439.84 01-Jun-2006 7.740% IL - 80.00% 360 01-May-2006
1127064700 1 138,295.00 137,548.57 08-Jul-2006 8.690% FL - 85.00% 360 08-Mar-2006
1127063909 1 139,500.00 138,791.53 01-Jul-2006 9.770% WI - 90.00% 360 01-Apr-2006
1127083008 1 157,050.00 156,859.58 01-Jul-2006 10.640% IL - 90.00% 360 01-Apr-2006
1127083074 1 100,000.00 99,484.69 01-Jul-2006 8.320% KS - 80.00% 360 01-May-2006
1127064170 1 55,880.00 55,613.21 23-Jul-2006 9.290% MI - 80.00% 360 23-Mar-2006
1127064888 1 118,400.00 117,666.68 15-Jul-2006 8.590% MI - 80.00% 360 15-Mar-2006
1127083119 1 110,500.00 109,841.17 08-Jul-2006 7.590% MI - 85.00% 360 08-Apr-2006
1127083142 1 166,400.00 165,427.63 07-Jul-2006 7.940% MI - 80.00% 360 07-Apr-2006
1127082126 1 100,800.00 100,313.21 17-Jul-2006 8.640% MI - 80.00% 360 17-Apr-2006
1127082147 1 145,800.00 145,013.11 01-Jul-2006 8.090% CT - 74.77% 360 01-May-2006
1127084129 1 95,600.00 95,169.09 01-Jul-2006 9.390% IL - 80.00% 360 01-May-2006
1127063547 1 103,950.00 103,359.79 01-Jul-2006 8.440% MO - 90.00% 360 01-Apr-2006
1127083249 1 78,000.00 77,592.09 01-Jun-2006 8.840% OK - 80.00% 360 01-Apr-2006
1127082194 1 53,550.00 53,405.61 20-Jul-2006 11.410% MO - 85.00% 180 20-Apr-2006
1127083337 1 404,000.00 401,341.27 07-Jul-2006 7.369% MD - 80.00% 360 07-Apr-2006
1127083342 1 145,600.00 145,140.43 15-Jul-2006 10.840% WV - 80.00% 360 15-Apr-2006
1127082226 1 209,816.00 209,111.61 01-Jul-2006 7.160% WA - 80.00% 360 01-Apr-2006
1127065195 1 175,000.00 174,055.43 08-Jul-2006 8.690% FL - 70.00% 360 08-Mar-2006
1127065196 1 66,400.00 66,059.40 16-Jun-2006 8.940% FL - 79.05% 360 16-Mar-2006
1127083442 1 138,400.00 137,710.97 05-Apr-2006 8.490% FL - 80.00% 360 05-Apr-2006
1127084203 1 270,000.00 269,709.68 05-Jul-2006 10.180% FL - 67.50% 360 05-May-2006
1127083513 1 240,500.00 239,321.95 01-Jul-2006 8.570% AZ - 65.00% 360 01-May-2006
1127065327 1 128,000.00 127,221.66 01-Jul-2006 8.640% WI - 79.50% 360 01-Mar-2006
1127063615 1 160,200.00 159,450.97 01-Jul-2006 9.390% IA - 89.50% 360 01-Apr-2006
1127082321 1 50,000.00 49,825.85 01-Jul-2006 10.790% MN - 76.92% 180 01-Apr-2006
1127083565 1 62,000.00 61,706.58 01-Jul-2006 8.740% IA - 80.00% 360 01-May-2006
1127084270 1 104,000.00 103,469.77 01-Jul-2006 7.690% IA - 80.00% 360 01-Jun-2006
1127065455 1 70,400.00 69,921.59 01-Jul-2006 7.540% CA - 80.00% 360 01-Apr-2006
1127065510 1 74,560.00 74,133.96 01-Jun-2006 8.420% TX - 80.00% 360 06-Mar-2006
1127063648 1 50,000.00 49,756.36 23-Jul-2006 9.190% IA - 75.76% 360 23-Mar-2006
1127083705 1 128,037.00 127,405.98 01-Jul-2006 8.540% TX - 80.00% 360 01-May-2006
1127083707 1 92,000.00 91,455.20 01-Jul-2006 8.590% TX - 80.00% 360 01-Apr-2006
1127082428 1 90,000.00 89,649.99 20-Jul-2006 9.690% GA - 90.00% 360 20-Apr-2006
1127082452 1 243,270.00 242,034.99 01-Jul-2006 8.990% NJ - 90.00% 360 01-Apr-2006
1127063591 1 252,253.00 250,761.72 01-Jul-2006 8.240% MD - 87.89% 360 01-Apr-2006
TOTAL 26,426,886.90 26,327,279.95
Became Foreclosure Property in a Prior Period:
1127065956 1 42,500.00 42,283.34 01-Jun-2006 8.970% MI - 85.00% 360 01-Apr-2006
1127049704 1 213,800.00 211,464.03 01-Jun-2006 7.125% MA - 85.52% 360 01-Mar-2006
1127066237 1 560,000.00 558,546.63 01-Jun-2006 8.070% CA - 79.75% 360 01-Apr-2006
1127066292 1 648,000.00 647,015.89 01-Jul-2006 9.895% WA - 90.00% 360 01-Apr-2006
1127066312 1 294,500.00 293,771.30 01-Jun-2006 9.295% FL - 95.00% 360 01-Mar-2006
1127066406 1 77,980.00 77,705.36 01-Jun-2006 11.250% CA - 20.00% 180 01-Mar-2006
1127066724 1 528,440.00 524,484.07 01-Jun-2006 7.045% DC - 80.00% 360 01-Apr-2006
1127066786 1 528,000.00 526,453.32 01-Jun-2006 7.645% CA - 80.00% 360 01-Apr-2006
Page 14 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Loan Number Original Stated Current State & First
& Principal Principal Paid to Note LTV at Original Payment
Loan Group Balance Balance Date Rate Origination Term Date
1127066796 1
103,309.00 102,784.49 01-Oct-2006 9.520% TX - 85.00% 360 01-Mar-2006
1127066868 1 49,600.00 49,477.57 01-Jul-2006 12.875% NJ - 20.00% 180 01-Mar-2006
1127066870 1 519,920.00 516,688.86 01-Jun-2006 7.990% CA - 80.00% 360 01-Apr-2006
1127066988 1 214,400.00 214,400.00 01-Jun-2006 7.670% CA - 80.00% 360 01-Apr-2006
1127067028 1 237,500.00 236,673.68 01-Jun-2006 7.420% CT - 95.00% 360 01-Mar-2006
1127067060 1 480,000.00 478,688.63 01-Mar-2006 8.270% CA - 80.00% 360 01-Mar-2006
1127067316 1 507,200.00 505,737.20 01-Jun-2006 7.700% AZ - 80.00% 360 01-Apr-2006
1127067344 1 536,000.00 534,880.47 01-Jul-2006 8.820% FL - 80.00% 360 01-Apr-2006
1127067358 1 219,600.00 219,077.13 01-May-2006 8.745% MD - 90.00% 360 01-Mar-2006
1127067448 1 414,000.00 413,044.10 01-Oct-2006 8.850% CA - 90.00% 360 01-Mar-2006
1127067480 1 280,000.00 279,303.66 01-Jun-2006 8.595% VA - 80.00% 360 01-Mar-2006
1127067487 1 116,000.00 115,290.53 01-Jun-2006 8.070% IL - 80.00% 360 01-Apr-2006
1127067717 1 608,000.00 606,360.87 01-Jun-2006 8.320% CA - 95.00% 360 01-Mar-2006
1127067732 1 400,000.00 398,970.98 01-Jun-2006 8.500% CA - 80.00% 360 01-Mar-2006
1127067758 1 180,500.00 180,199.88 01-Sep-2006 10.095% TX - 95.00% 360 01-Mar-2006
1127067835 1 592,000.00 590,228.59 01-Aug-2006 7.570% CA - 80.00% 360 01-Apr-2006
1127067852 1 308,000.00 307,212.59 01-Apr-2006 8.500% CA - 80.00% 360 01-Mar-2006
1127067940 1 120,000.00 119,606.55 01-May-2006 7.245% FL - 50.00% 360 01-Apr-2006
1127068167 1 206,821.00 205,535.63 01-Aug-2006 7.990% GA - 80.00% 360 01-Apr-2006
1127068274 1 228,000.00 227,446.12 01-Jun-2006 8.300% CA - 80.00% 360 01-Apr-2006
1127068326 1 170,000.00 168,765.20 01-Apr-2006 7.200% IL - 74.24% 360 01-Apr-2006
1127068543 1 276,000.00 274,394.59 01-Apr-2006 8.320% CA - 80.00% 360 01-Apr-2006
1127068550 1 615,200.00 615,200.00 01-Jun-2006 8.000% CA - 80.00% 360 01-Apr-2006
1127068610 1 555,000.00 553,642.03 01-Jun-2006 8.275% NY - 69.38% 360 01-Apr-2006
1127068629 1 134,000.00 133,353.85 01-Apr-2006 9.240% NY - 80.00% 360 01-Apr-2006
1127068667 1 415,200.00 413,848.27 01-Jun-2006 7.270% CA - 80.00% 360 01-Apr-2006
1127068791 1 294,500.00 292,992.64 01-Aug-2006 8.950% TX - 95.00% 360 01-Apr-2006
1127068829 1 257,600.00 256,983.26 01-Jun-2006 8.350% CA - 80.00% 360 01-Apr-2006
1127068896 1 152,000.00 151,279.06 01-May-2006 9.320% MI - 80.00% 360 01-Apr-2006
1127068949 1 177,600.00 177,600.00 01-Jun-2006 8.795% NY - 80.00% 360 01-Apr-2006
1127069080 1 348,000.00 347,190.50 01-May-2006 8.450% CA - 80.00% 360 01-Apr-2006
1127069141 1 332,500.00 331,332.93 01-Sep-2006 7.000% CA - 70.00% 360 01-Apr-2006
1127069318 1 344,000.00 343,021.87 01-Apr-2006 7.750% CA - 80.00% 360 01-Apr-2006
1127069338 1 196,000.00 194,482.11 01-Aug-2006 6.870% MA - 80.00% 360 01-Apr-2006
1127069418 1 344,000.00 344,000.00 01-May-2006 7.245% FL - 80.00% 360 01-Apr-2006
1127069661 1 104,500.00 104,310.83 01-Apr-2006 9.375% TX - 95.00% 360 01-Apr-2006
1127069710 1 79,900.00 79,647.89 01-Jun-2006 11.250% CA - 20.00% 180 01-Apr-2006
1127069715 1 254,400.00 253,773.02 01-Sep-2006 8.250% CA - 80.00% 360 01-Apr-2006
1127069730 1 242,400.00 241,694.62 01-Jun-2006 7.670% OR - 80.00% 360 01-Apr-2006
1127069737 1 188,000.00 187,465.40 01-Jun-2006 7.750% VA - 80.00% 360 01-Apr-2006
1127069741 1 264,000.00 263,194.92 01-Jun-2006 7.945% FL - 80.00% 360 01-Apr-2006
1127069743 1 192,000.00 191,409.08 01-Jun-2006 7.470% AZ - 80.00% 360 01-Apr-2006
1127069837 1 480,000.00 477,168.30 01-Apr-2006 8.250% NY - 80.00% 360 01-Apr-2006
1127070092 1 440,000.00 438,952.51 01-Jun-2006 8.370% CA - 80.00% 360 01-Apr-2006
1127070251 1 324,000.00 322,968.62 01-Apr-2006 7.350% NY - 80.00% 360 01-Apr-2006
1127070424 1 140,000.00 139,286.53 01-Jun-2006 8.971% IL - 80.00% 360 01-Apr-2006
1127070425 1 35,000.00 34,883.22 01-Jun-2006 10.990% IL - 20.00% 180 01-Apr-2006
Page 15 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Loan Number Original Stated Current State & First
& Principal Principal Paid to Note LTV at Original Payment
Loan Group Balance Balance Date Rate Origination Term Date
1127070518 1
316,828.00 315,957.36 01-Jun-2006 7.870% IL - 80.00% 360 01-Apr-2006
1127070519 1 79,207.00 78,942.69 01-Jun-2006 10.990% IL - 20.00% 180 01-Apr-2006
1005286200 1 145,592.00 145,052.97 01-Jun-2006 9.925% FL - 80.00% 360 01-May-2006
1127060823 1 131,500.00 131,369.57 01-Apr-2006 11.650% NJ - 100.00% 360 01-Mar-2006
1127075351 1 307,800.00 307,188.31 01-Jun-2006 8.990% NY - 90.00% 360 01-Apr-2006
1127074005 1 182,750.00 181,819.33 01-Aug-2006 8.975% FL - 85.00% 360 01-Apr-2006
1127074012 1 125,000.00 124,258.84 01-May-2006 8.225% TX - 42.81% 360 01-Apr-2006
1127074092 1 125,100.00 124,439.80 01-Jun-2006 8.800% FL - 90.00% 360 01-Apr-2006
1127072704 1 225,600.00 224,866.52 01-Apr-2006 7.275% MA - 80.00% 360 01-Apr-2006
1127075401 1 288,000.00 287,028.09 01-Jun-2006 7.925% CA - 80.00% 360 01-Mar-2006
1127075967 1 386,000.00 383,653.25 01-Jun-2006 8.100% NY - 75.32% 360 01-Apr-2006
1127075412 1 138,450.00 137,843.10 01-Jun-2006 9.700% TX - 93.55% 360 01-Apr-2006
1127076034 1 194,756.00 194,501.18 01-May-2006 10.750% FL - 85.00% 360 01-Mar-2006
1127074189 1 126,000.00 125,533.17 01-Oct-2006 10.500% MA - 90.00% 360 01-Apr-2006
1127075426 1 641,600.00 641,599.97 01-Jun-2006 8.990% CA - 80.00% 360 01-Apr-2006
1127072769 1 151,875.00 151,571.82 01-Jun-2006 8.975% AR - 75.00% 360 01-Apr-2006
1127074263 1 289,000.00 287,580.30 01-Sep-2006 9.150% FL - 84.75% 360 01-Apr-2006
1127074273 1 71,200.00 70,949.91 01-Jun-2006 10.750% TX - 80.00% 360 01-Apr-2006
1127076190 1 196,000.00 195,667.47 01-Jun-2006 9.525% FL - 80.00% 360 01-Apr-2006
1127074278 1 306,000.00 306,000.00 01-May-2006 6.575% CA - 85.00% 360 01-Apr-2006
1127073680 1 64,800.00 64,486.46 01-Apr-2006 9.225% IN - 90.00% 360 01-Apr-2006
1127076215 1 432,000.00 431,314.83 01-Mar-2006 9.750% CA - 90.00% 360 01-Apr-2006
1127074292 1 234,000.00 233,051.73 01-Apr-2006 10.075% GA - 90.00% 360 01-Apr-2006
1127076225 1 156,800.00 155,963.96 01-May-2006 8.750% WA - 80.00% 360 01-Apr-2006
1127076242 1 93,750.00 93,513.89 01-Jun-2006 8.175% AZ - 79.45% 360 01-Apr-2006
1127074319 1 134,500.00 133,859.35 01-May-2006 9.300% TX - 82.01% 360 01-Apr-2006
1127076307 1 205,200.00 204,323.54 01-Apr-2006 9.825% VA - 90.00% 360 01-Apr-2006
1127074353 1 72,250.00 71,916.33 01-Jun-2006 9.450% OH - 85.00% 360 01-Apr-2006
1127076336 1 76,500.00 76,241.13 01-Jun-2006 10.925% MI - 90.00% 360 01-Apr-2006
1127076351 1 135,000.00 134,555.34 01-Jun-2006 11.050% CA - 20.00% 360 01-Apr-2006
1127074392 1 344,000.00 344,000.00 01-Apr-2006 7.800% CA - 80.00% 360 01-Apr-2006
1127072831 1 232,000.00 232,000.00 01-Apr-2006 7.700% CA - 80.00% 360 01-Apr-2006
1127074415 1 55,250.00 55,016.44 01-May-2006 9.875% OK - 85.00% 360 01-Apr-2006
1127074423 1 54,400.00 54,178.31 01-Jun-2006 10.050% MI - 80.00% 360 01-Apr-2006
1127073693 1 70,650.00 70,551.32 01-May-2006 10.175% OK - 90.00% 360 01-Apr-2006
1127074446 1 53,600.00 53,527.88 01-May-2006 10.300% OH - 80.00% 360 01-Apr-2006
1127076430 1 56,800.00 56,723.36 01-Apr-2006 10.300% MI - 80.00% 360 01-Apr-2006
1127075498 1 286,900.00 286,900.00 01-Apr-2006 6.550% NV - 95.00% 360 01-Apr-2006
1127076454 1 104,550.00 103,983.91 01-Oct-2006 8.675% TX - 85.00% 360 01-Apr-2006
1127073696 1 252,000.00 250,889.53 01-Apr-2006 9.675% NJ - 90.00% 360 01-Apr-2006
1127074480 1 79,830.00 79,506.44 01-Apr-2006 10.075% SC - 90.00% 360 01-Apr-2006
1127074485 1 104,000.00 103,640.52 01-Apr-2006 10.825% OH - 80.00% 360 01-Apr-2006
1006363286 1 304,000.00 304,000.00 01-Jun-2006 9.300% CA - 80.00% 360 01-Apr-2006
1127074510 1 72,250.00 71,957.15 01-Apr-2006 10.075% OH - 85.00% 360 01-Apr-2006
1127074519 1 85,000.00 84,642.59 01-Apr-2006 9.900% MI - 85.00% 360 01-Apr-2006
1127076570 1 185,600.00 185,075.93 01-Apr-2006 7.775% AZ - 80.00% 360 01-Apr-2006
1127076577 1 476,000.00 476,000.00 01-May-2006 8.475% CA - 80.00% 360 01-Apr-2006
Page 16 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Loan Number Original Stated Current State & First
& Principal Principal Paid to Note LTV at Original Payment
Loan Group Balance Balance Date Rate Origination Term Date
1127074577 1
99,000.00 98,654.10 01-Apr-2006 10.775% OH - 90.00% 360 01-Apr-2006
1127072903 1 270,000.00 269,305.19 01-Jun-2006 8.100% CA - 63.83% 360 01-Apr-2006
1127076611 1 372,000.00 370,747.62 01-Jun-2006 7.150% CA - 80.00% 360 01-Apr-2006
1127074597 1 99,000.00 98,501.01 01-Apr-2006 9.025% OH - 90.00% 360 01-Apr-2006
1127076647 1 399,200.00 396,648.84 01-Apr-2006 7.850% NJ - 80.00% 360 01-Apr-2006
1127074604 1 236,250.00 235,883.53 01-Jun-2006 9.825% CA - 90.00% 360 01-Apr-2006
1006402920 1 138,125.00 137,514.80 01-Jun-2006 9.075% GA - 85.00% 360 01-May-2006
1127074622 1 567,000.00 564,488.53 01-May-2006 9.650% CA - 90.00% 360 01-Apr-2006
1127073705 1 88,200.00 87,722.43 01-Apr-2006 8.675% OH - 90.00% 360 01-Apr-2006
1127076697 1 176,000.00 175,256.14 01-Jun-2006 9.875% NY - 80.00% 360 01-Apr-2006
1127074654 1 396,000.00 393,681.21 01-May-2006 8.425% NY - 90.00% 360 01-Apr-2006
1127075566 1 412,000.00 411,999.94 01-Apr-2006 8.650% CA - 80.00% 360 01-Apr-2006
1127075567 1 228,000.00 227,510.38 01-May-2006 8.725% CA - 80.00% 360 01-Apr-2006
1127074691 1 76,050.00 75,713.98 01-May-2006 9.675% NE - 90.00% 360 01-Apr-2006
1127075582 1 468,000.00 466,950.09 01-Apr-2006 8.575% NY - 80.00% 360 01-Apr-2006
1006476431 1 416,000.00 415,322.05 01-May-2006 9.250% CA - 80.00% 360 01-May-2006
1127075586 1 54,400.00 54,343.15 01-May-2006 11.125% OH - 80.00% 360 01-Apr-2006
1127072998 1 307,632.00 306,151.53 01-May-2006 9.250% IL - 80.00% 360 01-Apr-2006
1006618957 1 528,000.00 526,611.93 01-Jun-2006 7.600% CA - 80.00% 360 01-May-2006
1006635091 1 186,400.00 185,550.79 01-May-2006 8.925% CA - 80.00% 360 01-May-2006
1006669116 1 316,000.00 315,272.91 01-Jun-2006 8.525% CA - 80.00% 360 01-Apr-2006
1006702455 1 680,000.00 678,536.73 01-Jun-2006 8.300% CA - 80.00% 360 01-May-2006
1006715600 1 345,600.00 344,119.75 01-Jun-2006 9.225% MA - 80.00% 360 01-May-2006
1006799468 1 284,000.00 283,527.50 01-May-2006 9.180% CA - 80.00% 360 01-May-2006
1127047865 1 108,000.00 107,323.03 03-Jun-2006 8.490% NC - 80.00% 360 03-Feb-2006
1127083861 1 77,400.00 76,987.90 11-Apr-2006 9.290% MS - 90.00% 360 11-Feb-2006
1127064265 1 325,000.00 323,315.94 10-Jun-2006 8.890% VA - 65.26% 360 10-Mar-2006
1127082484 1 72,400.00 72,087.59 15-Jun-2006 9.190% NC - 76.21% 360 15-Apr-2006
1127064162 1 96,000.00 95,385.26 08-May-2006 7.840% NC - 80.00% 360 08-Mar-2006
1127064374 1 90,900.00 90,590.11 08-May-2006 10.890% SC - 90.00% 360 08-Mar-2006
1127064381 1 108,000.00 107,428.51 08-May-2006 8.790% SC - 90.00% 360 08-Mar-2006
1127063337 1 145,200.00 144,535.01 13-Mar-2006 9.490% SC - 80.00% 360 13-Mar-2006
1127064424 1 52,200.00 51,993.52 07-May-2006 10.190% MS - 90.00% 360 07-Mar-2006
1127083896 1 72,000.00 71,538.89 01-Sep-2006 7.840% NC - 80.00% 360 01-Apr-2006
1127063288 1 129,520.00 128,820.94 10-May-2006 8.690% SC - 80.00% 360 10-Mar-2006
1127063157 1 110,400.00 109,700.04 17-Sep-2006 7.890% SC - 80.00% 360 17-Mar-2006
1127082515 1 150,300.00 149,670.23 01-Aug-2006 9.990% NC - 90.00% 360 01-Apr-2006
1127081752 1 135,900.00 135,371.49 13-May-2006 9.690% NC - 90.00% 360 13-Apr-2006
1127082591 1 66,880.00 66,529.78 02-May-2006 8.240% SC - 80.00% 360 02-Apr-2006
1127082616 1 96,720.00 96,473.74 28-Mar-2006 8.140% NC - 80.00% 360 28-Mar-2006
1127082639 1 54,400.00 54,183.93 09-May-2006 9.590% SC - 80.00% 360 09-Apr-2006
1127082645 1 59,120.00 58,831.57 13-May-2006 8.590% SC - 80.00% 360 13-Apr-2006
1127064447 1 67,000.00 66,599.91 07-Jun-2006 8.190% SC - 80.00% 360 07-Mar-2006
1127064457 1 52,000.00 51,814.97 13-Jun-2006 10.690% MS - 80.00% 360 13-Mar-2006
1127082690 1 64,800.00 64,580.17 10-Jun-2006 10.340% TN - 90.00% 360 10-Apr-2006
1127083955 1 94,320.00 94,023.04 27-Jun-2006 10.690% TN - 80.00% 360 27-Apr-2006
1127064056 1 96,000.00 95,573.85 23-May-2006 9.640% PA - 80.00% 360 23-Mar-2006
Page 17 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Loan Number Original Stated Current State & First
& Principal Principal Paid to Note LTV at Original Payment
Loan Group Balance Balance Date Rate Origination Term Date
1127064139 1
112,500.00 112,009.91 01-Jun-2006 9.730% OH - 90.00% 360 01-Apr-2006
1127081907 1 415,200.00 413,047.61 01-Jun-2006 8.290% OH - 80.00% 360 01-May-2006
1127082757 1 52,000.00 51,784.74 08-Jun-2006 9.390% OH - 80.00% 360 08-Apr-2006
1127064576 1 347,680.00 345,054.35 10-May-2006 7.000% NY - 80.00% 360 10-Mar-2006
1127081928 1 253,600.00 252,673.91 24-May-2006 9.990% PA - 80.00% 360 24-Apr-2006
1127082809 1 98,400.00 97,988.44 15-Jun-2006 9.340% PA - 80.00% 360 15-Apr-2006
1127081943 1 249,200.00 247,946.73 17-Apr-2006 8.440% PA - 80.00% 360 17-Apr-2006
1127064605 1 114,480.00 113,746.96 12-Mar-2006 7.840% IN - 80.00% 360 12-Mar-2006
1127064626 1 67,000.00 66,472.21 01-May-2006 7.340% OH - 80.00% 360 01-Mar-2006
1127064649 1 141,950.00 141,067.80 09-Jun-2006 7.990% IN - 85.00% 360 09-Mar-2006
1127064659 1 68,000.00 67,613.85 15-May-2006 8.440% OH - 85.00% 360 15-Mar-2006
1127082886 1 94,160.00 93,717.36 02-Jun-2006 8.790% OH - 80.00% 360 02-Apr-2006
1127081983 1 123,250.00 122,799.89 21-May-2006 9.990% KY - 85.00% 360 21-Apr-2006
1127064684 1 129,500.00 128,831.52 01-Jun-2006 9.440% FL - 70.00% 360 01-Mar-2006
1127082952 1 492,300.00 490,031.72 14-Jun-2006 8.870% FL - 90.00% 360 14-Apr-2006
1127082977 1 91,500.00 91,132.82 15-Jun-2006 9.540% FL - 75.00% 360 15-Apr-2006
1127064734 1 232,000.00 230,017.16 01-Aug-2006 6.920% IL - 80.00% 360 01-Mar-2006
1127064767 1 136,800.00 136,098.32 01-May-2006 8.940% WI - 80.00% 360 01-Apr-2006
1127064788 1 152,000.00 151,003.21 01-Oct-2006 7.720% WI - 80.00% 360 01-Apr-2006
1127064801 1 133,200.00 132,388.51 01-May-2006 8.090% IL - 90.00% 360 01-Apr-2006
1127063563 1 252,000.00 250,476.99 01-Sep-2006 8.190% IL - 90.00% 360 01-Apr-2006
1127083049 1 111,200.00 110,432.25 01-Jun-2006 6.840% IL - 80.00% 360 01-May-2006
1127084093 1 133,000.00 132,364.24 01-Jun-2006 8.690% IL - 95.00% 360 01-May-2006
1127064068 1 163,500.00 162,711.56 01-Apr-2006 9.240% MI - 88.38% 360 01-Apr-2006
1127083146 1 200,000.00 199,298.28 21-May-2006 10.180% MI - 80.00% 360 21-Apr-2006
1127082136 1 409,700.00 408,073.18 01-Jun-2006 9.590% CT - 85.00% 360 01-May-2006
1127063411 1 275,000.00 273,075.41 23-May-2006 7.390% MA - 78.13% 360 23-Mar-2006
1127083188 1 193,500.00 192,746.70 01-May-2006 9.690% CT - 90.00% 360 01-May-2006
1127064955 1 78,000.00 77,409.19 01-Jun-2006 7.540% IN - 80.00% 360 01-Mar-2006
1127064973 1 121,600.00 120,797.76 01-Jun-2006 7.690% CO - 80.00% 360 01-Apr-2006
1127064111 1 137,600.00 137,007.98 01-Jun-2006 9.790% CO - 80.00% 360 01-Apr-2006
1127083232 1 98,320.00 97,772.89 25-Jun-2006 8.540% OK - 80.00% 360 25-Mar-2006
1127082190 1 61,600.00 61,274.22 01-Jun-2006 8.790% OK - 80.00% 360 01-Apr-2006
1127063829 1 156,600.00 155,692.71 27-Jun-2006 8.340% WI - 90.00% 360 27-Mar-2006
1127083276 1 98,000.00 97,541.81 10-Sep-2006 8.790% MO - 80.00% 360 10-Apr-2006
1127063569 1 247,000.00 245,937.35 22-Aug-2006 9.790% MD - 44.42% 360 22-Mar-2006
1127082218 1 175,500.00 174,771.21 21-Jun-2006 9.375% MD - 90.00% 360 21-Apr-2006
1127082220 1 124,424.00 123,782.51 20-Jun-2006 8.320% WV - 80.00% 360 20-Apr-2006
1127063558 1 154,320.00 153,394.84 01-Aug-2006 8.170% ID - 80.00% 360 01-Apr-2006
1127065172 1 134,910.00 134,308.17 08-Jun-2006 10.140% FL - 90.00% 360 08-Feb-2006
1127083395 1 60,000.00 59,688.99 29-Jun-2006 8.890% LA - 80.00% 360 29-Mar-2006
1127063784 1 72,000.00 71,455.18 25-Apr-2006 6.990% LA - 80.00% 360 25-Mar-2006
1127063118 1 116,000.00 115,199.76 19-Jun-2006 8.190% FL - 80.00% 360 19-Mar-2006
1127063523 1 132,299.00 131,753.13 23-Jul-2006 9.990% AL - 90.00% 360 23-Mar-2006
1127064123 1 190,000.00 188,708.89 01-Jun-2006 7.540% AZ - 82.61% 360 01-Apr-2006
1127084209 1 292,800.00 290,584.55 01-Oct-2006 6.990% AZ - 80.00% 360 01-Apr-2006
1127063666 1 156,500.00 155,965.11 01-Jun-2006 11.390% WI - 60.19% 180 01-Mar-2006
Page 18 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Loan Number Original Stated Current State & First
& Principal Principal Paid to Note LTV at Original Payment
Loan Group Balance Balance Date Rate Origination Term Date
1127063663 1
160,000.00 160,000.00 01-Jun-2006 7.390% MN - 80.00% 360 01-Apr-2006
1127063551 1 172,000.00 171,539.29 01-Jun-2006 7.960% IA - 80.00% 360 01-Apr-2006
1127083540 1 116,000.00 115,367.48 01-Jun-2006 8.640% FL - 80.00% 360 01-Apr-2006
1127083586 1 320,000.00 318,034.87 07-Apr-2006 7.440% MN - 80.00% 360 07-Apr-2006
1127082349 1 158,200.00 157,302.50 01-Jun-2006 7.840% MN - 80.00% 360 01-May-2006
1127065421 1 315,000.00 312,860.55 01-Jun-2006 8.090% CA - 90.00% 360 01-Mar-2006
1127063831 1 148,400.00 147,309.34 01-Aug-2006 7.140% NV - 80.00% 360 01-Apr-2006
1127065452 1 284,750.00 283,836.63 01-Jun-2006 7.990% FL - 85.00% 360 01-Mar-2006
1127083637 1 378,250.00 377,647.69 01-May-2006 9.740% CA - 85.00% 360 01-Apr-2006
1127065467 1 252,000.00 250,305.53 01-Mar-2006 8.140% TX - 80.00% 360 01-Mar-2006
1127083658 1 120,000.00 119,403.18 01-May-2006 9.090% TX - 80.00% 360 01-Apr-2006
1127065539 1 228,320.00 226,768.51 07-Jun-2006 7.540% GA - 80.00% 360 07-Mar-2006
1127083778 1 220,500.00 219,526.75 15-Jun-2006 9.090% GA - 90.00% 360 15-Apr-2006
1127065590 1 233,600.00 231,813.23 01-Jun-2006 7.490% NJ - 80.00% 360 01-Mar-2006
1127065661 1 184,000.00 182,955.24 15-May-2006 8.440% NJ - 80.00% 360 15-Mar-2006
TOTAL 46,028,188.00 45,859,512.53
TOTAL 72,455,074.90 72,186,792.48
Page 19 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Prepayment Report
VOLUNTARY PREPAYMENTS
Total
Current
Number of Paid in Full Loans 246
Number of Repurchased Loans 0
Total Number of Loans Prepaid in Full 246
Curtailments Amount 137,383.93
Paid in Full Balance 49,870,961.67
Repurchased Loans Balance 0.00
Total Prepayment Amount 50,008,345.60
Cumulative
Number of Paid in Full Loans 1,242
Number of Repurchased Loans 0
Total Number of Loans Prepaid in Full 1,242
Paid in Full Balance 262,153,124.73
Repurchased Loans Balance 0.00
Curtailments Amount 530,122.11
Total Prepayment Amount 262,683,246.84
Page 20 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
VOLUNTARY PREPAYMENTS RATES
Total
SMM 2.58%
3 Months Avg SMM 2.39%
12 Months Avg SMM 2.15%
Avg SMM Since Cut-off 2.15%
CPR 26.90%
3 Months Avg CPR 25.16%
12 Months Avg CPR 22.96%
Avg CPR Since Cut-off 22.96%
PSA 1,483.71%
3 Months Avg PSA Approximation 1,559.77%
12 Months Avg PSA Approximation 1,747.53%
Avg PSA Since Cut-off Approximation 1,747.53%
Page 21 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
PREPAYMENT CALCULATION METHODOLOGY
Single Monthly Mortality (SMM): (Voluntary partial and full prepayments + Repurchases + Liquidation Balance)/(Beg Principal Balance - Sched Principal)
Conditional Prepayment Rate (CPR): 1-((1-SMM)^12)
PSA Standard Prepayment Model: CPR/(0.02*min(30,WAS))
Average SMM over period between nth month and mth month (AvgSMMn,m): [(1-SMMn)*(1-SMMn+1)*...*(1-SMMm)]^(1/months in period n,m)
Average CPR over period between the nth month and mth month (AvgCPRn,m): 1-((1-AvgSMMn,m)^12)
Average PSA Approximation over period between the nth month and mth month: AvgCPRn,m/(0.02*Avg WASn,m))
Average WASn,m: (min(30,WASn)+min(30,WASn+1)+...+min(30,WASm)/(number of months in the period n,m)
Weighted Average Seasoning (WAS)
Note: Prepayment rates are calculated since deal issue date and include partial and full voluntary prepayments and repurchases.
Dates correspond to distribution dates.
Page 22 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Prepayment Detail Report
Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number Original Current State & Type Prepayment First
& Loan Principal Prepayment Prepayment Note LTV at & Payment
Loan Group Status Balance Amount Date Rate Origination Original Term Date
1006186147 1 328,000.00 327,084.76 24-Nov-2006 6.900% FL - 79.81% Paid Off - 360 01-May-2006
1006299365 1 190,000.00 190,000.00 17-Nov-2006 8.490% MA - 74.51% Paid Off - 360 01-Apr-2006
1006393299 1 482,500.00 482,500.00 01-Dec-2006 7.650% CA - 83.19% Paid Off - 360 01-Apr-2006
1006451083 1 119,200.00 118,662.24 21-Nov-2006 8.300% MD - 80.00% Paid Off - 360 01-May-2006
1006473899 1 240,000.00 238,807.63 06-Dec-2006 8.500% AZ - 80.00% Paid Off - 360 01-Apr-2006
1006574986 1 743,859.00 742,110.04 08-Dec-2006 8.100% CA - 80.00% Paid Off - 360 01-May-2006
1006602134 1 144,000.00 143,350.63 29-Nov-2006 8.975% CA - 80.00% Paid Off - 360 01-Apr-2006
1006628526 1 259,988.00 259,070.00 15-Dec-2006 10.150% FL - 90.00% Paid Off - 360 01-Apr-2006
1006641556 1 112,000.00 111,484.41 13-Dec-2006 8.200% FL - 70.00% Paid Off - 360 01-May-2006
1006647131 1 312,000.00 311,792.29 04-Dec-2006 7.990% CA - 80.00% Paid Off - 360 01-May-2006
1006707600 1 238,400.00 237,227.55 05-Dec-2006 8.550% OR - 80.00% Paid Off - 360 01-Apr-2006
1006900375 1 189,860.00 189,270.31 01-Dec-2006 6.525% CA - 80.00% Paid Off - 360 01-May-2006
1127049764 1 56,000.00 55,742.18 11-Dec-2006 9.990% NY - 10.00% Paid Off - 180 01-Feb-2006
1127050130 1 37,200.00 37,109.09 05-Dec-2006 13.375% NJ - 15.00% Paid Off - 180 01-Jan-2006
1127051975 1 55,500.00 55,282.44 29-Nov-2006 10.750% IL - 15.00% Paid Off - 180 01-Feb-2006
1127056696 1 84,550.00 84,470.03 16-Nov-2006 11.450% PA - 95.00% Paid Off - 360 01-Mar-2006
1127063142 1 67,200.00 66,844.55 07-Dec-2006 8.790% NC - 80.00% Paid Off - 360 25-Feb-2006
1127063385 1 136,800.00 136,585.57 11-Dec-2006 9.390% GA - 90.00% Paid Off - 360 01-Apr-2006
1127063408 1 170,250.00 169,594.71 16-Nov-2006 9.740% ID - 75.00% Paid Off - 360 07-Mar-2006
1127063456 1 364,500.00 362,543.87 12-Dec-2006 9.140% NJ - 90.00% Paid Off - 360 01-Apr-2006
1127063524 1 355,500.00 353,918.12 20-Nov-2006 9.040% FL - 90.00% Paid Off - 360 23-Mar-2006
1127063530 1 267,750.00 267,092.48 08-Dec-2006 7.840% IL - 85.00% Paid Off - 360 01-Apr-2006
1127063633 1 71,920.00 71,470.91 20-Nov-2006 7.990% GA - 80.00% Paid Off - 360 01-Mar-2006
1127063689 1 136,000.00 135,282.06 29-Nov-2006 8.200% NC - 85.00% Paid Off - 360 28-Mar-2006
1127063693 1 104,400.00 103,944.88 11-Dec-2006 9.140% NC - 90.00% Paid Off - 360 21-Mar-2006
1127063753 1 450,000.00 448,279.08 08-Dec-2006 9.770% NJ - 57.99% Paid Off - 360 01-Apr-2006
1127063813 1 88,000.00 87,638.32 29-Nov-2006 9.430% GA - 47.57% Paid Off - 360 01-Apr-2006
1127063844 1 149,600.00 148,663.02 28-Nov-2006 7.340% ME - 80.00% Paid Off - 360 27-Mar-2006
1127063881 1 256,000.00 256,000.00 14-Dec-2006 7.490% WA - 80.00% Paid Off - 360 01-Apr-2006
1127063890 1 221,520.00 221,520.00 21-Nov-2006 7.740% OR - 80.00% Paid Off - 360 01-Apr-2006
1127063946 1 135,000.00 134,218.34 30-Nov-2006 8.090% AZ - 90.00% Paid Off - 360 01-Apr-2006
1127064073 1 175,000.00 174,055.54 13-Dec-2006 8.090% IL - 81.40% Paid Off - 360 01-Apr-2006
1127064204 1 238,000.00 236,661.32 04-Dec-2006 7.890% MD - 89.81% Paid Off - 360 01-Apr-2006
1127064226 1 359,000.00 356,462.69 24-Nov-2006 7.890% SC - 66.48% Paid Off - 360 19-Jan-2006
1127064238 1 75,000.00 74,638.27 04-Dec-2006 9.240% FL - 15.03% Paid Off - 360 01-Mar-2006
1127064292 1 130,400.00 129,597.62 21-Nov-2006 8.040% SC - 80.00% Paid Off - 360 27-Feb-2006
1127064395 1 312,000.00 310,597.39 28-Nov-2006 8.990% VA - 80.00% Paid Off - 360 02-Mar-2006
1127064415 1 65,600.00 65,369.32 05-Dec-2006 10.170% NC - 57.04% Paid Off - 360 10-Mar-2006
1127064560 1 365,500.00 362,800.84 11-Dec-2006 6.490% NY - 85.00% Paid Off - 360 11-Mar-2006
1127064674 1 196,000.00 194,876.95 11-Dec-2006 7.790% FL - 68.77% Paid Off - 360 14-Mar-2006
Page 23 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number Original Current State & Type Prepayment First
& Loan Principal Prepayment Prepayment Note LTV at & Payment
Loan Group Status Balance Amount Date Rate Origination Original Term Date
1127064837 1 147,200.00 146,851.56 07-Dec-2006 8.390% MI - 80.00% Paid Off - 360 27-Feb-2006
1127064915 1 171,000.00 169,240.53 20-Nov-2006 7.990% RI - 62.18% Paid Off - 360 03-Mar-2006
1127064993 1 142,500.00 141,811.39 27-Nov-2006 9.230% CT - 33.69% Paid Off - 360 01-Mar-2006
1127065003 1 204,000.00 202,514.60 04-Dec-2006 7.740% MD - 85.00% Paid Off - 360 01-Feb-2006
1127065050 1 120,000.00 119,423.99 28-Nov-2006 8.670% NM - 80.00% Paid Off - 360 05-Mar-2006
1127065084 1 312,500.00 310,744.71 30-Nov-2006 7.890% MD - 67.20% Paid Off - 360 06-Mar-2006
1127065109 1 140,200.00 139,536.57 20-Nov-2006 8.740% MD - 61.22% Paid Off - 360 03-Mar-2006
1127065110 1 259,200.00 257,699.98 29-Nov-2006 7.740% MD - 90.00% Paid Off - 360 13-Mar-2006
1127065161 1 102,000.00 101,455.03 29-Nov-2006 8.740% GA - 85.00% Paid Off - 360 17-Feb-2006
1127065242 1 71,100.00 70,749.57 14-Dec-2006 8.540% FL - 90.00% Paid Off - 360 16-Mar-2006
1127065415 1 150,300.00 149,472.13 13-Dec-2006 8.590% CA - 90.00% Paid Off - 360 01-Mar-2006
1127065501 1 117,000.00 115,400.70 11-Dec-2006 8.540% TX - 90.00% Paid Off - 360 01-Mar-2006
1127065527 1 123,375.00 122,638.30 04-Dec-2006 8.190% MD - 75.00% Paid Off - 360 01-Mar-2006
1127065531 1 112,000.00 111,119.06 29-Nov-2006 6.790% GA - 70.00% Paid Off - 360 01-Mar-2006
1127065571 1 168,504.00 168,055.27 01-Dec-2006 7.980% GA - 80.00% Paid Off - 360 01-Mar-2006
1127065599 1 252,000.00 250,201.46 21-Nov-2006 7.290% NJ - 86.90% Paid Off - 360 01-Mar-2006
1127065635 1 176,000.00 175,308.35 08-Dec-2006 9.640% NJ - 67.69% Paid Off - 360 01-Apr-2006
1127065642 1 249,000.00 247,628.59 12-Dec-2006 8.440% NJ - 74.33% Paid Off - 360 01-Apr-2006
1127065645 1 275,000.00 273,226.34 07-Dec-2006 7.190% NY - 37.41% Paid Off - 360 05-Mar-2006
1127065722 1 190,875.00 189,493.49 14-Dec-2006 7.770% FL - 75.00% Paid Off - 360 01-Feb-2006
1127065731 1 410,000.00 410,000.00 16-Nov-2006 7.520% MD - 73.21% Paid Off - 360 01-Apr-2006
1127065943 1 315,000.00 313,207.58 17-Nov-2006 7.825% CA - 70.79% Paid Off - 360 01-Apr-2006
1127065955 1 FCL 300,000.00 299,281.66 05-Dec-2006 8.350% CA - 52.17% Paid Off - 360 01-Mar-2006
1127065985 1 38,175.00 38,080.69 14-Dec-2006 12.875% FL - 15.00% Paid Off - 180 01-Feb-2006
1127066009 1 260,000.00 258,193.20 22-Nov-2006 7.975% NJ - 80.00% Paid Off - 360 01-Feb-2006
1127066038 1 373,100.00 370,584.49 08-Dec-2006 8.020% HI - 70.00% Paid Off - 360 01-Mar-2006
1127066075 1 277,200.00 276,291.27 14-Dec-2006 7.245% CA - 90.00% Paid Off - 360 01-Mar-2006
1127066087 1 210,000.00 208,396.93 16-Nov-2006 7.500% MA - 80.00% Paid Off - 360 01-Feb-2006
1127066088 1 52,500.00 52,282.95 16-Nov-2006 10.500% MA - 20.00% Paid Off - 180 01-Feb-2006
1127066089 1 148,750.00 148,058.85 05-Dec-2006 9.420% GA - 78.29% Paid Off - 360 01-Mar-2006
1127066235 1 176,000.00 175,055.92 05-Dec-2006 8.720% VA - 80.00% Paid Off - 360 01-Mar-2006
1127066333 1 140,000.00 139,223.04 13-Dec-2006 7.950% NY - 80.00% Paid Off - 360 01-Apr-2006
1127066334 1 35,000.00 34,929.72 13-Dec-2006 12.750% NY - 20.00% Paid Off - 180 01-Apr-2006
1127066352 1 441,000.00 437,633.48 04-Dec-2006 7.500% NY - 90.00% Paid Off - 360 01-Feb-2006
1127066357 1 156,750.00 156,421.67 08-Dec-2006 9.320% NM - 95.00% Paid Off - 360 01-Mar-2006
1127066364 1 620,000.00 617,930.34 27-Nov-2006 6.745% MD - 80.00% Paid Off - 360 01-Apr-2006
1127066365 1 155,000.00 154,542.42 28-Nov-2006 10.990% MD - 20.00% Paid Off - 180 01-Apr-2006
1127066438 1 132,000.00 131,313.22 12-Dec-2006 8.870% MD - 80.00% Paid Off - 360 01-Mar-2006
1127066455 1 180,000.00 178,970.64 17-Nov-2006 7.800% NY - 90.00% Paid Off - 360 01-Apr-2006
1127066468 1 187,200.00 186,827.99 06-Dec-2006 8.990% CA - 80.00% Paid Off - 360 01-Mar-2006
1127066469 1 46,800.00 46,652.35 06-Dec-2006 11.250% CA - 20.00% Paid Off - 180 01-Mar-2006
1127066471 1 508,000.00 506,815.59 24-Nov-2006 8.250% NY - 80.00% Paid Off - 360 01-Apr-2006
Page 24 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number Original Current State & Type Prepayment First
& Loan Principal Prepayment Prepayment Note LTV at & Payment
Loan Group Status Balance Amount Date Rate Origination Original Term Date
1127066486 1 90,000.00 89,544.06 17-Nov-2006 9.000% TN - 90.00% Paid Off - 360 01-Mar-2006
1127066502 1 65,000.00 64,700.81 22-Nov-2006 9.990% NJ - 20.00% Paid Off - 180 01-Feb-2006
1127066529 1 310,149.00 308,747.97 13-Dec-2006 8.990% IL - 90.00% Paid Off - 360 01-Apr-2006
1127066624 1 340,000.00 339,106.15 21-Nov-2006 7.600% NY - 80.00% Paid Off - 360 01-Apr-2006
1127066625 1 85,000.00 84,721.35 17-Nov-2006 10.500% NY - 20.00% Paid Off - 180 01-Apr-2006
1127066632 1 168,500.00 168,036.96 22-Nov-2006 8.495% MA - 74.89% Paid Off - 360 01-Mar-2006
1127066662 1 412,000.00 411,161.17 30-Nov-2006 8.907% CA - 80.00% Paid Off - 360 01-Mar-2006
1127066663 1 REO 103,000.00 102,675.02 30-Nov-2006 11.250% CA - 20.00% Paid Off - 180 01-Mar-2006
1127066885 1 405,000.00 403,087.60 13-Dec-2006 8.750% NJ - 90.00% Paid Off - 360 01-Apr-2006
1127066943 1 221,000.00 220,588.25 28-Nov-2006 8.795% FL - 85.00% Paid Off - 360 01-Apr-2006
1127066959 1 179,600.00 179,262.41 08-Dec-2006 8.765% IL - 80.00% Paid Off - 360 01-Apr-2006
1127066993 1 240,000.00 239,449.63 01-Dec-2006 8.500% MD - 80.00% Paid Off - 360 01-Mar-2006
1127066994 1 60,000.00 59,855.96 08-Dec-2006 12.500% MD - 20.00% Paid Off - 180 01-Mar-2006
1127067099 1 228,000.00 228,000.00 13-Dec-2006 7.250% WA - 80.00% Paid Off - 360 01-Apr-2006
1127067101 1 57,000.00 56,813.15 13-Dec-2006 10.500% WA - 20.00% Paid Off - 180 01-Apr-2006
1127067166 1 152,000.00 151,611.68 21-Nov-2006 7.990% NV - 80.00% Paid Off - 360 01-Apr-2006
1127067167 1 38,000.00 37,856.80 21-Nov-2006 10.990% NV - 20.00% Paid Off - 180 01-Apr-2006
1127067176 1 84,000.00 83,490.24 29-Nov-2006 7.500% PA - 80.00% Paid Off - 360 01-Apr-2006
1127067177 1 21,000.00 20,941.44 29-Nov-2006 11.250% PA - 20.00% Paid Off - 180 01-Apr-2006
1127067216 1 157,000.00 157,000.00 28-Nov-2006 8.470% MA - 73.36% Paid Off - 360 01-Mar-2006
1127067265 1 560,000.00 558,133.16 08-Dec-2006 6.750% CA - 66.27% Paid Off - 360 01-Apr-2006
1127067266 1 188,000.00 187,542.30 05-Dec-2006 7.870% CA - 80.00% Paid Off - 360 01-Apr-2006
1127067267 1 47,000.00 46,868.84 05-Dec-2006 11.250% CA - 20.00% Paid Off - 180 01-Apr-2006
1127067288 1 384,000.00 384,000.00 04-Dec-2006 6.620% CA - 80.00% Paid Off - 360 01-Apr-2006
1127067289 1 96,000.00 95,631.33 05-Dec-2006 9.750% CA - 20.00% Paid Off - 180 01-Apr-2006
1127067315 1 332,500.00 331,708.82 17-Nov-2006 7.950% CA - 95.00% Paid Off - 360 01-Apr-2006
1127067338 1 172,500.00 171,739.07 04-Dec-2006 9.670% RI - 62.73% Paid Off - 360 01-Mar-2006
1127067594 1 32,000.00 31,868.30 06-Dec-2006 10.000% CA - 8.53% Paid Off - 180 01-Mar-2006
1127067682 1 140,000.00 139,174.54 21-Nov-2006 7.770% ID - 80.00% Paid Off - 360 01-Apr-2006
1127067772 1 108,000.00 107,342.73 15-Dec-2006 8.095% CA - 80.00% Paid Off - 360 01-Mar-2006
1127067994 1 350,000.00 349,277.80 01-Dec-2006 8.445% CA - 70.00% Paid Off - 360 01-Apr-2006
1127068041 1 135,787.00 135,546.30 30-Nov-2006 8.965% WA - 85.00% Paid Off - 360 01-Apr-2006
1127068114 1 89,100.00 88,980.20 14-Dec-2006 9.895% WA - 90.00% Paid Off - 360 01-Apr-2006
1127068257 1 330,000.00 329,279.77 01-Dec-2006 8.500% NY - 76.74% Paid Off - 360 01-Apr-2006
1127068287 1 432,000.00 430,412.80 30-Nov-2006 6.395% CA - 80.00% Paid Off - 360 01-Apr-2006
1127068288 1 108,000.00 107,514.45 30-Nov-2006 8.990% CA - 20.00% Paid Off - 180 01-Apr-2006
1127068324 1 146,000.00 145,488.60 24-Nov-2006 6.570% FL - 58.63% Paid Off - 360 01-Apr-2006
1127068366 1 244,000.00 243,238.64 01-Dec-2006 6.990% CA - 80.00% Paid Off - 360 01-Apr-2006
1127068379 1 159,920.00 159,622.49 13-Dec-2006 8.800% AZ - 80.00% Paid Off - 360 01-Apr-2006
1127068384 1 260,000.00 260,000.00 30-Nov-2006 7.500% CA - 65.82% Paid Off - 360 01-Apr-2006
1127068387 1 288,750.00 287,315.39 21-Nov-2006 8.500% FL - 88.85% Paid Off - 360 01-Apr-2006
1127068413 1 55,000.00 54,765.65 04-Dec-2006 9.250% CT - 20.00% Paid Off - 180 01-Apr-2006
Page 25 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number Original Current State & Type Prepayment First
& Loan Principal Prepayment Prepayment Note LTV at & Payment
Loan Group Status Balance Amount Date Rate Origination Original Term Date
1127068468 1 356,000.00 354,336.04 15-Dec-2006 8.800% CA - 80.00% Paid Off - 360 01-Apr-2006
1127068469 1 89,000.00 88,751.60 15-Dec-2006 11.250% CA - 20.00% Paid Off - 180 01-Apr-2006
1127068621 1 357,000.00 356,299.96 30-Nov-2006 8.620% NY - 85.00% Paid Off - 360 01-Apr-2006
1127068651 1 216,500.00 215,824.62 05-Dec-2006 6.990% CA - 50.00% Paid Off - 360 01-Apr-2006
1127068692 1 340,000.00 339,167.51 05-Dec-2006 7.850% MD - 73.91% Paid Off - 360 01-Apr-2006
1127068699 1 34,300.00 34,214.09 04-Dec-2006 11.750% OR - 20.00% Paid Off - 180 01-Apr-2006
1127068700 1 137,200.00 136,929.00 04-Dec-2006 8.595% OR - 80.00% Paid Off - 360 01-Apr-2006
1127068929 1 360,500.00 358,645.35 05-Dec-2006 7.300% CA - 70.00% Paid Off - 360 01-Apr-2006
1127068999 1 200,000.00 198,553.83 06-Dec-2006 6.600% CA - 64.52% Paid Off - 360 01-Apr-2006
1127069050 1 178,200.00 177,294.68 06-Dec-2006 8.390% NJ - 90.00% Paid Off - 360 01-Apr-2006
1127069061 1 420,000.00 416,315.56 30-Nov-2006 7.600% CA - 80.00% Paid Off - 360 01-Apr-2006
1127069191 1 221,000.00 220,549.30 06-Dec-2006 8.500% FL - 64.06% Paid Off - 360 01-Apr-2006
1127069287 1 382,500.00 381,373.10 30-Nov-2006 7.195% CA - 83.15% Paid Off - 360 01-Apr-2006
1127069334 1 88,900.00 88,690.82 06-Dec-2006 7.990% MD - 70.00% Paid Off - 360 01-Apr-2006
1127069421 1 292,000.00 291,353.26 04-Dec-2006 8.200% MD - 80.00% Paid Off - 360 01-Apr-2006
1127069449 1 296,000.00 294,592.88 21-Nov-2006 8.735% MD - 80.00% Paid Off - 360 01-Apr-2006
1127069450 1 55,500.00 55,382.23 21-Nov-2006 12.600% MD - 15.00% Paid Off - 180 01-Apr-2006
1127069459 1 220,000.00 219,452.81 12-Dec-2006 7.795% MD - 80.00% Paid Off - 360 01-Apr-2006
1127069460 1 55,000.00 54,869.34 12-Dec-2006 11.990% MD - 20.00% Paid Off - 180 01-Apr-2006
1127069688 1 129,760.00 129,383.53 05-Dec-2006 7.250% WA - 80.00% Paid Off - 360 01-Apr-2006
1127069808 1 456,000.00 454,851.16 04-Dec-2006 7.750% CA - 89.41% Paid Off - 360 01-Apr-2006
1127070131 1 140,000.00 139,102.34 24-Nov-2006 7.220% IL - 84.85% Paid Off - 360 01-Apr-2006
1127070159 1 50,000.00 49,737.13 16-Nov-2006 8.220% IL - 66.67% Paid Off - 360 01-Apr-2006
1127070174 1 275,000.00 273,711.33 28-Nov-2006 8.795% CA - 63.22% Paid Off - 360 01-Apr-2006
1127070182 1 413,100.00 413,100.00 22-Nov-2006 7.520% CA - 90.00% Paid Off - 360 01-Apr-2006
1127070332 1 360,000.00 360,000.00 21-Nov-2006 6.990% CA - 74.23% Paid Off - 360 01-Apr-2006
1127070335 1 355,000.00 353,144.83 04-Dec-2006 8.250% NJ - 73.96% Paid Off - 360 01-Apr-2006
1127070351 1 283,500.00 281,926.57 07-Dec-2006 7.950% IL - 90.00% Paid Off - 360 01-Apr-2006
1127070357 1 231,200.00 230,529.25 17-Nov-2006 7.250% UT - 85.00% Paid Off - 360 01-Apr-2006
1127070394 1 270,000.00 269,693.09 28-Nov-2006 10.450% CA - 75.00% Paid Off - 360 01-Apr-2006
1127070503 1 135,880.00 135,502.05 07-Dec-2006 7.400% MN - 80.00% Paid Off - 360 01-Apr-2006
1127070504 1 33,970.00 33,889.27 07-Dec-2006 11.990% MN - 20.00% Paid Off - 180 01-Apr-2006
1127070520 1 118,750.00 118,525.84 20-Nov-2006 8.750% MD - 95.00% Paid Off - 360 01-Apr-2006
1127070530 1 100,000.00 99,528.53 06-Dec-2006 8.775% MD - 80.00% Paid Off - 360 01-Apr-2006
1127070531 1 25,000.00 24,933.96 06-Dec-2006 11.750% MD - 20.00% Paid Off - 180 01-Apr-2006
1127070568 1 442,000.00 441,999.48 17-Nov-2006 7.250% CA - 85.00% Paid Off - 360 01-Apr-2006
1127070578 1 141,075.00 140,425.42 12-Dec-2006 8.920% NJ - 95.00% Paid Off - 360 01-Apr-2006
1127072837 1 220,000.00 219,463.02 22-Nov-2006 8.450% NJ - 80.00% Paid Off - 360 01-Apr-2006
1127072856 1 133,600.00 132,985.00 06-Dec-2006 8.875% MI - 80.00% Paid Off - 360 01-Apr-2006
1127072884 1 170,000.00 170,000.00 21-Nov-2006 7.990% MA - 80.00% Paid Off - 360 01-Apr-2006
1127073044 1 148,750.00 148,537.65 13-Dec-2006 10.100% VT - 85.00% Paid Off - 360 01-Mar-2006
1127073107 1 199,600.00 199,244.62 29-Nov-2006 8.950% MA - 80.00% Paid Off - 360 01-Apr-2006
Page 26 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number Original Current State & Type Prepayment First
& Loan Principal Prepayment Prepayment Note LTV at & Payment
Loan Group Status Balance Amount Date Rate Origination Original Term Date
1127073523 1 242,250.00 241,689.80 28-Nov-2006 8.050% CT - 85.00% Paid Off - 360 01-Apr-2006
1127074014 1 55,600.00 55,473.28 06-Dec-2006 12.750% AZ - 20.00% Paid Off - 360 01-Mar-2006
1127074246 1 250,000.00 248,619.39 15-Dec-2006 7.975% CA - 43.10% Paid Off - 360 01-Apr-2006
1127074249 1 180,000.00 179,295.98 01-Dec-2006 9.700% CA - 90.00% Paid Off - 360 01-Apr-2006
1127074256 1 99,000.00 98,758.83 07-Dec-2006 8.450% CA - 33.01% Paid Off - 360 01-Apr-2006
1127074290 1 50,000.00 49,774.48 20-Nov-2006 8.975% PA - 73.53% Paid Off - 360 01-Apr-2006
1127074299 1 93,500.00 93,037.75 20-Nov-2006 8.525% TX - 85.00% Paid Off - 360 01-Apr-2006
1127074419 1 358,400.00 357,815.93 16-Nov-2006 9.250% CA - 80.00% Paid Off - 360 01-Apr-2006
1127074420 1 324,000.00 323,200.99 22-Nov-2006 7.825% CA - 80.00% Paid Off - 360 01-Apr-2006
1127074483 1 58,500.00 58,095.24 17-Nov-2006 7.525% IL - 23.40% Paid Off - 360 01-Apr-2006
1127074591 1 180,000.00 178,827.64 20-Nov-2006 7.725% CA - 75.00% Paid Off - 360 01-Apr-2006
1127074765 1 130,491.00 129,992.47 22-Nov-2006 9.775% FL - 90.00% Paid Off - 360 01-Apr-2006
1127074947 1 122,400.00 121,902.37 30-Nov-2006 9.530% CT - 85.00% Paid Off - 360 01-Apr-2006
1127075180 1 247,000.00 244,755.52 16-Nov-2006 6.990% CA - 61.75% Paid Off - 360 01-Apr-2006
1127075367 1 251,010.00 250,704.48 24-Nov-2006 10.225% OR - 90.00% Paid Off - 360 01-Apr-2006
1127075450 1 235,000.00 234,447.16 01-Dec-2006 7.990% OR - 78.33% Paid Off - 360 01-Apr-2006
1127075516 1 282,400.00 281,854.98 22-Nov-2006 8.675% CA - 80.00% Paid Off - 360 01-Apr-2006
1127075560 1 320,000.00 319,474.57 01-Dec-2006 9.225% FL - 80.00% Paid Off - 360 01-Apr-2006
1127075563 1 396,000.00 394,929.03 04-Dec-2006 7.500% CA - 80.00% Paid Off - 360 01-Apr-2006
1127075623 1 140,000.00 139,445.20 17-Nov-2006 9.600% GA - 80.00% Paid Off - 360 01-Apr-2006
1127075786 1 222,400.00 222,039.22 06-Dec-2006 9.675% AZ - 80.00% Paid Off - 360 01-Mar-2006
1127075876 1 122,696.00 122,116.65 16-Nov-2006 8.750% NM - 80.00% Paid Off - 360 01-Apr-2006
1127075980 1 227,800.00 227,345.67 06-Dec-2006 9.950% FL - 85.00% Paid Off - 360 01-Apr-2006
1127076025 1 69,000.00 68,698.93 28-Nov-2006 9.150% FL - 76.67% Paid Off - 360 01-Apr-2006
1127076261 1 360,000.00 358,543.49 28-Nov-2006 9.500% IL - 90.00% Paid Off - 360 01-Apr-2006
1127076276 1 139,950.00 139,742.86 17-Nov-2006 9.575% FL - 90.00% Paid Off - 360 01-Apr-2006
1127076338 1 400,000.00 397,888.52 22-Nov-2006 8.200% MD - 77.67% Paid Off - 360 01-Apr-2006
1127076339 1 187,000.00 186,251.21 22-Nov-2006 9.550% FL - 85.00% Paid Off - 360 01-Apr-2006
1127076417 1 90,000.00 89,779.44 21-Nov-2006 11.850% NJ - 20.00% Paid Off - 360 01-Apr-2006
1127076432 1 291,920.00 291,091.85 29-Nov-2006 7.330% CA - 80.00% Paid Off - 360 01-Apr-2006
1127076438 1 49,980.00 49,841.96 24-Nov-2006 11.300% NM - 20.00% Paid Off - 360 01-Apr-2006
1127076470 1 371,200.00 371,200.00 15-Dec-2006 9.300% AZ - 80.00% Paid Off - 360 01-Apr-2006
1127076506 1 45,600.00 45,490.65 16-Nov-2006 11.950% RI - 20.00% Paid Off - 360 01-Apr-2006
1127076607 1 396,750.00 396,017.79 24-Nov-2006 8.950% CA - 75.00% Paid Off - 360 01-Apr-2006
1127076703 1 74,000.00 73,658.46 17-Nov-2006 8.863% MI - 80.00% Paid Off - 360 01-Apr-2006
1127076732 1 252,000.00 251,279.01 29-Nov-2006 7.300% CA - 67.20% Paid Off - 360 01-Apr-2006
1127076780 1 227,000.00 225,734.42 05-Dec-2006 7.990% MA - 58.96% Paid Off - 360 01-Apr-2006
1127076839 1 190,000.00 189,870.65 20-Nov-2006 12.500% CA - 56.72% Paid Off - 360 01-Mar-2006
1127077032 1 96,617.60 96,144.81 05-Dec-2006 8.575% WI - 80.00% Paid Off - 360 01-Apr-2006
1127077082 1 167,150.00 166,520.83 30-Nov-2006 10.425% FL - 89.99% Paid Off - 360 01-Mar-2006
1127077178 1 162,350.00 161,590.18 01-Dec-2006 8.800% VA - 85.00% Paid Off - 360 01-Apr-2006
1127077437 1 154,800.00 153,490.00 11-Dec-2006 7.675% MD - 60.00% Paid Off - 360 01-Apr-2006
Page 27 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution
Loan Number Original Current State & Type Prepayment First
& Loan Principal Prepayment Prepayment Note LTV at & Payment
Loan Group Status Balance Amount Date Rate Origination Original Term Date
1127081871 1 191,920.00 190,908.29 07-Dec-2006 7.890% VA - 80.00% Paid Off - 360 01-May-2006
1127081892 1 181,600.00 180,699.71 06-Dec-2006 7.840% VA - 80.00% Paid Off - 360 01-May-2006
1127081908 1 89,250.00 88,965.97 08-Dec-2006 9.990% OH - 85.00% Paid Off - 360 27-Apr-2006
1127081956 1 153,900.00 153,348.53 22-Nov-2006 9.140% NJ - 90.00% Paid Off - 360 02-May-2006
1127081984 1 121,500.00 121,018.90 04-Dec-2006 8.940% IN - 90.00% Paid Off - 360 21-Apr-2006
1127082030 1 193,500.00 192,701.76 13-Dec-2006 8.740% FL - 90.00% Paid Off - 360 24-Apr-2006
1127082047 1 164,000.00 163,199.91 06-Dec-2006 8.590% WI - 80.00% Paid Off - 360 01-Apr-2006
1127082137 1 179,900.00 178,982.44 21-Nov-2006 7.910% MA - 70.00% Paid Off - 360 13-Apr-2006
1127082178 1 297,000.00 297,000.00 29-Nov-2006 7.480% CA - 90.00% Paid Off - 360 01-Apr-2006
1127082205 1 196,000.00 195,314.62 05-Dec-2006 9.540% DC - 80.00% Paid Off - 180 10-Apr-2006
1127082240 1 405,000.00 403,583.80 29-Nov-2006 9.540% OR - 75.00% Paid Off - 360 01-May-2006
1127082254 1 102,000.00 101,527.15 12-Dec-2006 8.840% AL - 85.00% Paid Off - 360 29-Mar-2006
1127082256 1 113,400.00 113,116.11 20-Nov-2006 9.290% FL - 90.00% Paid Off - 360 01-Apr-2006
1127082341 1 200,000.00 198,953.78 14-Dec-2006 7.560% MN - 80.00% Paid Off - 360 01-May-2006
1127082427 1 310,250.00 308,925.21 24-Nov-2006 9.240% AZ - 85.00% Paid Off - 360 01-Apr-2006
1127082464 1 265,000.00 263,849.69 14-Dec-2006 8.490% NJ - 60.23% Paid Off - 360 01-May-2006
1127082478 1 318,000.00 317,367.06 30-Nov-2006 9.120% CA - 74.82% Paid Off - 360 01-May-2006
1127082525 1 56,000.00 55,734.78 20-Nov-2006 9.090% MS - 80.00% Paid Off - 360 01-Apr-2006
1127082567 1 85,500.00 85,256.29 17-Nov-2006 10.510% NC - 90.00% Paid Off - 360 09-Apr-2006
1127082707 1 124,000.00 123,546.73 05-Dec-2006 8.560% NC - 80.00% Paid Off - 360 03-May-2006
1127082767 1 122,000.00 121,541.20 28-Nov-2006 9.190% OH - 67.78% Paid Off - 360 01-May-2006
1127082810 1 195,500.00 194,542.30 17-Nov-2006 7.890% NY - 85.00% Paid Off - 360 19-Apr-2006
1127083213 1 160,000.00 159,601.41 11-Dec-2006 7.790% CA - 80.00% Paid Off - 360 01-Apr-2006
1127083320 1 400,000.00 399,136.72 12-Dec-2006 8.290% VA - 80.00% Paid Off - 360 28-Mar-2006
1127083327 1 264,650.00 264,144.74 21-Nov-2006 8.240% VA - 67.00% Paid Off - 360 03-Apr-2006
1127083487 1 183,750.00 182,672.09 05-Dec-2006 6.990% AZ - 75.00% Paid Off - 360 01-May-2006
1127083736 1 111,200.00 110,932.74 29-Nov-2006 7.440% GA - 80.00% Paid Off - 360 03-Apr-2006
1127083761 1 131,750.00 131,203.85 30-Nov-2006 9.390% GA - 85.00% Paid Off - 360 01-Apr-2006
1127083849 1 261,000.00 259,674.01 01-Dec-2006 8.390% CA - 90.00% Paid Off - 360 01-Apr-2006
1127083859 1 360,000.00 360,000.00 30-Nov-2006 8.240% CA - 80.00% Paid Off - 360 01-Apr-2006
1127083960 1 115,000.00 114,633.76 01-Dec-2006 9.240% SC - 89.15% Paid Off - 360 04-May-2006
1127083972 1 98,000.00 97,398.18 17-Nov-2006 7.440% OH - 80.00% Paid Off - 360 01-Apr-2006
1127084125 1 320,000.00 318,274.76 12-Dec-2006 7.840% MA - 44.57% Paid Off - 360 01-May-2006
1127084164 1 202,000.00 201,223.76 29-Nov-2006 9.540% DC - 42.08% Paid Off - 360 01-May-2006
1127084172 1 202,500.00 201,510.55 24-Nov-2006 7.930% MD - 82.65% Paid Off - 360 01-May-2006
1127084314 1 136,800.00 136,222.75 30-Nov-2006 9.140% GA - 90.00% Paid Off - 360 01-May-2006
1127084315 1 53,550.00 53,401.38 24-Nov-2006 9.890% GA - 85.00% Paid Off - 360 01-Jun-2006
1127084327 1 335,000.00 333,618.10 28-Nov-2006 8.740% NJ - 77.91% Paid Off - 360 01-May-2006
TOTAL 50,051,001.60 49,870,961.67
Page 28 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Realized Loss Report
COLLATERAL REALIZED LOSSES
Total
Current
Number of Loans Liquidated 0
Collateral Principal Realized Loss/(Gain) Amount 0.00
Collateral Interest Realized Loss/(Gain) Amount 0.00
Net Liquidation Proceeds 0.00
Cumulative
Number of Loans Liquidated 13
Collateral Realized Loss/(Gain) Amount 1,014,940.44
Net Liquidation Proceeds 0.00
Page 29 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
DEFAULT SPEEDS
Total
MDR 0.00%
3 Months Avg MDR 0.02%
12 Months Avg MDR 0.01%
Avg MDR Since Cut-off 0.01%
CDR 0.00%
3 Months Avg CDR 0.19%
12 Months Avg CDR 0.10%
Avg CDR Since Cut-off 0.10%
SDA 0.00%
3 Months Avg SDA Approximation 1.18%
12 Months Avg SDA Approximation 0.72%
Avg SDA Since Cut-off Approximation 0.72%
Loss Severity Approximation for Current Period 0.00%
3 Months Avg Loss Severity Approximation 100.00%
12 Months Avg Loss Severity Approximation 100.00%
Avg Loss Severity Approximation Since Cut-off 100.00%
Page 30 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
COLLATERAL REALIZED LOSS CALCULATION METHODOLOGY
Monthly Default Rate (MDR): (Beg Principal Balance of Liquidated Loans)/(Total Beg Principal Balance)
Conditional Default Rate (CDR): 1-((1-MDR)^12)
SDA Standard Default Assumption: CDR/IF(WAS<61,MIN(30,WAS)*0.02,MAX(0.03,MIN(30,WAS)*0.02-0.0095*(WAS-60)))
Average MDR over period between nth month and mth month (AvgMDRn,m): [(1-MDRn)*(1-MDRn+1)*...*(1-MDRm)]^(1/months in period n,m)
Average CDR over period between the nth month and mth month (AvgCDRn,m): 1-((1-AvgMDRn,m)^12)
Average SDA Approximation over period between the nth month and mth month:
AvgCDRn,m/IF(Avg WASn,m<61,MIN(30,Avg WASn,m)*0.02,MAX(0.03,MIN(30,Avg WASn,m)*0.02-0.0095*(Avg WASn,m-60)))
Average WASn,m: (WASn + WASn+1 +...+ WASm )/(number of months in the period n,m)
Loss Severity Approximation for current period: sum(Realized Loss Amount)/sum(Beg Principal Balance of Liquidated Loans)
Average Loss Severity Approximation over period between nth month and mth month: Weighted Avg(Loss Severityn,m)
Note: Default rates are calculated since deal issue date and include realized gains and additional realized losses and gains from prior periods.
Dates correspond to distribution dates.
Page 31 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Realized Loss Detail Report
Loan Number Current State & Prior Realized Cumulative
& Loan Note LTV at Original Principal Loss/(Gain) Realized Realized
Loan Group Status Rate Origination Term Balance Revision Loss/(Gain) Loss/(Gain)
TOTAL
Page 32 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Triggers and Adj. Cert. Report
TRIGGER EVENTS
Total
Trigger Event in effect (0=No , 1=Yes) 0
Stepdown Date has occurred (0 = No, 1=Yes) 0
3M Rolling Avg.Bal 60+ days includes BK,FC,REO 128,190,749.32
Ending Balance 1,890,568,167.27
Prior Period Senior Enhancement Percentage 22.1402%
ADJUSTABLE RATE CERTIFICATE INFORMATION
SPACE INTENTIONALLY LEFT BLANK
ADDITIONAL INFORMATION
Total
Basis Risk CarryForward Amount paid
Basis Risk CarryForward Amount unpaid
Page 33 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Additional Certificate Report
ADDITIONAL CERTIFICATE REPORT
Next Pass Through Rate NET WAC Shortfall CarryOver Interest Carryfrwd Due Interest Carryfrwd Paid NET WAC Shortfall Paid
CLASS
A-1 5.39000% $0.00 $0.00 $0.00 $0.00
A-2 5.45000% $0.00 $0.00 $0.00 $0.00
A-3 5.50000% $0.00 $0.00 $0.00 $0.00
A-4 5.59000% $0.00 $0.00 $0.00 $0.00
M-1 5.63000% $0.00 $0.00 $0.00 $0.00
M-2 5.65000% $0.00 $0.00 $0.00 $0.00
M-3 5.66000% $0.00 $0.00 $0.00 $0.00
M-4 5.70000% $0.00 $0.00 $0.00 $0.00
M-5 5.73000% $0.00 $0.00 $0.00 $0.00
M-6 5.81000% $0.00 $0.00 $0.00 $0.00
B-1 6.20000% $0.00 $0.00 $0.00 $0.00
B-2 6.40000% $0.00 $0.00 $0.00 $0.00
B-3 7.22000% $0.00 $0.00 $0.00 $0.00
X 0.00000% $0.00 $0.00 $0.00 $0.00
P 0.00000% $0.00 $0.00 $0.00 $0.00
R 0.00000% $0.00 $0.00 $0.00 $0.00
UT-IO 0.00000% $0.00 $0.00 $0.00 $0.00
Page 34 of 35
Morgan Stanley ABS Capital I Inc. 2006-HE4
Mortgage Pass-Through Certificates
December 26, 2006 Distribution
Other Related Information
ADDITIONAL INFORMATION
Total
Current Scheduled Payments 14,349,769.29
Current Scheduled Payments 1 Month Prior 14,737,884.23
Current Scheduled Payments 2 Month Prior 15,036,485.69
Current Scheduled Payments 3 Month Prior 15,343,806.52
Current Scheduled Payments 4 Month Prior 15,660,812.78
Current Scheduled Payments 5 Month Prior 15,957,087.40
Current Scheduled Payments 6 Month Prior 0.00
Current Scheduled Payments 7 Month Prior 0.00
Current Scheduled Payments 8 Month Prior 0.00
Current Scheduled Payments 9 Month Prior 0.00
Current Scheduled Payments 10 Month Prior 0.00
Current Scheduled Payments 11 Month Prior 0.00
Sched. Payments for 60+Day Delinquent Loans 2,566.08
Sched. Pmts - 60+Day Delinquent Loans, 1 Month Prior 1,515.67
Sched. Pmts - 60+Day Delinquent Loans, 2 Month Prior 2,876.83
Sched. Pmts - 60+Day Delinquent Loans, 3 Month Prior 1,515.67
Sched. Pmts - 60+Day Delinquent Loans, 4 Month Prior 1,220.60
Sched. Pmts - 60+Day Delinquent Loans, 5 Month Prior 1,873.74
Sched. Pmts - 60+Day Delinquent Loans, 6 Month Prior 0.00
Sched. Pmts - 60+Day Delinquent Loans, 7 Month Prior 0.00
Sched. Pmts - 60+Day Delinquent Loans, 8 Month Prior 0.00
Sched. Pmts - 60+Day Delinquent Loans, 9 Month Prior 0.00
Sched. Pmts - 60+Day Delinquent Loans, 10 Month Prior 0.00
Sched. Pmts - 60+Day Delinquent Loans, 11 Month Prior 0.00
Page 35 of 35