In just its second foray in the public term ABS market, student lender Nelnet Inc. accomplished its goal of pricing on top of sector benchmark issuer Sallie Mae on its short-dated tranches classes of its 2002-2 offering. Out on the curve and down in credit, however, it was another story, pricing wider versus Sallie than it had in May.
With its inaugural 2002-1 offering in May, Nelnet priced one basis point cheap to the comparable Sallie 02-2 at the front end of the yield curve and four basis points outside of SLMA for longer-dated 7.5-year triple-A rated A2 paper. Single-A rated B paper cleared 12 basis points outside of SLMA 02-2 B. Since May, Sallie has altered its structure in favor of four-senior-tranches.