Ivy Tech gets credit rating bump
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Fitch Ratings, one of the leading credit rating agencies in the United States, has raised the rating of Ivy Tech Community College from AA to AA+, the agency’s second highest mark for low credit risk.
The rating reflects the college’s strong operating performance over the years, strong cash flow margins, significant liquid reserves and favorable debt-leverage ratios, the college said in a news release.
“Ivy Tech has remained laser focused on student success initiatives while strengthening our financial position. This is a testament to the entire College that investing in student success and a strengthening financial position are not mutually exclusive,” college President Sue Ellspermann said in the release. “Our financial strength allows us to innovate and invest in our students while shifting the paradigm of higher education to adapt more quickly to Indiana’s workforce needs, all while keeping tuition affordable.”
A AA+ rating reflects very high credit quality, second only to Fitch’s AAA. Fitch Ratings is considered among the Big Three credit rating agencies in the U.S. The other two are Moody’s and Standard & Poor’s.
Ivy Tech Community College is Indiana’s largest public postsecondary institution with about 195,000 students at 45 locations. It is the nation’s largest statewide community college system accredited by the Higher Learning Commission.