1. Student Loan Summit Jackson, Mississippi May 22, 2008

2. Current Environment Recent History Impact Why?---The Perfect Storm Good Reading Recent Legislation The Last 24 Hours

3. Recent History Exodus of Lenders from FFELP Exodus of Lenders from Consolidation Market Exodus of Lenders from Private Student Loan Market

4. Impact Loss of Front-end Pricing Benefits Reduced or elimination of Back-end Borrower Benefits Reduced Service Levels Limited availability to certain sectors and students More restricted availability of Private Loans at higher prices

5. Why?---The Perfect Storm College Cost Reduction and Access Act of 2007—Reduced Margins and Insurance Sub Prime Credit Crisis spreads to Student Loans—No liquidity for new loans “Congress took away half the lender profits and the credit crisis took the other half.”

6. Good Reading NASFAA’s “The Student Loan Credit Crunch” published 4/29/2008 Mark Kantrowitz”s “Solving the Student Loan Credit Crunch” published 3/10/1008 and updated 4/30/2008 Tim Ranzetta’s Student Lending Analytics

7. Recent Legislation HR 5715 Ensuring Continued Access to Student Loans Act of 2008 --DOE able to act as secondary market for FFELP --Increased Unsubsidized Stafford Loan Limits for Undergraduates --PLUS Loan Modifications --Lender of Last Resort Provisions HR 5914 & HR 5723

8. The last 24 Hours Dear Colleague Letter of May 21, 2008 Sallie Mae’s Announcement of May 21, 2008