NEW YORK (Standard & Poor's) Aug. 2, 2005--Standard & Poor's Ratings Services today assigned its 'AAA' rating to North Carolina State Education Assistance Authority's (NCSEAA) $300 million taxable guaranteed student loan revenue bonds 2005 series P (senior lien). The rating reflects the approximately 1.7% subordination of the 1995 series A and 1996 series C subordinate lien bonds, the fully funded 3% reserve account, and the excess spread. The reserve account has a floor of $500,000. The rating is further supported by a sound legal structure, federal reinsurance of at least 98.00% of loan principal and interest, and transaction features designed to protect bondholders. The series P bonds will be issued on parity with approximately $1.88 billion of senior series bonds
