Oct. 30, 2009 (Business Wire) -- Fitch Ratings affirms and assigns Stable Rating Outlooks to the senior student loan notes of the National Education Loan Network (Nelnet) series 2005-4. The trust has been producing excess spread, and the parity for the senior notes is at 104.9% as of Aug. 31, 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 affirmations are based on the performance of the trust in-line with the expectations outlined therein. The existence of auction rate securities has not had a significant impact on the trust performance.
Assignment of the Stable Outlooks reflects Fitch's expectation that, with the significant buildup of parity for the senior notes, the ratings are expected to remain stable for the next two years. The subordinate student loan note is on Rating Watch Negative and will be reviewed separately upon the completion of the updated basis risk analysis.
The collateral supporting Nelnet Student Loan Trust series 2005-4 notes consists entirely of federally guaranteed student loans originated under the Federal Family Education Loan Program (FFELP). FFELP loans are guaranteed at least 97% of principal and accrued interest, depending on the loan origination date. The loans are serviced solely by Nelnet, Inc., which does not carry a Fitch Seller/Servicer Rating.
Fitch affirms and assigns Outlooks to the following senior classes of Nelnet Student Loan Trust series 2005-4 notes:
--Class A-2 notes at 'AAA'; Outlook Stable;
--Class A-3 notes at 'AAA'; Outlook Stable;
--Class A-4L notes at 'AAA'; Outlook Stable;
--Class A-4 AR-1 notes at 'AAA'; Outlook Stable;
--Class A-4 AR-2 notes 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.
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