Citibank Receives Notice of Clean-up Call Exercise for SEMT 2011-2

Redwood Trust intends to exercise a Clean-up Call and terminate the Trust Fund, as defined in the Pooling and Servicing Agreement, on or around the November Distribution Date. The notice is required by Section 7.01(d) of the agreement and is submitted to Citibank, the Securities Administrator, Paying Agent, and Authorizing Agent. The move is expected to affect the Class LT-R Certificate.