Summary: Southern Illinois University Board of Trustees Southern Illinois University; Public Coll/Univ - Unlimited Student Fees

S&P Global Ratings raised its long-term rating and underlying rating (SPUR) one notch to 'BB+' from 'BB' on Southern Illinois University Board of Trustees' housing and auxiliary facilities system (HAFS) revenue bonds and certificates of participation (COPs), issued for Southern Illinois University (SIU). The ratings are removed from CreditWatch, where they were placed with negative implications on April 20, 2017. The outlook is stable. We view the security pledges for both the HAFS bonds and the COPs as equivalent to an unlimited student-fee pledge, and therefore we rate both the same. The rating actions reflect our view that the university's immediate liquidity risks as a result of the state's failure to provide timely payment of operating appropriations are somewhat mitigated

...S&P Global Ratings raised its long-term rating and underlying rating (SPUR) one notch to '##+' from '##' on Southern Illinois University Board of Trustees' housing and auxiliary facilities system (HAFS) revenue bonds and certificates of participation (COPs), issued for Southern Illinois University (SIU). The ratings are removed from CreditWatch, where they were placed with negative implications on April 20, 2017. The outlook is stable. We view the security pledges for both the HAFS bonds and the COPs as equivalent to an unlimited student-fee pledge, and therefore we rate both the same. The rating actions reflect our view that the university's immediate liquidity risks as a result of the state's failure to provide timely payment of operating appropriations are somewhat mitigated by the recent passage of the fiscal 2018 budget and the retroactive payment anticipated for fiscal 2017. On July 7, 2017, lawmakers overrode a gubernatorial veto, and Illinois passed a state budget for the first...

Summary