I wouldn't say that she doesn't have a chance at another academy. The admissions office is different for each academy. They all decide about things in different ways. For example, I have a friend who was accepted to USMA, USMMA and USAFA but denied by USNA (his #1 choice). He believed his application for USNA was the strongest, and when he received his TWE from there he didn't believe he would have any chance at any of the other academies. Time then proceeded to prove him wrong as he received one appointment after another from the other 3 academies mentioned above. Hang in there! There is always hope!
Remember, HOLD is not a no, it's just a longer waiting game to find out.