Navient's financial performance has been better than expected, including net income of $370 million in the first quarter of 2021. The company's capital metrics have recovered significantly while the credit quality of the company's loans is now better than pre-pandemic levels and forbearance has normalized. As a result, we revised our outlook to stable from negative and affirmed our long-term issuer credit rating on the company at 'BB-' and unsecured debt rating at 'B+'. The stable outlook on Navient reflects our expectation that it will be able to manage unsecured debt maturities in the next 12 months and deliver steady operating results. We also expect Navient will maintain a risk-adjusted capital (RAC) ratio over 7.0%. On May 7, 2021, S&P
