"As a result of the sale, Union Federal achieved the reduction required by the Order in the level of private education loans held by Union Federal. Union Federal plans to sell the balance of its private education loan portfolio to an affiliate by December 31, 2009, subject to OTS approval."

It looks like this is just a paper move to an "affiliate". Unlike the sale they just made. I am wondering if they are gearing up to sell the bank. I still do not fully understand how they tie the warehouse with the loans while moving the loans around...

As for you moving off the wildcard rating I think that is fair. We can all get caught up with what is and isnt a speculative. Honestly all investments are speculative. We are just talking degrees.

I think we can all agree that FMD is a bit less risky after adding an additional $300 million in cash to the books. How much less risk is in the eye of the beholder...