The rating on Vermont Educational and Health Building Financing Agency's bonds, issued for St. Johnbury Academy (SJA), reflects: Limited geographical diversity, High tuition dependency, and Reliance on residential students to subsidize day students. Credit strengths include: The academy's essential role in providing secondary education to area students, Stable headcount and demand trends, and Good operating and debt liquidity levels. The bonds are secured by the academy's GO pledge. SJA was one of the few schools in Vermont able to maintain its independence despite a difficult period in the 1960s, when state requirements led to the creation of district schools and forced many private academies out of business. Demand is stable, as headcount increased 5%, to 953 students for fall 1999,
