OREANDA-NEWS. Fitch Ratings affirms the Louisiana Public Facilities Authority 2011A senior notes at 'AAAsf'. The Rating Outlook remains Stable.

KEY RATING DRIVERS
High Collateral Quality: The trust collateral is composed entirely of student loans originated under the Federal Family Education Loan Program (FFELP). The credit quality of the trust is high, in Fitch's opinion, based on the guarantees provided by the transaction's eligible guarantors and reinsurance provided by the U.S. Department of Education (ED) for at least 97% of principal and accrued interest. The Stable Outlook on the notes is consistent with Fitch's affirmation of the U.S. sovereign rating at 'AAA'/Outlook Stable.

Sufficient Credit Enhancement: Credit enhancement (CE) is provided by overcollateralization (OC; the excess of the trust's asset balance over bond balance) and excess spread. As of September 2015, total parity is 112.51%. The parity ratio is expected to continue to rise, as the trust is in turbo, and no funds will be released until the notes are paid in full.

Adequate Liquidity Support: Liquidity support is provided by a debt service reserve fund currently sized at $757,119.

Acceptable Servicing Capabilities: Edfinancial (97.60%) and Nelnet (2.40%) are responsible for day-to-day servicing of the trust. Fitch believes Edfinancial and Nelnet to be acceptable servicers of FFELP student loans. Nelnet Servicing, LLC is the backup servicer for Edfinancial.

On Nov. 18, 2015, Fitch released its exposure draft which delineates revisions it plans to make to the 'Rating U.S. Federal Family Education Loan Program Student Loan ABS Criteria', dated June 23, 2014. Fitch has reviewed this transaction under both the existing and proposed criteria, which has resulted in affirming the senior notes at 'AAAsf' and maintaining the Outlooks at Stable.

RATING SENSITIVITIES
Since the FFELP student loan ABS relies on the U.S. government to reimburse defaults, 'AAAsf' FFELP ABS ratings will likely move in tandem with the 'AAA' U.S. sovereign rating. Aside from the U.S. sovereign rating, defaults, basis risk, and loan extension risk account for the majority of the risk embedded in FFELP student loan transactions. Additional defaults, basis shock beyond Fitch's published stresses, lower than expected payment speed, and other factors could result in future downgrades. Likewise, a buildup of CE driven by positive excess spread given favorable basis factor conditions could lead to future upgrades.

DUE DILIGENCE USAGE
No third party due diligence was provided or reviewed in relation to this rating action.

Fitch has affirmed the following:

Louisiana Public Facilities Authority 2011A:
--Class A-2 at 'AAAsf'; Outlook Stable;
--Class A-3 at 'AAAsf'; Outlook Stable.