Moody’s Investors Service recently affirmed the A2 rating on Worcester State University’s $10.4 million of revenue bonds, issued by the Massachusetts Development Finance Authority, and reported that “the outlook is stable.”
According to a Moody’s press release, “the A2 rating reflects the university’s strong liquidity and solid operating performance, bolstered by support and oversight from the Aa1-rated Commonwealth of Massachusetts and Aa2-rated Massachusetts State College Building Authority.
The rating also incorporates the university’s high debt burden and a somewhat limited ability to materially increase tuition and fees iMoodysn response to budget pressure given its moderate scale and predominantly regional student draw.”
Regarding the outlook, the bond credit rating company reported that “the stable outlook reflects our expectation that WSU will maintain consistent operations through conscientious budgeting and continued commonwealth support.”