Moody's warns budget reductions could damage universities' credit

An analysis by Moody's Investors Service released this week offers a blunt assessment of what the governor's proposed budget would mean for the University of Pittsburgh and Penn State, Temple and Lincoln universities and the 14 state-owned universities of the State System of Higher Education. Gov. Corbett's recommendations "are the largest cuts yet proposed by any state," Moody's said, echoing assessments by national education groups. Anthony Wagner, Temple's executive vice president, chief financial officer and treasurer, said he's not surprised by Moody's assessment. "Moody's understands you can't make a cut this major without serious ramifications. This is a third-party verification of what we've been saying."
March 17, 2011 | Pittsburgh Post-Gazette