The ratings on Colorado Housing and Finance Authority's (CHFA) Senior Series 2001A single-family mortgage program bonds are based upon the following factors: The very high quality of the mortgage collateral, consisting primarily of FHA insured and VA guaranteed mortgage loans; A conscientious and experienced state housing finance authority overseeing the performance of the loan portfolio; Various stressful cash flow scenarios demonstrating the sufficiency of revenues and assets to cover all debt service and fees until maturity, Overcollateralization at the 'AA' rating level; and A strong legal structure. The rating on CHFA's Series 2001A subordinate bonds is based upon a general obligation pledge by the Authority ('A+/Stable'), as well as the mortgage collateral. The bonds are being issued on a stand-alone
