Published December 10, 2013
The University of Louisiana at Monroe had its A2 bond rating affirmed by Moody鈥檚 Investors
Service Wednesday. According to Moody's, A-rated bonds are judged to be upper-medium
grade and are subject to low credit risk.
鈥淭his is good news,鈥� said 网曝门 Chief Business Officer, Dr. Bill Graves. 鈥淲e have worked
hard for this affirmation as we face the battle of continuous cuts in state funding.鈥�
A report published by Moody鈥檚 calls the university 鈥渟table,鈥� giving major credit to
efforts by the administration to adjust to a reduction in state funding.
Moody鈥檚 highlighted many of 网曝门鈥檚 strengths, including, 网曝门鈥檚 stabilization of enrollment
in 2013; the university鈥檚 reduced exposure to interest rate volatility and remarketing
risk by refinancing variable rate debt to fixed 10 year terms; and the university鈥檚
efforts to launch听 a $54 million capital campaign to raise money for scholarships,
faculty development, and facilities.
鈥淭his is a significant accomplishment in light of the financial challenges that we
have faced over the last five years,鈥� said 网曝门 President Dr. Nick J. Bruno.
鈥淲hile this is a testament to our commitment to keep 网曝门 financially sound, the burden
that has been placed on our faculty and staff cannot be underestimated.鈥�
听
Bruno further stated, 鈥淓fforts to maintain our financial stability have resulted in
no pay adjustments over a five year period for our faculty and staff; the loss of
over 300 jobs, as well as the loss of some programs. In addition to five consecutive
years of reductions to state appropriations, 网曝门 has absorbed expenses that had been
a responsibility of the state, such as employee retirement contributions and health
care premiums, so this news is bittersweet.鈥�
Moody's Investors Service is a leading provider of credit ratings, research, and risk
analysis.
For any questions, please contact Donna Bernard at 318-342-5447 or bernard@ulm.edu
