...Standard & Poor's Ratings Services affirmed its 'A-' rating on Virginia College Building Authority's series 2007 revenue bonds and Virginia Small Business Finance Authority's series 2011 housing revenue bonds, both issued for Roanoke College (Roanoke). The outlook is stable. The rating reflects our view of Roanoke's modest operating surpluses and increasing financial resources, which we believe mitigate the college's expected fall 2015 enrollment pressure. We also based the rating on our view of the college's moderately high pro forma maximum annual debt service (MADS) burden, and high tuition-discount rate. We believe the college's prudent fiscal management will likely result in positive operating performance despite the smaller-than-expected entering freshman class, and we expect net tuition revenue will continue to grow. Despite our expectation of continued surpluses, we believe greater financial-aid expenses will likely continue to strain operations during the next few years. Management...
