Key Rating Drivers:
As of the
Credit Enhancement (CE):
Credit enhancement is provided by overcollateralization and excess spread. The class A and B notes also benefit from subordination of class C notes. As of the
Although the parity levels have increased for SLM 2005-A, the junior subordinate note was downgraded due to credit enhancement levels that were insufficient to maintain current ratings. SLM 2004-B and SLM 2005-A notes that were affirmed were due to sufficient levels of credit enhancement to maintain current ratings. The Negative Outlook for SLM 2005-A is due to continued deterioration in the collateral performance and compressed loss coverage.
Liquidity support is provided by a reserve account sized at approximately
Day-to-day servicing is provided by
As Fitch's base case default proxy is derived primarily from historical collateral performance, actual performance may differ from the expected performance, resulting in higher loss levels than the base case. This will result in a decline in credit enhancement and remaining loss coverage levels available to the notes and may make certain note ratings susceptible to potential negative rating actions, depending on the extent of the decline in coverage.
The collateral securing the notes are private student loans originated to undergraduate, graduate, law, Med and MBA students under the Signature and EXCEL programs. The private student loans are intended to assist individuals in financing their undergraduate or graduate education beyond FFELP limits.
Fitch has taken the following rating actions:
--Class A-2 affirmed at 'AAsf'; to Outlook Stable from Negative;
--Class A-3 affirmed at 'AAsf'; to Outlook Stable from Negative;
--Class A-4 affirmed at 'AAsf'; to Outlook Stable from Negative;
--Class B affirmed at 'Asf'; to Outlook Stable from Negative;
--Class C affirmed at 'BBsf'; to Outlook Stable from Negative.
--Class A-2 affirmed at 'AA-sf'; Outlook Negative;
--Class A-3 affirmed at 'AA-sf'; Outlook Negative;
--Class A-4 affirmed at 'AA-sf'; Outlook Negative;
--Class B affirmed at 'Asf'; Outlook Negative;
--Class C downgraded to 'BBsf' from 'BBB-sf'; Outlook Negative.
Additional information is available at 'www.fitchratings.com'
--'U.S. Private Student Loan ABS Criteria'
--'Global Structured Finance Rating Criteria'
U.S. Private Student Loan ABS Criteria
Global Structured Finance Rating Criteria
Source: Fitch Ratings
Most Popular Stories
- Dmytro Firtash, Ukrainian Billionaire, Arrested in Vienna
- Obama, Ukraine Discuss Russian Incursion in Crimea
- Liberty Media Drops Sirius Bid
- Obama's Overtime Initiative Praised, Condemned
- Republicans Warn Obama on Immigration
- Uli Hoeness, Bayern Munich President, Gets Prison for Tax Evasion
- West Readies Harsh Sanctions Against Russia
- Drake Wins Big MTV's Woodie Awards at SXSW
- Lady Gaga Roasts Self on Spit at SXSW
- Calumet Photo Files for Bankruptcy