OREANDA-NEWS. Fitch Ratings affirms the Access Group Inc. Series 2005 Indenture of Trust class A-3 and A-4 notes at 'AAAsf' and class B-1 notes at 'AAsf'. The Rating Outlook for the A-3 notes remains Stable. Fitch has revised the Outlook for the A-4 and class B notes to Negative from Stable.

The Outlook revision for the A-4 and B notes is due to Fitch's belief that the notes carry a heightened level of extension risk. Based on Fitch's cash flow modelling runs, the notes were not paid in full by their legal final maturity date of June 22, 2037 and Sept. 22, 2037 respectively in a stressed scenario. Under such scenarios, this may result in technical defaults, although Fitch would expect ultimate repayment of full principal and interest afterwards.

KEY RATING DRIVERS
High Collateral Quality: The trust collateral consists of 100% of Federal Family Education Loan Program (FFELP) loans. The credit quality of the trust collateral 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. Fitch currently rates the U.S. 'AAA' with a Stable Outlook.

Sufficient Credit Enhancement: While all notes will benefit from future excess spread, the senior notes also benefit from subordination provided by the subordinate notes. As of June 2015, reported senior and total parity is 109.65%, and 101% respectively. Cash is currently being released from the trust since the target total parity of 101% has been met and maintained.

Adequate Liquidity Support: Liquidity support is provided by a reserve account. The reserve is sized equal to the greater of 0.25% of the pool balance and $ 1,006,500.

Acceptable Servicing Capabilities: Xerox Education Services LLC (Xeroz-ES) is responsible for the day to day servicing of the student loans. Fitch believes Xerox-ES to be an acceptable servicer of FFELP student loans.

RATING SENSITIVITIES
Since FFELP student loan ABS rely 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 and basis risk account for the majority of the risk embedded in FFELP student loan transactions. Additional defaults and basis shock beyond Fitch's published stresses could result in future downgrades. Likewise, a buildup of credit enhancement 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 taken the following rating actions:

Access Group Inc., 2005 Indenture of Trust
--Class A-3 affirmed at 'AAAsf'; Outlook Stable;
--Class A-4 affirmed at 'AAAsf'; Outlook revised to Negative from Stable;
--Class B-1 affirmed at 'AAsf'; Outlook revised to Negative from Stable.