The ratings on Minnesota Housing Finance Agency's (MHFA) bonds reflect: The GO pledge of MHFA ('AA+') and its top-tier status, Very strong financial performance and credit quality of the residential housing finance bond program, High levels of loan loss coverage provided by overcollateralization and a leveraged self-insurance fund, Cash flow strength, and Investments commensurate with the rating on the bonds. All bonds additionally benefit from the moral obligation pledge of Minnesota ('AAA'). The dual ratings on the short-term bonds reflect the investment of bond principal in investment agreements with appropriately rated providers until the mandatory tender dates scheduled for each series. The parity resolution is strong, with an opening asset-to-liability parity ratio greater than 107% as of Jan. 1, 2002,
