NEW YORK (Standard&Poor's) Aug. 19, 2008--Standard&Poor's Ratings Services today raised its short-term ratings on Pennsylvania Higher Education Assistance Agency's series 2006-A and 2007-A bonds to 'A-1+' from 'A-1'. The 'AA' long-term ratings on the bonds were not affected (see list). The rating actions follow the Aug. 12, 2008, upgrade of Morgan Stanley Bank (AA-/Negative/A-1+). The 'A-1+' short-term ratings assigned to the series 2006-A and 2007-A bonds reflect our opinion of Morgan Stanley Bank's ability, as the standby bond purchaser, to pay the purchase price (the principal amount plus accrued interest) when bondholders tender the bonds. The 'AA' long-term ratings on the bonds are unaffected, as they are based on an unconditional, irrevocable financial guarantee insurance policy
