NEW YORK (Standard&Poor's) Dec. 6, 2004--Standard&Poor's Rating Services assigned its 'AA' rating to Tennessee Housing Development Agency's $100 million homeownership program bonds series 2004-3A and 2004-3B. The outlook is stable. The rating reflects the very strong credit quality of the single-family loan portfolio, substantial financial strength of the bond resolution, very strong adequacy of reserves for liquidity, sufficient loss coverage in the form of excess assets, and high quality investments. Cash flows were prepared on a stand-alone basis for this issue, reflecting a small reliance on the parity resolution, which is easily covered by substantial overcollateralization. Consolidated cash flows for the bond resolution as of Jan. 1, 2004, were very strong, showing a minimum asset-to-liability ratio
