East Carolina University, NC's Series 2010 Bonds Rated 'AA-' On Strong State Support

NEW YORK (Standard&Poor's) March 1, 2010--Standard&Poor's Ratings Services assigned its 'AA-' long-term rating to the Board of Governors of the University of North Carolina's series 2010A pool revenue bonds, issued for East Carolina University (ECU). The rating outlook is stable. The 'AA-' rating reflects our assessment of ECU's history of strong state support from North Carolina (AAA/Stable) for both operations and capital; comprehensive nature of the university and its role within the University of North Carolina system; and solid 19% enrollment growth to about 28,000 students in fall 2009 since fall 2005. Also supporting the rating are ECU's good revenue diversity with 35% from state appropriations, 29.5% from students, including 11.6% auxiliary, and 21% from patient

...NEW YORK (Standard & Poor's) March 1, 2010--Standard & Poor's Ratings Services assigned its '##-' long-term rating to the Board of Governors of the University of North Carolina's series 2010A pool revenue bonds, issued for East Carolina University (ECU). The rating outlook is stable. The '##-' rating reflects our assessment of ECU's history of strong state support from North Carolina (###/Stable) for both operations and capital; comprehensive nature of the university and its role within the University of North Carolina system; and solid 19% enrollment growth to about 28,000 students in fall 2009 since fall 2005. Also supporting the rating are ECU's good revenue diversity with 35% from state appropriations, 29.5% from students, including 11.6% auxiliary, and 21% from patient services and low pro forma debt level of approximately $171 million, including this issue as well as a subsequent issue in summer 2010. Offsetting factors include our opinion of ECU's low endowment of $89 million limited...

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