Sallie Mae or SLM Corp. issued a statement in response to a Moody’s Investors Service downgrade of its long-term and short-term unsecured debt.

“This action is both unfortunate and surprising in light of the numerous recent positive developments in the financial strength of the company,” said Albert Lord, CEO of SLM Corp. “Moody’s conclusion rests mostly on its predictions of the political process surrounding the Federal student loan program. This seems to us inappropriately speculative and very premature since any changes made to America’s student loan programs must be legislated by Congress —a several months process not yet started.”

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