Birmingham, AL – The bond rating for Birmingham-Southern College has been downgraded by a credit rating agency for the third time since June.
Moody's Investors Services downgraded the college's $28 million of bonds from B1 to Caa2.
Moody's said the action reflects the college's expected difficulty in moving out of deep operating deficits.
Birmingham-Southern's interim president, Mark Schantz, said Moody's action was not unexpected. But he said many financial problems have already been addressed and the college's financial position is improving.
Birmingham-Southern has more than 1,500 students.
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