The 'AAA' long-term rating on Colorado Housing and Finance Authority's (CHFA) series 2004 A-1 and A-2 and existing single-family mortgage bonds reflects: The credit quality of the FHA-insured, conventionally insured, other insured, and uninsured mortgage loans backing the bonds; High-quality investments; Sufficiency of reserves to cover potential credit and liquidity shortfalls; Substantial overcollateralization, as required in bond documents; and A strong legal structure. The 'A+' rating and stable outlook on 2004 A-3 class III bonds are based on the GO rating of the Colorado Housing and Finance Authority. The short-term 'A-1+' rating on the class I bonds is based on a SBPA from Dexia Credit Local ('A-1+') for the purchase price of tenders on the taxable series A-1 bonds and
