Summary: Pennsylvania Higher Education Assistance Agency; General Obligation

Standard&Poor's Ratings Services has assigned its 'AA' issuer credit rating (ICR) to Pennsylvania Higher Education Assistance Agency (PHEAA). The outlook is stable. The ICR reflects our view of the agency's: Dominant position in student lending; Status as one of only four companies with a servicer contract awarded by the U.S. Department of Education; and Large balance Federal Family Education Loan Program (FFELP) portfolio expected to generate low-risk cash flows for the next two decades. The above strengths are offset by our opinion of the following weaknesses: Exposure to balance of unsecured consumer loans; Heavy reliance on the asset-backed securities market; and Limited business diversity outside of the student-loan industry. PHEAA is a public corporation and government instrumentality created

Summary