Slm Corporation · NASDAQ:SLM
Slm — Investor Presentation (April 2019)
20 slides from Slm's investor presentation, Apr 29, 2019
Slide 1: Sallie Mae Smart Option Student Loan Historical Performance Data
Exhibit 99.1 | 1 SALLIE MAE Smart Option Student Loan Historical Performance Data Period ended March 31, 2019
Slide 2: Forward-Looking Statements and Disclaimer
| 2 Forward-Looking Statements and Disclaimer Cautionary Note Regarding Forward-Looking Statements The following information is current as of March 31, 2019 (unless otherwise noted) and should be read in connection with the press release of SLM Corporation (the “Company”) dated April 17, 2019, annou
Slide 3: Important Information Regarding Historical Loan Performance Data
| 3 Important Information Regarding Historical Loan Performance Data On April 30, 2014 (the “Spin-Off Date”), the former SLM Corporation legally separated (the “Spin-Off”) into two distinct publicly-traded entities: an education loan management, servicing and asset recovery business called Navient C
Slide 4: Important Information Regarding Historical Loan Performance Data (cont.)
| 4 Important Information Regarding Historical Loan Performance Data (cont.) Types of Smart Option Student Loan Portfolio Data The portfolio data we used in this report comes from three separate sources of information: (1) Combined Smart Option Student Loan Portfolio Data for Legacy SLM, Navient and
Slide 5: Smart Option Serviced Portfolio: 31-60 Day Delinquencies
| 5 Smart Option Serviced Portfolio: 31-60 Day Delinquencies Smart Option Student Loans - Serviced Portfolio Smart Option Student Loans - Serviced Portfolio (1) 31-60 Day Delinquencies as a % of Loans in P&I Repayment (1) 31-60 Day Delinquencies as a % of Loans in P&I Repayment Data for Sallie Mae B
Slide 6: Smart Option Serviced Portfolio: 61-90 Day Delinquencies
| 6 Smart Option Serviced Portfolio: 61-90 Day Delinquencies Smart Option Student Loans - Serviced Portfolio Smart Option Student Loans - Serviced Portfolio 61-90 Day Delinquencies as a % of Loans in P&I Repayment (1) 61-90 Day Delinquencies as a % of Loans in P&I Repayment (1) Data for Sallie Mae B
Slide 7: Smart Option Serviced Portfolio: 91+ Day Delinquencies
| 7 Smart Option Serviced Portfolio: 91+ Day Delinquencies Smart Option Student Loans - Serviced Portfolio Smart Option Student Loans - Serviced Portfolio 91+ Day Delinquencies as a % of Loans in P&I Repayment (1) 91+ Day Delinquencies as a % of Loans in P&I Repayment (1) Data for Sallie Mae Bank Da
Slide 8: Smart Option Serviced Portfolio: Forbearance
| 8 Smart Option Serviced Portfolio: Forbearance Smart Option Student Loans - Serviced Portfolio Smart Option Student Loans - Serviced Portfolio Forbearance as a % of Loans in P&I Repayment and Forbearance (1) Forbearance as a % of Loans in P&I Repayment and Forbearance (1) Data for Sallie Mae Bank
Slide 9: Smart Option Serviced Portfolio: Annualized Gross Defaults
| 9 Smart Option Serviced Portfolio: Annualized Gross Defaults Smart Option Student Loans - Serviced Portfolio Smart Option Student Loans - Serviced Portfolio Annualized Gross Defaults as a % of Loans in P&I Repayment(1) Annualized Gross Defaults as a % of Loans in P&I Repayment(1) Data for Sallie M
Slide 10: Smart Option Vintage Data: Cumulative Gross Default by Loan Type
| 10 Smart Option Vintage Data: Cumulative Gross Default by Loan Type Smart Option Student Loans - Serviced Portfolio: All Products Smart Option Student Loans - Serviced Portfolio: Interest Only Cumulative Defaults by P&I Repayment Vintage Cumulative Defaults by P&I Repayment Vintage (1) and Years S
Slide 11: Smart Option Vintage Data: Voluntary Prepayments
| 11 Smart Option Vintage Data: Voluntary Prepayments ► Voluntary prepay speeds trend up as more loans enter P&I repayment Smart Option Student Loans - Serviced Portfolio: All Products Smart Option Student Loans - Serviced Portfolio: Interest Only Voluntary CPR by Disbursement Vintage (1), (2), (3)
Slide 12: Smart Option Vintage Data: Total Prepayments
| 12 Smart Option Vintage Data: Total Prepayments ► Following the initial few years after disbursement, total prepayments begin to rise more quickly as loans begin to default. Smart Option Student Loans - Serviced Portfolio: All Products Smart Option Student Loans - Serviced Portfolio: Interest Only
Slide 13: Cohort Default Triangles – Smart Option Combined
| 13 Cohort Default Triangles – Smart Option Combined (Interest Only, Fixed Payment & Deferred) Smart Option Combined (P&I Repayment - Total) P&I Disbursed Principal Periodic Defaults Percentage Repayment Entering P&I by Years Since First P&I Repayment Period (1), (4), (5) Vintage Repayment ($m) 0 1
Slide 14: Cohort Default Triangles – Smart Option Interest Only
| 14 Cohort Default Triangles – Smart Option Interest Only Smart Option Interest Only (P&I Repayment - Total) P&I Disbursed Principal Periodic Defaults Percentage Repayment Entering P&I by Years Since First P&I Repayment Period (1), (4), (5) Vintage Repayment ($m) 0 1 2 3 4 5 6 7 8 9 Total 2010(2) $
Slide 15: Cohort Default Triangles – Smart Option Fixed Payment
| 15 Cohort Default Triangles – Smart Option Fixed Payment Smart Option Fixed Payment (P&I Repayment - Total) P&I Disbursed Principal Periodic Defaults Percentage Repayment Entering P&I by Years Since First P&I Repayment Period (1), (4), (5) Vintage Repayment ($m) 0 1 2 3 4 5 6 7 8 9 Total 2011(2) $
Slide 16: Cohort Default Triangles – Smart Option Deferred Payment
| 16 Cohort Default Triangles – Smart Option Deferred Payment Smart Option Deferred (P&I Repayment - Total) P&I Disbursed Principal Periodic Defaults Percentage Repayment Entering P&I by Years Since First P&I Repayment Period (1), (4), (5) Vintage Repayment ($m) 0 1 2 3 4 5 6 7 8 9 Total 2012(2) $24
Slide 17: Additional Information
| 17 Additional Information
Slide 18: Smart Option Loan Program Cohort Default Triangles Terms and calculations
| 18 Smart Option Loan Program Cohort Default Triangles Terms and calculations used in the cohort default triangles are defined below: First P&I Repayment Period – The month during which a borrower is first required to make a full principal and interest payment on a loan. P&I Repayment Vintage –
Slide 19: Smart Option Loan Program: Prepayment Methodology
| 19 Smart Option Loan Program: Prepayment Methodology The Constant Prepayment Rate (CPR) represents an annualized rate of prepayment speed measuring the reduction in the principal balance of a pool of loans in excess of the scheduled pool amortization. The rate can be positive or negative depending
Slide 20: Smart Option Loan Program: Prepayment Methodology Calculations Examples
| 20 Smart Option Loan Program: Prepayment Methodology Calculations Examples(1) = t PMTt ACTt EXPt Prepaymentt SMMt SRt CPR ����������������������������������������= ���� ���������������� − ���������������� 0 $10,000 ���� ���� ���� ������������= ����������������������������������������= 1 ⁄���������