Fitch Affirms Rhode Island Student Loan Authority 2009 Trust

NEW YORK--()--Fitch Ratings affirms the ratings of the bonds issued by the Rhode Island Student Loan Authority (RISLA) 2009 Trust at 'Asf'. The Rating Outlook remains Stable.

A detailed list of rating actions follows at the end of this press release.

The affirmations are based on a sufficient level of enhancement to cover the applicable risk factor stresses. The collateral consists of 100% private student loans.

KEY RATING DRIVERS

Adequate Collateral Quality: The trust is collateralized by approximately $127.4 million of private student loans as of Jan., 2 2014. The loans were originated under the Rhode Island Family Education Loan program by RISLA.

Sufficient Credit Enhancement (CE): CE is provided by overcollateralization (OC; the excess of trust's asset balance over bond balance) and excess spread. Total parity is currently 111.43%. The projected rating defaults are expected to range between 8%-10%. A recovery rate of 55% was applied which was determined to be appropriate based on data provided by the issuer.

Satisfactory Servicing Capabilities: Day-to-day servicing is provided by RISLA. Fitch believes the servicing operations are acceptable at this time.

RATING SENSITIVITIES

As Fitch's base case default proxy is derived primarily from historical collateral performance, actual performance may differ from the expected performance, resulting in higher loss levels than the base case. This will result in a decline in CE and remaining loss coverage levels available to the notes and may make certain note ratings susceptible to potential negative rating actions, depending on the extent of the decline in coverage. Fitch will continue to monitor the performance of the trust.

A comparison of the transaction's Representations, Warranties and Enforcement Mechanisms (RW&E) to those of typical RW&Es for that asset class is available at www.fitchratings.com.

Fitch affirms the following ratings:

Rhode Island Student Loan Authority Series 2009

-- Serial 2014 at 'Asf'; Outlook Stable;

-- Serial 2015 at 'Asf'; Outlook Stable;

-- Serial 2016 at 'Asf'; Outlook Stable;

-- Serial 2017 at 'Asf'; Outlook Stable;

-- Serial 2017* at 'Asf'; Outlook Stable;

-- Serial 2018 at 'Asf'; Outlook Stable;

-- Serial 2019 at 'Asf'; Outlook Stable;

-- Serial 2019* at 'Asf'; Outlook Stable;

-- Serial 2020 at 'Asf'; Outlook Stable;

-- Serial 2021 at 'Asf'; Outlook Stable;

-- Serial 2022 at 'Asf'; Outlook Stable;

-- Serial 2023 at 'Asf'; Outlook Stable;

-- Serial 2024 at 'Asf'; Outlook Stable;

-- Serial 2025 at 'Asf'; Outlook Stable;

-- Term 2027 at 'Asf'; Outlook Stable;

-- Term 2030 at 'Asf'; Outlook Stable.

Rhode Island Student Loan Authority Series 2010A

-- Serial 2014 at 'Asf'; Outlook Stable;

-- Serial 2015 at 'Asf'; Outlook Stable;

-- Serial 2016 at 'Asf'; Outlook Stable;

-- Serial 2017 at 'Asf'; Outlook Stable;

-- Serial 2018 at 'Asf'; Outlook Stable;

-- Serial 2019 at 'Asf'; Outlook Stable;

-- Serial 2020 at 'Asf'; Outlook Stable;

-- Serial 2021 at 'Asf'; Outlook Stable;

-- Serial 2022 at 'Asf'; Outlook Stable;

-- Serial 2023 at 'Asf'; Outlook Stable;

-- Serial 2024 at 'Asf'; Outlook Stable;

-- Serial 2025 at 'Asf'; Outlook Stable;

-- Serial 2026 at 'Asf'; Outlook Stable;

-- Serial 2027 at 'Asf'; Outlook Stable.

Rhode Island Student Loan Authority Series 2010B

-- Serial 2014 at 'Asf'; Outlook Stable;

-- Serial 2015 at 'Asf'; Outlook Stable;

-- Serial 2016 at 'Asf'; Outlook Stable;

-- Serial 2017 at 'Asf'; Outlook Stable;

-- Serial 2018 at 'Asf'; Outlook Stable;

-- Serial 2019 at 'Asf'; Outlook Stable;

-- Serial 2020 at 'Asf'; Outlook Stable;

-- Serial 2021 at 'Asf'; Outlook Stable;

-- Serial 2022 at 'Asf'; Outlook Stable;

-- Serial 2023 at 'Asf'; Outlook Stable;

-- Serial 2024 at 'Asf'; Outlook Stable;

-- Serial 2025 at 'Asf'; Outlook Stable;

-- Serial 2026 at 'Asf'; Outlook Stable.

Rhode Island Student Loan Authority Series 2012A

--Serial 2014 at 'Asf'; Outlook Stable;

--Serial 2015 at 'Asf'; Outlook Stable;

--Serial 2016 at 'Asf'; Outlook Stable;

--Serial 2017 at 'Asf'; Outlook Stable;

--Serial 2018 at 'Asf'; Outlook Stable;

--Serial 2019 at 'Asf'; Outlook Stable;

--Serial 2020 at 'Asf'; Outlook Stable;

--Serial 2021 at 'Asf'; Outlook Stable;

--Serial 2022 at 'Asf'; Outlook Stable;

--Serial 2023 at 'Asf'; Outlook Stable;

--Serial 2024 at 'Asf'; Outlook Stable;

--Serial 2025 at 'Asf'; Outlook Stable;

--Serial 2026 at 'Asf'; Outlook Stable.

Rhode Island Student Loan Authority Series 2013A

--Serial 2014 at 'Asf'; Outlook Stable;

--Serial 2015 at 'Asf'; Outlook Stable;

--Serial 2016 at 'Asf'; Outlook Stable;

--Serial 2017 at 'Asf'; Outlook Stable;

--Serial 2018 at 'Asf'; Outlook Stable;

--Serial 2019 at 'Asf'; Outlook Stable;

--Serial 2020 at 'Asf'; Outlook Stable;

--Serial 2021 at 'Asf'; Outlook Stable;

--Serial 2022 at 'Asf'; Outlook Stable;

--Serial 2023 at 'Asf'; Outlook Stable;

--Serial 2024 at 'Asf'; Outlook Stable;

--Serial 2025 at 'Asf'; Outlook Stable;

--Serial 2026 at 'Asf'; Outlook Stable;

--Serial 2027 at 'Asf'; Outlook Stable;

--Serial 2028 at 'Asf'; Outlook Stable.

Additional information is available at 'www.fitchratings.com'.

Applicable Criteria and Related Research:

--'U.S. Private Student Loan ABS Criteria', Jan. 29, 2014;

--'Global Structured Finance Rating Criteria', May 24, 2013;

--'Representations, Warranties, and Enforcement Mechanisms in Global Structured Finance Transactions April 17, 2012;

--'Rhode Island Student Loan Authority 2013 Senior Series A', March, 1, 2013.

Applicable Criteria and Related Research:

U.S. Private Student Loan ABS Criteria
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=730956

Representations, Warranties, and Enforcement Mechanisms in Global Structured Finance Transactions -- Amended
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=676496

Rhode Island Student Loan Authority 2013 Senior Series A (US ABS)
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=702731

Global Structured Finance Rating Criteria
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=708661

Additional Disclosure

Solicitation Status
http://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=819871

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE.

Contacts

Fitch Ratings
Primary Analyst
Nicole Edwards, +1-212-908-9114
Director
Fitch Ratings, Inc.
One State Street Plaza
New York, NY 10004
or
Committee Chairperson
Tracy Wan, +1-212-908-9171
Senior Director
or
Media Relations, New York
Sandro Scenga, +1-212-908-0278
sandro.scenga@fitchratings.com

Sharing

Contacts

Fitch Ratings
Primary Analyst
Nicole Edwards, +1-212-908-9114
Director
Fitch Ratings, Inc.
One State Street Plaza
New York, NY 10004
or
Committee Chairperson
Tracy Wan, +1-212-908-9171
Senior Director
or
Media Relations, New York
Sandro Scenga, +1-212-908-0278
sandro.scenga@fitchratings.com