NEW YORK (S&P Global Ratings) Jan. 24, 2023--S&P Global Ratings' raised its long-term rating on the Detroit Service Learning Academy (DSLA)'s series 2021 public school academy refunding bonds to 'BB' from 'BB-'. The outlook is positive. "The upgrade and positive outlook reflect DSLA's steady enrollment above 1,300 students, increasing revenues--adjusted for one-time federal relief funds, consistent trend of solid operating margins, coverage that exceeds 'BB' medians, and growing liquidity," said S&P Global Ratings credit analyst Mel Brown. "We could raise the rating if DSLA sustains its strengthened demand and financial metrics while pursuing its plans to open a high school over the next one to two years."
