CUSIP 6499073M2
- ISIN: US6499073M28
- Entity Name: Dormitory Authority State of New York
- Sector: Sub Sovereign Agency
- Announcement Date: *****
- Effective Date: *****
- Issue Date: *****
- Maturity Date: *****
- Country of Issuer: *****
- Region: N.Amer
- Issue Currency: *****
- CA Type: Rating Upgrade
- News: Moody`s Investors Service has upgraded Pratt Institute`s (NY) debt rating to A2 from A3. The action affects approximately $133 million of series 2015A and 2016 revenue bonds issued by the Dormitory Authority of the State of New York. Moody`s has concurrently revised the outlook to stable from positive. RATINGS RATIONALE The upgrade reflects Pratt`s strengthening market position with ongoing enrollment growth and greater selectivity producing consistent growth in net tuition per student. Rising revenues along with good spending controls have led to very strong operating and cash flow margins that will be maintained. The institute has made important renewals in its program mix and is able to fund a portion of its ongoing capital needs through operations and internal funds to refresh and upgrade facilities. Leverage remains low with a high level of debt affordability providing good flexibility. The A2 rating reflects Pratt`s strong cash flow margins which exceeded 20% over the past three years providing ample debt service coverage in excess of 5x. Cash flows have also contributed to the relatively rapid growth of unrestricted liquidity, up by more than 50% over the past five years, providing a healthy cushion for operations and debt. The Institute`s ability to translate its national and international reputation as an art and design school and location in New York City into ongoing growth of net tuition revenue will continue to support strong financial performance and growing reserves.
- Description: *****
- Bond Document: https://www.bondpdf.com/
- Latest Corporate Actions: https://www.CAalerts.com/credit-corporate-action/ISIN/US6499073M28
