Advanced Technology Academy, MI 2008 Bond Rating Lowered To 'BB' On Revised Rating Methodology

SAN FRANCISCO (S&P Global Ratings) July 31, 2017--S&P Global Ratings lowered its rating on Advanced Technology Academy (ATA), Mich.'s series 2008 revenue bonds to 'BB' from 'BB+'. The outlook is stable. "We lowered the rating based on our 'U.S. Not-for-Profit Charter School Methodology,' published on Jan. 3, 2017, on RatingsDirect," said S&P Global Ratings credit analyst Kaiti Wang. We assessed ATA's enterprise profile as adequate, characterized by a generally stable demand profile with flat enrollment, a limited waitlist, academics that compare well locally, and a solid charter standing. We assessed ATA's financial profile as vulnerable, with an extremely weak liquidity profile which is partly offset by good coverage levels and a relatively manageable debt burden. We believe that, combined, these

...SAN FRANCISCO (S&P Global Ratings) July 31, 2017--S&P Global Ratings lowered its rating on Advanced Technology Academy (ATA), Mich.'s series 2008 revenue bonds to '##' from '##+'. The outlook is stable. "We lowered the rating based on our 'U.S. Not-for-Profit Charter School Methodology,' published on Jan. 3, 2017, on RatingsDirect," said S&P Global Ratings credit analyst Kaiti Wang. We assessed ATA's enterprise profile as adequate, characterized by a generally stable demand profile with flat enrollment, a limited waitlist, academics that compare well locally, and a solid charter standing. We assessed ATA's financial profile as vulnerable, with an extremely weak liquidity profile which is partly offset by good coverage levels and a relatively manageable debt burden. We believe that, combined, these credit factors lead to an indicative stand-alone credit profile of '##' and a final rating of '##'. In our opinion, the '##' rating on the bonds further reflects the risks associated with the...

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