Fitch Rates ALLSLC Student Loan Program Revenue Bonds, Series IV

Business Wire, Jan 30, 2003

Business Editors

NEW YORK--(BUSINESS WIRE)--Jan. 30, 2003

Fitch rates the following Bonds issued by Access to Loans for Learning Student Loan Corporation (ALLSLC):

Ratings for new issuance:

--$125,000,000 Student Loan Program Revenue Bonds, Senior Series IV-A-6; 'AAA';

--$34,500,000 Student Loan Program Revenue Bonds, Senior Series IV-A-7; 'AAA';

--$34,000,000 Student Loan Program Revenue Bonds, Senior Series IV-A-8; 'AAA';

--$25,500,000 Student Loan Program Revenue Bonds, Senior Series IV-A-9; 'AAA';

--$23,200,000 Student Loan Program Revenue Bonds, Senior Series IV-A-10; 'AAA';

--$10,000,000 Student Loan Program Revenue Bonds, Subordinate Series IV-C-2; 'A'.

Ratings affirmed on existing debt:

--$25,000,000 Student Loan Program Revenue Bonds, Senior Series IV-A-4; 'AAA';

--$61,500,000 Student Loan Program Revenue Bonds, Senior Series IV-A-5; 'AAA';

--$61,000,000 Student Loan Program Revenue Bonds, Senior Series IV-A-1; 'AAA';

--$61,000,000 Student Loan Program Revenue Bonds, Senior Series IV-A-2; 'AAA';

--$35,000,000 Student Loan Program Revenue Bonds, Senior Series IV-A-3; 'AAA';

--$30,000,000 Student Loan Program Revenue Bonds, Subordinate Series IV-C-1; 'A'.

Fitch Ratings assigns 'AAA' ratings to the Senior Series IV-A-6 through IV-A-10 Student Loan Program Revenue Bonds and 'A' rating to the Subordinate Series IV-C-2 Student Loan Program Revenue Bonds. Fitch affirms the 'AAA' ratings on the above captioned existing senior series bonds as well as the 'A' ratings on the above captioned subordinate series bonds.

The ratings are based on the quality of the student loan portfolio; the reserve fund, sized at 1.0% of the outstanding debt with a $500,000 minimum; and the sound legal structure of the transaction. In addition, the ratings on the Senior Series IV bonds are based on the 9.46% subordination provided by the Subordinate IV-C-1 and IV-C-2 Series bonds and the unrated Junior Subordinate Series IV-D-1 and IV-D-2 bonds. The ratings on the Subordinate IV-C-1 and IV-C-2 Series bonds are based on the 2.0% subordination provided by the unrated Junior Subordinate Series IV-D-1 and IV-D-2 bonds.

The ratings reflect the ability of the trust to redeem bonds at maturity and pay timely interest. The ratings do not address the ability of the trust to pay carryover interest, nor do they address the ability of the auction rate bondholders to successfully redeem their bonds at an auction now or in the future.

The bonds are issued under the Fifth Supplemental Indenture dated January 1, 2003 to the Trust Indenture, dated as of May 1, 1998 between ALL Student Loan, ALL Student Credit and the Trustee.

Proceeds form the issuance of all but the series IV-A-10 bond issuance will be used to refinance the principal of and accrued interest on all outstanding bonds issued under ALLSLC's Series III indenture. Proceeds from the series IV-A-10 issuance will be used to finance eligible loans.

The series IV-A-6 LIBOR floating-rate notes will pay interest quarterly at a rate equal to three-month LIBOR plus a spread. The series IV-A-7 and IV-A-8 Reset Auction Mode Securities (RAMS) will pay interest monthly based on a 28-day auction rate and the series IV-A-9, series IV-A-10 and IV-C-2 RAMS will pay interest based on a 35-day auction rate on each January 1 and July 1.

Principal on the series IV-A-6 LIBOR floating rate bonds will be paid according to a targeted amortization schedule, with the first payment to be made on July 25, 2003. The series IV-A-7, IV-A-8, VI-A-9, IV-A-10, and VI-C-2 RAMS will be subject to optional and mandatory redemption prior to maturity. Legal final maturity date on the Series IV-A-6 is January 25, 2013. The legal final maturity date on the Series IV-A-7 through series IV-A-10 is July 1, 2037 and the legal final on the subordinate Series IV-C-10 is July 1, 2031.

The collateral securing the bonds are loans originated under the Federal Family Education Loan Program (FFELP). The loans are guaranteed at either 100% or 98% of principal and accrued interest by an eligible guarantor(s), depending on loan origination date, and reinsured by the U.S. Department of Education up to the same amounts.

Sallie Mae Servicing ACS Educational Services, Inc. and Great Lakes Educational Loan Services (GLELSI) provide loan servicing to this portfolio.

Access to Loans for Learning (ALLSLC), previously known as Student Education Loan Marketing Corp. (SELMAC), is a non-profit public benefit corporation organized and existing under the laws of the State of California. The company is a 501 (c)(3) and exempt from federal income tax.

ALL Student Credit (ALLSCC) is a non-profit public benefit corporation incorporated and existing under the laws of California and an affiliate of ALL Student Loan under common control with ALL Student Loan, by ALL Management. ALL Student Credit was formed primarily for the purpose of financing educational loans which would not necessarily be, but may be, originated under the Higher Education Act.

This indenture is structured as a duel-issuer indenture. ALLSLC and ALLSCC are both authorized to issue debt under the indenture. However, ALLSCC has not to date, and will not be issuing debt in this transaction.