Standard&Poor's Rating Services lowered its long-term rating to 'BB+' from 'BBB-' and assigned a negative outlook to Michigan Finance Authority's series 2011 public school academy limited obligation revenue and refunding bonds issued on behalf of Detroit Service Learning Academy (DSLA). The lower rating and negative outlook reflect our view of DSLA's weakened operational performance in fiscal 2012 and through the first half of fiscal 2013, decline in cash, slim coverage based on the fiscal 2013 budget, transition to new management team, and future capital plans that will likely materialize over the next few years as management looks to add a high school. DSLA's enrollment headcount, financial performance, and liquidity levels are lagging management's projections provided at the time
