Goldman's strongest defense seems to be the fact that they lost more than $90 million on the deal and only received $15 million in fees. Quoting their press release:
"Lost Money On The Transaction. , itself, lost more than $90 million. Our fee was $15 million. We were subject to losses and we did not structure a portfolio that was designed to lose money."
Thoughts on this and the rest of the press release (linked below)??