Summary: Hawaii State Department Of Budget And Finance Mid-Pacific Institute; Independent Schools

S&P Global Ratings affirmed its 'BBB+' long-term rating on the Hawaii State Department of Budget and Finance's series 2020 special purpose revenue bonds, issued for the Mid-Pacific Institute (Mid-Pacific, MPI, or the school). The outlook is stable. The rating reflects our opinion of the school's adequate market position, characterized by a large and generally steady enrollment size exceeding 1,400 students despite a large drop in fall 2020 due to pandemic-related pressures, consistently positive full-accrual operating performance supported by conservative management budgeting practices, and healthy debt-based financial resource ratios. This is countered by what we consider below-average cash and investments to adjusted operating expenses, limited operating revenue diversity, and a small endowment relative to rating category peers. All references to fiscal

...S&P Global Ratings affirmed its '###+' long-term rating on the Hawaii State Department of Budget and Finance's series 2020 special purpose revenue bonds, issued for the Mid-Pacific Institute (Mid-Pacific, MPI, or the school). The outlook is stable. The rating reflects our opinion of the school's adequate market position, characterized by a large and generally steady enrollment size exceeding 1,400 students despite a large drop in fall 2020 due to pandemic-related pressures, consistently positive full-accrual operating performance supported by conservative management budgeting practices, and healthy debt-based financial resource ratios. This is countered by what we consider below-average cash and investments to adjusted operating expenses, limited operating revenue diversity, and a small endowment relative to rating category peers. All references to fiscal 2020 financials are based on draft financials provided by management, which we understand are not expected to materially vary from audited...

Summary