Fitch Rates Massachusetts Educ Financing Authority's Student Loan Revenue Bonds.

NEW YORK -- Fitch rates the following student loan revenue bonds issued by Massachusetts Educational Financing Authority (MEFA):

Ratings for new issuance:

-- $100,000,000 series 2005-A, 'AAA';

-- $50,000,000 series 2005-B, 'AAA';

-- $33,650,000 series 2005-C, 'AAA';

-- $28,200,000 series 2005-D, 'AAA'.

Ratings confirmed on existing debt:

-- $4,810,000 series 1995-B, 'AAA';

-- $9,180,000 series 1996-B, 'AAA';

-- $1,600,000 series 1996-C, 'AAA';

-- $15,380,000 series 1997-B, 'AAA';

-- $37,290,000 series 1999-A, 'AAA';

-- $43,995,000 series 2001-A, 'AAA';

-- $8,400,000 series 2001-B, 'AAA';

-- $56,800,000 series 2001-C, 'AAA';

-- $16,700,000 series 2001-D, 'AAA';

-- $57,400,000 series 2002-A, 'AAA';

-- $14,000,000 series 2002-B, 'AAA';

-- $35,150,000 series 2002-C, 'AAA';

-- $35,150,000 series 2002-D, 'AAA';

-- $42,550,000 series 2002-E, 'AAA';

-- $45,000,000 series 2003-A, 'AAA';

-- $30,000,000 series 2003-B, 'AAA';

-- $20,000,000 series 2003-C, 'AAA';

-- $20,000,000 series 2003-D, 'AAA';

-- $44,950,000 series 2003-E, 'AAA';

-- $65,000,000 series 2004-A, 'AAA';

-- $40,000,000 series 2004-B, 'AAA';

-- $20,000,000 series 2004-C, 'AAA';

-- $20,000,000 series 2004-D, 'AAA'.

The ratings are based on the support of Financial Guaranty Insurance Policies provided by Ambac Assurance Corporation (insurer financial strength rated 'AAA' by Fitch). The series 2005 bonds are issued pursuant to the 11th series resolution dated June 7, 2005 to a general resolution, dated as of May 1, 1992, as amended and restated as of June 7, 2005. Issuance proceeds will be deposited to the loan account to purchase additional student loans until Nov. 15, 2008, to redeem the $51.85 million of prior obligations, deposit $9.8 million to the capitalized interest account, and to pay costs of issuance.

The tax-exempt series 2005 bonds are 35-day auction-rate securities, with interest paid semiannually on the first of each January and July, commencing on Jan. 1, 2006. The legal final maturity for the series 2005 bonds is July 1,2040.

At closing, 82.8% of the collateral securing the bonds are credit-tested alternative loans originated under the MEFA Undergraduate Loan and MEFA Loan for Graduate Education loan programs. The MEFA alternative loans are not guaranteed by the Department of Education. The remaining 17.2% of the collateral pool at closing comprises loans originated under the Massachusetts Educational Financing Authority Federal Family Education Loan Program.

The student loans pledged under the indenture will be serviced by ACS Education Services.

MEFA, a public corporation and governmental instrumentality, is organized under the laws of the Commonwealth of Massachusetts. MEFA is authorized to issue bonds or notes for the purpose of purchasing, making, or guaranteeing loans to students or parents.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, 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 are also available from the 'Code of Conduct' section of this site.