TG Helps Advance College Access and Student Retention by Awarding More Than $3.8 Million in Competitive Grants.

ROUND ROCK, Texas -- For the second consecutive year, TG has awarded grants to advance college access, student retention, and educational research. TG's Public Benefit Grant Program, a philanthropic initiative of TG, will award more than $3.8 million in competitive grants to 28 institutions and non-profit organizations. Recipients will use the grant funds to enhance opportunities and access to higher education and improve student success in preparing for and earning a college degree. The TG Public Benefit Grant recipients for 2006-2007 include:

-- Austin Community College
-- Big Brothers/Big Sisters of Central Texas
-- Breakthrough (Texas)
-- College Forward (Texas)
-- El Paso Empowerment Zone Corporation
-- Huston-Tillotson University (Texas)
-- Kalamazoo College (Michigan)
-- LULAC National Educational Service Center - Corpus Christi
-- LULAC National Educational Service Center - Dallas
-- McLennan Community College Foundation (Texas)
-- Partnership for Learning (Michigan)
-- Ray Marshall Center for the Study of Human Resources - LBJ School
   of Public Affairs - University of Texas at Austin
-- St. Edward's University (Texas)
-- San Antonio Education Partnership
-- South Plains College - Tech Prep (Texas)
-- South Texas Tech Prep - Laredo Community College
-- Southwestern University (Texas)
-- Texas A&M University - College Station
-- Texas A&M University - Corpus Christi
-- Texas Higher Education Coordinating Board
-- Texas State University - San Marcos
-- Texas Wesleyan University
-- Thomas M. Cooley Law School (Michigan)
-- Valley Initiative for Development and Advancement (Texas)
-- Vernon College (Texas)
-- The University of Texas at Austin
-- The University of Texas at Brownsville/Texas Southmost College
-- The University of Texas - Pan American

"Since TG's founding 25 years ago, we have believed that everyone who aspires to complete a college degree should have the opportunity to do so," said Sue McMillin, president and CEO for TG, a nonprofit company that provides federal student loan guarantees and helps millions of students finance higher education each year. "Through TG's Public Benefit Grant Program, we're pleased that we can help educational partners and like-minded organizations reach out to students and families."

In determining the recipients, TG required each nonprofit organization to declare its intent to use grant funding to improve access to, or participation in, postsecondary education, college retention, and student success. TG intends that the primary beneficiaries of these efforts, either directly or indirectly, be students who are from low- to moderate-income families, with priority awarded to proposals that addressed the needs of first-generation college students, students from high schools with low college-going rates, and/or students who are underrepresented in higher education.

The grant funds will help organizations carry out efforts that include:

-- Financial aid, in the form of need-based grants to students;
-- Student mentoring and internships;
-- Pre-college outreach to students and parents;
-- Academic support and instruction;
-- Student retention;
-- Student transfer guidance and support; and
-- Education research.

During the first year of funding, TG awarded $1.8 million through its competitive grant program. As in 2005-2006, the current grant funds are offered in addition to ongoing support for the Charley Wootan Grant Program, a need-based grant program established by TG in 2000 that provides $1 million each year to help students enrolled in postsecondary education. Earlier this year, TG's Public Benefit Grant Program also set aside $500,000 to help students whose education was interrupted by Hurricanes Katrina and/or Rita. The TG Textbook Awards program provided 1,000 students with grants to purchase textbooks and education-related supplies for the 2006 summer session or fall semester.

TG is a public, nonprofit corporation that helps create access to higher education for millions of families and students through its role as an administrator of the Federal Family Education Loan Program (FFELP). Its vision is to be the premier source of information, financing, and assistance to help all families and students realize their educational and career dreams. Additional information about TG can be found online at www.tgslc.org. This press release can be downloaded from www.tgslc.org/newsroom/.