...NEW YORK (S&P Global Ratings) April 28, 2017--S&P Global Ratings lowered its issuer credit rating (ICR) on The Salvation Army USA Eastern Territory, N.Y. (TSA) to 'A+' from '##-'. At the same time, we lowered our short-term rating on TSA's series 2007A and 2016A commercial paper program (CP) to 'A-1' from 'A-1+'. The outlook is stable. The ICR does not refer to any debt instrument, and instead reflects our view of TSA's overall long-term credit quality. "The revised ratings reflect a marked decline in TSA's financial resources as measured by expendable resources to operations and debt in part due to an upcoming $105 million payout for a recent legal settlement, most of which was accrued in fiscal 2016. TSA's net assets decreased 19% over the past two years to $2.3 billion at fiscal year-end 2016 from $2.8 billion at the beginning of fiscal 2015," said S&P Global Ratings credit analyst Ken Rodgers. "Reflected in the net asset decline is TSA's depressed and volatile financial performance."...
