Lynchburg, Va. (PRWEB) August 07, 2012
A recent study shows Liberty University is among the nation's financially sound colleges and universities.
The report, "The financially sustainable university," conducted by Bain & Company and Sterling Partners and written by Jeff Denneen and Tom Dretler, broke institutions into three categories: financially unsustainable, at risk, and financially sound.
Those deemed unsustainable had “more liabilities, higher debt service, and increasing expense without the revenue or the cash reserves to back them up,” according to the report.
Schools that are considered top-ranked institutions and have large endowments are less at risk, it reads.
The study showed that while Liberty was determined to be financially sound, approximately one-third of all colleges and universities have financial statements that are significantly weaker than they were several years ago.
The Christian Post dove further into the study and found Liberty was one of seven Christian institutions to make the list of financially sound schools (read the full article here).
Liberty’s financial outlook continues to show promise. The university marked its initial public bond in December 2010 when it issued $120 million worth of tax-exempt education facilities bonds. In January, Liberty announced its second IPO, this time in the corporate bond market selling $100 million of taxable bonds. Standard & Poor’s rated Liberty’s bonds ‘AA,’ as they did the tax-exempt bonds in 2010; Moody’s Investors Service rated Liberty for the first time this year, assigning the taxable bonds an ‘A1’ rating. The ratings place Liberty among the nation's university elites for financial strength.
This year Liberty will become the youngest American university to reach $1 billion in net assets, guaranteeing that it will be able to fulfill its mission of Training Champions for Christ for generations to come.
Liberty University, located in Lynchburg, Va., is the world’s largest Christian university. Nearly 100,000 students attend classes on its 6,800-acre residential campus and study in its thriving online education program.