Pioneer Credit Recovery Wins Contract to Collect for New Jersey

Pioneer Credit Recovery, Inc. (Pioneer), a wholly owned subsidiary of SLM Corporation, has been awarded a contract from the New Jersey Department of Treasury. Under the terms of the contract, Pioneer will collect tax deficiencies for the state. The contract, which will be effective immediately, has a three-year term with three, one-year extensions at New Jersey’s option. The contract is not expected to have a material impact on the company’s 2006 earnings per share.

SLM Corporation, commonly known as Sallie Mae, is the nation’s leading provider of education funding(SM), managing nearly $123 billion in student loans for 9 million borrowers. Sallie Mae was originally created in 1972 as a government-sponsored entity (GSE) and terminated its ties to the federal government in 2004. The company remains the country’s largest originator of federally insured student loans. Through its specialized subsidiaries and divisions, Sallie Mae also provides debt management services as well as business and technical products to a range of business clients, including colleges, universities and loan guarantors. More information is available at http://www.salliemae.com. SLM Corporation and its subsidiaries are not sponsored by or agencies of the United States of America.

Founded in 1980, Pioneer Credit Recovery Inc. is a national leader in the collection industry, providing collection services on defaulted debt. Employing more than 1,000 people, Pioneer is located in western New York (Arcade, Batavia and Perry) and is the largest private sector employer in Wyoming County. Pioneer partners with multiple state and federal clients, including the U.S. Department of Education, and is the recipient of many prestigious awards, including the Better Business Bureau Torch Award for Marketplace Ethics. In continuously surpassing the competition, Pioneer provides clients with quality results, experience, leadership and technology, including state-of-the art infrastructure, telecommunications and collections systems. Pioneer Credit Recovery is a wholly owned subsidiary of Sallie Mae, the nation’s leading provider of education funding. SLM Corporation and its subsidiaries are not sponsored by or agencies of the United States.