Fitch Rates Massachusetts Educational Financing Auth Issue E, Series 2006.NEW YORK -- Fitch rates the following education loan revenue bonds issued by Massachusetts Educational Financing Authority (MEFA MEFA Massachusetts Educational Financing Authority MEFA Mid-Eastern Farrier's Association ): Ratings for new issuance: -- $75,000,000 Series 2006A-1, 'AAA'; -- $75,000,000 Series 2006A-2, 'AAA'; -- $57,875,000 Series 2006-B, 'AAA'; -- $55,000,000 Series 2006-C, 'AAA'; -- $55,000,000 Series 2006-D, 'AAA'. The ratings are based on the support of Financial Guaranty Insurance Policies provided by Ambac Assurance Corporation Ambac Assurance Corporation A subsidiary of publicly traded Ambac Financial Group that provides financial guarantees for municipal borrowers and for asset-backed and structured issues. (rated 'AAA' insurer financial strength by Fitch). The bonds of the Issue E indenture are fully guaranteed by Ambac for the payment of timely interest and principal at bond maturity. The Series 2006 bonds will be the 13th issuance under the Issue E indenture dated May 1, 1992, as amended and restated as of Feb. 9, 2006. The tax-exempt series 2006 bonds are 35-Day Auction Rate Securities, with interest paid semiannually on the first of each January and July, commencing on July 1, 2006. The taxable series 2006 bonds are 28-Day Auction Rate Securities, with interest paid monthly, commencing on July 12, 2006. The legal final maturity for the Series 2006 bonds is Jan. 1, 2036. At closing 78.8% 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 21.2% of the collateral pool at closing is comprised of loans originated under the Massachusetts Educational Financing Authority 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. . The student loans pledged under the indenture will be serviced by ACS (Asynchronous Communications Server) See network access server. Education Services. MEFA, a public corporation and governmental instrumentality Instrumentality Notes issued by a federal agency whose obligations are guaranteed by the full-faith-and-credit of the government, even though the agency's responsibilities are not necessarily those of the US government. , 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 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 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 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. |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion