In August, Standard & Poor’s Global Ratings (S&P) affirmed its “A” long-term rating and underlying rating on Hobart and William Smith Colleges’ outstanding fixed rate bonds and its AA+ rating on the Colleges’ variable rate bonds. The report cited a very strong enterprise profile characterized by historically stable enrollment and moderate selectivity, sound student quality, and a strong financial profile.
In addition, S&P maintained its stable outlook for HWS reflecting their assessment of the Colleges’ ability to successfully manage their finances and operations. S&P explains, “The stable outlook reflects our expectation that management will maintain at least break-even GAAP operating performance, continue to increase financial resource ratios, and stabilize demand in the next two years.”
S&P’s analysis of the Colleges’ financial policies also included a review of financial reporting and disclosure, investment allocation and liquidity, debt profile, contingent liabilities, and legal structure, along with a comparison of these policies to similar providers.
“S&P’s ratings affirmation and stable outlook for Hobart and William Smith is a testament to the entire campus community,” says Vice President for Finance Carolee White. “It signals their confidence in the Colleges’ financial condition and leadership team and is something we can all take pride in.”