Summary: Washington Higher Education Facilities Authority Seattle University; Private Coll/Univ - General Obligation

Rating Action S&P Global Ratings revised its outlook to negative from stable and affirmed its 'A' long-term rating on the outstanding bonds of Seattle University (SU), Wash. At the same time, S&P Global Rating assigned its 'A' long-term rating to Washington Higher Education Facilities Authority's approximately $57.1 million series 2020 tax-exempt revenue bonds issued for SU. The negative outlook revision reflects our view of the operating deficits posted in fiscals 2018 and 2019, which are expected to continue in fiscal 2020, and the weaker selectivity and matriculation rates seen in fall 2019. It also reflects our view that during outlook period, the COVID-19 pandemic and the associated macroeconomic impacts could pressure SU's demand trend and operating performance. Depending on the

...Rating Action S&P Global Ratings revised its outlook to negative from stable and affirmed its 'A' long-term rating on the outstanding bonds of Seattle University (SU), Wash. At the same time, S&P Global Rating assigned its 'A' long-term rating to Washington Higher Education Facilities Authority's approximately $57.1 million series 2020 tax-exempt revenue bonds issued for SU. The negative outlook revision reflects our view of the operating deficits posted in fiscals 2018 and 2019, which are expected to continue in fiscal 2020, and the weaker selectivity and matriculation rates seen in fall 2019. It also reflects our view that during outlook period, the COVID-19 pandemic and the associated macroeconomic impacts could pressure SU's demand trend and operating performance. Depending on the duration and magnitude of the COVID-19 pandemic, we believe SU's balance sheet, which is currently just sufficient for the rating category, has the potential to weaken over time and pressure the rating. The...

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