LAC 7:III.133. The Credit Provider

A. The following financial institutions shall qualify as credit providers and shall meet the following conditions. 1. A savings and loan association insured by FSLIC may act as credit provider and shall deliver a letter of credit and in the event such savings and loan association does not have a long-term unsecured debt rating by Standard and Poor's Corporation at least equal to the initial rating on the bonds, such letter of credit shall be collateralized in accordance with a Collateral Pledge Agreement (FSLIC) which shall be delivered to the Trustee. 2. A national bank may act as a credit provider and if it does not have a long-term credit rating at least equal to the initial rating on the bonds, shall enter into a repurchase obligation which shall be delivered to the trustee. 3. Any national bank which has an unsecured long-term debt rating by Standard and Poor's Corporation at least equal to the initial rating on the bonds may act as a credit provider and shall deliver an unsecured letter of credit. 4. A state chartered bank insured by FDIC may act as a credit provider and shall deliver a letter of credit, and in the event such state-chartered bank does not have a long-term unsecured debt rating by Standard and Poor's Corporation at least equal to the initial rating on the bonds, such letter of credit shall be collateralized in accordance with a Collateral Pledge Agreement (FDIC) which shall be delivered to the trustee. 5. Any other legal entity may act as a credit provider which has a long-term unsecured debt rating (or, in the case of an insurance company, a claims-paying ability rating) by Standard and Poor's Corporation at least equal to the initial rating on the bonds and may only deliver a guaranty.