|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|------------------------------------------------- | ---- | --------- | ------------- | ----- | -------------- |  | ----------------------- |  | --------------- |  | --------- |  |  |  | -------------- | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |               
|Morgan Stanley ABS Capital I Inc. Series 2004-HE5
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|2004 Annual Statement                            
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | DISTRIBUTION IN DOLLARS |  |                 |  |           |  | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  | ENDING BALANCE | 
|PERIOD                                            |      | CLASS     |               | CUSIP |                |  | INTEREST                |  |                 |  | PRINCIPAL |  | 
|200408                                            | A-1  | 61746RHL8 | $819,534.98   |       | $12,243,124.37 |  | $533,254,875.63         | 
|200409                                            | A-1  | 61746RHL8 | $992,298.45   |       | $14,745,886.58 |  | $518,508,989.05         | 
|200410                                            | A-1  | 61746RHL8 | $909,407.15   |       | $17,863,001.69 |  | $500,645,987.36         | 
|200411                                            | A-1  | 61746RHL8 | $1,044,681.29 |       | $24,571,727.70 |  | $476,074,259.66         | 
|200412                                            | A-1  | 61746RHL8 | $1,064,085.88 |       | $22,434,635.53 |  | $453,639,624.13         | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $4,830,007.75           |  | $91,858,375.87  |  |           |  | 
|200408                                            | A-2  | 61746RHB0 | $184,270.83   |       | $3,493,129.19  |  | $121,506,870.81         | 
|200409                                            | A-2  | 61746RHB0 | $222,205.69   |       | $3,576,975.73  |  | $117,929,895.08         | 
|200410                                            | A-2  | 61746RHB0 | $203,625.62   |       | $3,518,216.65  |  | $114,411,678.43         | 
|200411                                            | A-2  | 61746RHB0 | $235,179.56   |       | $5,349,134.41  |  | $109,062,544.02         | 
|200412                                            | A-2  | 61746RHB0 | $240,481.49   |       | $5,846,696.38  |  | $103,215,847.64         | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $1,085,763.19           |  | $21,784,152.36  |  |           |  | 
|200408                                            | A-3  | 61746RHC8 | $193,317.22   |       | $5,264,481.03  |  | $136,735,518.97         | 
|200409                                            | A-3  | 61746RHC8 | $232,507.36   |       | $5,390,845.81  |  | $131,344,673.16         | 
|200410                                            | A-3  | 61746RHC8 | $212,486.49   |       | $5,302,290.23  |  | $126,042,382.93         | 
|200411                                            | A-3  | 61746RHC8 | $243,401.85   |       | $8,061,659.07  |  | $117,980,723.86         | 
|200412                                            | A-3  | 61746RHC8 | $245,922.72   |       | $8,811,532.72  |  | $109,169,191.14         | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $1,127,635.64           |  | $32,830,808.86  |  |           |  | 
|200408                                            | A-4  | 61746RHD6 | $73,987.27    |       | $0.00          |  | $46,387,000.00          | 
|200409                                            | A-4  | 61746RHD6 | $91,208.43    |       | $0.00          |  | $46,387,000.00          | 
|200410                                            | A-4  | 61746RHD6 | $85,506.70    |       | $0.00          |  | $46,387,000.00          | 
|200411                                            | A-4  | 61746RHD6 | $101,535.99   |       | $0.00          |  | $46,387,000.00          | 
|200412                                            | A-4  | 61746RHD6 | $108,274.38   |       | $0.00          |  | $46,387,000.00          | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $460,512.77             |  | $0.00           |  |           |  | 
|200408                                            | B-1  | 61746RHH7 | $42,676.88    |       | $0.00          |  | $16,054,000.00          | 
|200409                                            | B-1  | 61746RHH7 | $50,991.52    |       | $0.00          |  | $16,054,000.00          | 
|200410                                            | B-1  | 61746RHH7 | $46,074.98    |       | $0.00          |  | $16,054,000.00          | 
|200411                                            | B-1  | 61746RHH7 | $53,977.12    |       | $0.00          |  | $16,054,000.00          | 
|200412                                            | B-1  | 61746RHH7 | $55,720.55    |       | $0.00          |  | $16,054,000.00          | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $249,441.05             |  | $0.00           |  |           |  | 
|200408                                            | B-2  | 61746RHJ3 | $41,643.03    |       | $0.00          |  | $14,984,000.00          | 
|200409                                            | B-2  | 61746RHJ3 | $49,653.23    |       | $0.00          |  | $14,984,000.00          | 
|200410                                            | B-2  | 61746RHJ3 | $44,752.21    |       | $0.00          |  | $14,984,000.00          | 
|200411                                            | B-2  | 61746RHJ3 | $52,377.40    |       | $0.00          |  | $14,984,000.00          | 
|200412                                            | B-2  | 61746RHJ3 | $53,942.20    |       | $0.00          |  | $14,984,000.00          | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $242,368.07             |  | $0.00           |  |           |  | 
|200408                                            | B-3  | 61746RHK0 | $49,315.79    |       | $0.00          |  | $11,773,000.00          | 
|200409                                            | B-3  | 61746RHK0 | $57,898.63    |       | $0.00          |  | $11,773,000.00          | 
|200410                                            | B-3  | 61746RHK0 | $51,186.39    |       | $0.00          |  | $11,773,000.00          | 
|200411                                            | B-3  | 61746RHK0 | $59,466.73    |       | $0.00          |  | $11,773,000.00          | 
|200412                                            | B-3  | 61746RHK0 | $60,123.90    |       | $0.00          |  | $11,773,000.00          | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $277,991.44             |  | $0.00           |  |           |  | 
|200408                                            | M-1  | 61746RHE4 | $114,770.53   |       | $0.00          |  | $68,497,000.00          | 
|200409                                            | M-1  | 61746RHE4 | $140,961.12   |       | $0.00          |  | $68,497,000.00          | 
|200410                                            | M-1  | 61746RHE4 | $131,590.35   |       | $0.00          |  | $68,497,000.00          | 
|200411                                            | M-1  | 61746RHE4 | $156,020.94   |       | $0.00          |  | $68,497,000.00          | 
|200412                                            | M-1  | 61746RHE4 | $165,780.87   |       | $0.00          |  | $68,497,000.00          | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $709,123.81             |  | $0.00           |  |           |  | 
|200408                                            | M-2  | 61746RHF1 | $128,029.20   |       | $0.00          |  | $58,864,000.00          | 
|200409                                            | M-2  | 61746RHF1 | $154,591.58   |       | $0.00          |  | $58,864,000.00          | 
|200410                                            | M-2  | 61746RHF1 | $141,469.81   |       | $0.00          |  | $58,864,000.00          | 
|200411                                            | M-2  | 61746RHF1 | $166,519.72   |       | $0.00          |  | $58,864,000.00          | 
|200412                                            | M-2  | 61746RHF1 | $173,893.30   |       | $0.00          |  | $58,864,000.00          | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $764,503.61             |  | $0.00           |  |           |  | 
|200408                                            | M-3  | 61746RHG9 | $36,857.31    |       | $0.00          |  | $16,054,000.00          | 
|200409                                            | M-3  | 61746RHG9 | $44,369.24    |       | $0.00          |  | $16,054,000.00          | 
|200410                                            | M-3  | 61746RHG9 | $40,456.08    |       | $0.00          |  | $16,054,000.00          | 
|200411                                            | M-3  | 61746RHG9 | $47,555.52    |       | $0.00          |  | $16,054,000.00          | 
|200412                                            | M-3  | 61746RHG9 | $49,499.62    |       | $0.00          |  | $16,054,000.00          | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $218,737.77             |  | $0.00           |  |           |  | 
|200408                                            | P    | MS04H5102 | $82,781.68    |       | $0.00          |  | $0.00                   | 
|200409                                            | P    | MS04H5102 | $474,556.08   |       | $0.00          |  | $0.00                   | 
|200410                                            | P    | MS04H5102 | $584,531.29   |       | $0.00          |  | $0.00                   | 
|200411                                            | P    | MS04H5102 | $639,175.26   |       | $0.00          |  | $0.00                   | 
|200412                                            | P    | MS04H5102 | $701,706.69   |       | $0.00          |  | $0.00                   | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $2,482,751.00           |  | $0.00           |  |           |  | 
|200408                                            | UT-R | MS04H5103 | $0.00         |       | $0.00          |  | $0.00                   | 
|200409                                            | UT-R | MS04H5103 | $0.00         |       | $0.00          |  | $0.00                   | 
|200410                                            | UT-R | MS04H5103 | $0.00         |       | $0.00          |  | $0.00                   | 
|200411                                            | UT-R | MS04H5103 | $0.00         |       | $0.00          |  | $0.00                   | 
|200412                                            | UT-R | MS04H5103 | $0.00         |       | $0.00          |  | $0.00                   | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $0.00                   |  | $0.00           |  |           |  | 
|200408                                            | X    | MS04H5101 | $4,175,099.73 |       | $415.23        |  | $25,151,170.77          | 
|200409                                            | X    | MS04H5101 | $3,703,767.03 |       | $0.00          |  | $25,151,170.77          | 
|200410                                            | X    | MS04H5101 | $3,739,720.73 |       | $0.00          |  | $25,151,170.77          | 
|200411                                            | X    | MS04H5101 | $3,295,269.44 |       | $0.00          |  | $25,151,170.77          | 
|200412                                            | X    | MS04H5101 | $3,025,313.12 |       | $0.00          |  | $25,151,170.77          | 
|                                                  |      |           |               |       |                |  |                         |  |                 |  |           |  |  |  |                | 
|                                                  |      |           |               |       |                |  | $17,939,170.05          |  | $415.23         |  |           |  | 
|                                                  |      |           |               |       |                |  | $30,388,006.15          |  | $146,473,752.32 |  |           |  |