NEW YORK Feb 14 Rating agency Standard & Poor's
on Thursday revised SLM Corp's outlook to negative from stable
on worries about the potential for future reductions in cash
S&P also affirmed SLM's BBB-minus rating.
While a recent sale of residual interests in the SLM Student
Loan Trust securitization 2007-4 is modest, "we believe this
represents a shift in the company's strategy related to its
Federal Family Education Loan Program (FFELP) portfolio," the
rating agency said in a statement.
"The negative outlook reflects our belief that SLM could
undertake additional similar transactions, which would reduce
future cash flows from the company's FFELP portfolio."