William Paterson University Downgraded By Moody's

Moody’s Investors Service announced the downgrading of William Paterson University of New Jersey to an A2 rating this week.

The school has $165 million in debt issued through the New Jersey Educational Facilities Authority; the institution’s outlook is “negative.”

Ongoing financial support from the state is likely to decrease and its ability to collect independent revenue limited. The school relies on the state for approximately one third of its operation budget.

School officials told NJ.com the university continues to have strong financial reserves.

“As noted by Moody’s, we have been adjusting our strategic plan for enrollment due to the changing demographics and continue to implement strategies to operate as efficiently as possible,” said Warren Sandmann, provost and senior vice president for academic affairs.