Bonds for Kent State Campus Renovation Get Positive Rating
Moody's Investor Service says bonds are high quality and low risk
Perhaps not surprisingly, the anticipated $170 million in bonds Kent State University will issue to renovate the main campus have received a solid financial rating from Wall Street.
Moody's Investor Services assigned a rating of "Aa3" to the $170 million in Series 2012A general receipt bonds, which are scheduled to go on sale Monday to pay for the largest renovation of the Kent campus in its 100-year history.
The "Aa" rating means the long-term bonds are judged to be of high quality with very low credit risk, according to Moody's.
"The Aa3 rating reflects Kent State's solid balance sheet, stable market position with growing enrollment and favorable operating performance," Moody's advisers said.
The rating came as good news for university officials.
"We’re very pleased that both Standard & Poor’s and Moody’s held a strong financial rating for Kent State despite the assumption of the added debt being issued," said Gregg Floyd, senior vice president for finance and administration at Kent State.
Including the bonds for construction, Kent State's outstanding debt will rise to $436 million, according to Moody's.
You can read the entire rating from Moody's via the .pdf file attached to this article.