Fitch removes negative watch from bonds

JACKSON — Fitch Ratings has affirmed 20 classes of senior bonds, removed the rating watch of “negative” and affirmed seven classes of subordinate bonds issued by Mississippi Higher Education Assistance Corporation (MHEAC) 1999 Trust. The rating outlook remains “stable” for the senior bonds.

The actions are based on the improving credit profile of the trust as reflected by the parity increase.

Fitch wrote: “The subordinated bonds were put on Rating Watch Negative on Jan. 30, 2009, because of decreasing parity due to auction rate failures and negative carry from significant amounts of cash in the redemption account. However, as of June 23, 2009, MHEAC has redeemed $164.4 million of bonds using the funds in the redemption account, including any unused recycling proceeds.

“The bonds were redeemed at a discount. As a result the total and senior parity has increased to 103.32 percent and 115.47 percent, respectively, for the distribution period ending Jun. 30, 2009, compared with 99.83 percent total parity and 109.49 percent senior parity when the subordinate bonds were place on Rating Watch Negative.”

Close this Window Bookmark and Share This Page

Save to Browser Favorites / Bookmarks

Print RSS Feed Ask backflip blinklist BlogBookmark Bloglines BlogMarks Blogsvine BuddyMarks BUMPzee! CiteULike co.mments

Connotea del.icio.us Digg diigo DotNetKicks DropJack dzone Facebook Fark Faves Feed Me Links Friendsite folkd.com

Furl Google Hugg Jeqq Kaboodle kirtsy linkaGoGo linkedin LinksMarker Ma.gnolia Mister Wong Mixx MySpace

MyWeb Netvouz Newsvine oneview OnlyWire PlugIM Propeller Reddit Rojo Segnalo Shoutwire Simpy Slashdot

Sphere Sphinn Spurl Squidoo StumbleUpon Technorati ThisNext Twitter Webride Windows Live Yahoo!

Email This to a Friend

Copy HTML: 

 If you like this then please subscribe to the RSS Feed.

More »