September 30, 2004

Nelnet Closes Student Loan Asset-Backed Securities (ABS) Offering

LINCOLN, Neb., Sep 30, 2004 /PRNewswire-FirstCall via COMTEX/ -- Today, Nelnet (NYSE: NNI) announced it closed a new term student loan Asset-Backed Securities (ABS) offering on September 29, 2004. A total of $2,020,876,000 Floating Rate Notes were offered to institutional investors.

The company's Floating Rate Notes were issued with spreads to the 3-month LIBOR index. The transaction was the largest securitization in the history of the company and its subsidiaries and was executed at the best pricing levels ever achieved by the company.

The student loan asset-backed notes were issued by Nelnet Student Loan Trust 2004-4, a bankruptcy remote special purpose vehicle, created to securitize Nelnet's student loan assets in the term ABS market. The detail of the pricing of the Floating Rate Notes includes the following:

     Bond Class      Par Amount    % Bonds   Pricing level    Avg Life
     Class A-1      380,000,000     18.8%     3ML - 1bps       1.00
     Class A-2      516,000,000     25.5%     3ML + 2bps       3.00
     Class A-3      294,000,000     14.5%     3ML + 9bps       5.00
     Class A-4      313,250,000     15.6%     3ML + 13bps      7.00
     Class A-5      457,000,000     22.5%     3ML + 16bps      10.77
     Class B        60,626,000      3.0%      3ML + 30bps      8.61
                    2,020,876,000   100%


    More information regarding this financing is available at www.nelnet.net.

Nelnet is one of the leading education finance companies in the United States and is focused on providing quality student loan products and services to students and schools nationwide. With over $13 billion in total assets, Nelnet originates in excess of $3 billion for itself and its service partners annually, and its servicing software is used by approximately 35 clients, including Nelnet, to service nearly $50 billion in student loans. Nelnet ranks among the nation's leaders in terms of total student loan assets.

Nelnet offers a broad range of student loan and financial services and technology-based products, including student loan origination and lending, guarantee servicing, and a suite of software solutions. Our products are designed to simplify the student loan process by automating financial aid delivery, loan processing, and funds disbursement. Our services help to facilitate and streamline education finance for all involved in the industry, including student and parent borrowers, lenders, financial aid officers, guaranty agencies, governmental agencies, servicers, and the capital markets.

    (code #: nnig)

SOURCE Nelnet

media, Sheila Odom, +1-402-458-2329, or investors, Cheryl
Watson, +1-317-469-2064, both of Nelnet
http://www.nelnet.net

Copyright (C) 2004 PR Newswire. All rights reserved.

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