Fitch Affirms PHEAA 2006-2 Indenture Senior Notes; Assigns Stable Outlook.NEW YORK -- Fitch Ratings affirms and assigns a Stable Rating Outlook to the senior student loan notes of the Pennsylvania Higher Education Assistance Agency The Pennsylvania Higher Education Assistance Agency, or "PHEAA", headquartered in Harrisburg, Pennsylvania, with regional offices throughout the state , is the quasi-governmental agency that administers several State higher education student financial aid programs. (PHEAA) series 2006-2 Trust. The trust has been producing excess spread, and the parity for the senior notes are at 104.69% as of Sept. 30, 2009 and increasing. A complete list of rating actions follows at the end of this press release. Fitch's Global Structured Finance Rating Criteria were used to review the ratings and the affirmation is based on the performance of the trust in-line with the expectation. The existence of auction rate securities has not had a significant impact on the trust performance. The Stable Outlook is based on Fitch's expectation that with the significant buildup of parity for the senior notes the ratings will remain stable for the next two years. The subordinate student loan notes, which are currently rated 'A', will be reviewed separately upon the completion of the updated basis risk analysis. The collateral supporting the PHEAA series 2006-2 Trust notes consist entirely of federally guaranteed student loans originated under the Federal Family Education Loan Program The Federal Family Education Loan Program (FFELP) is a United States Department of Education program that provides for private organizations to market, originate, and service federally guaranteed loans, such as Stafford and PLUS loans to students and their parents. (FFELP). FFELP loans are guaranteed at least 97% of principal and accrued interest, depending on the loan origination date. The loans are 100% serviced by AES, which does not carry a Fitch Seller/Servicer Rating. Fitch affirms the ratings and assigns Outlooks to the following senior classes of Pennsylvania Higher Education Assistance Agency series 2006-2 Trust notes: --Senior class A-1 at 'AAA'; Outlook Stable; --Senior class A-2 at 'AAA'; Outlook Stable; --Senior class A-3 at 'AAA'; Outlook Stable. The following applicable criteria report is available on Fitch's web site at 'www.fitchratings.com': 'Global Structured Finance Rating Criteria' dated Sept. 30, 2009. Additional information is available at 'www.fitchratings.com'. ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP HTTP in full HyperText Transfer Protocol Standard application-level protocol used for exchanging files on the World Wide Web. HTTP runs on top of the TCP/IP protocol. ://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE Terms of Use are rules set up by the owner of an intellectual property or service to govern how they may be legally used. In many cases, terms of service are used as a contractual agreement between a company and users of a service they provide. OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE. |
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