The revenue bonds and CP are unsecured general obligations of UVA, payable from all legally available funds.
KEY RATING DRIVERS
FINANCIAL STRENGTH OF UVA: The university maintains a strong financial profile fueled by a diverse revenue base; substantial balance sheet resources; robust fundraising; and manageable debt burden. Fitch maintains a long-term 'AAA' rating on UVA's general revenue pledge bonds.
RESOURCE SUFFICIENCY: The 'F1+' rating is based on UVA's ability to cover the maximum potential liquidity demands presented by its variable rate debt programs by at least 1.25x from internal resources. Such resources include cash; highly liquid, highly rated investments; and dedicated liquidity facilities.
FINANCIAL DETERIORATION: Erosion to UVA's internal resource base to the point where the university could no longer cover its variable-rate obligations by at least 1.25x, while highly unlikely, would put downward pressure on the short-term rating.
Chartered in 1819, UVA is a highly selective, comprehensive public university located in
UVA's strong financial profile is characterized by consistently positive operations that are funded by a diverse operating budget; substantial balance sheet resources, with exceptional management of the long-term investment pool provided by
LIQUID RESOURCES SUPPORT SHORT-TERM DEBT
The 'F1+' rating is based on the availability of highly liquid, highly rated securities to cover potential maximum liquidity demands presented by UVA's outstanding multi-modal general revenue pledge bonds and CP notes. To supplement internal liquidity sources, UVA maintains the ability to draw on three dedicated lines of credit in the aggregate amount of
On a combined basis, UVA's liquid assets totaled
Additional information is available at 'www.fitchratings.com'.
--'Rating U.S. Public Finance Short-Term Debt' (
Rating U.S. Public Finance Short-Term Debt
Source: Fitch Ratings
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