<blockquote>In 2011, Moody’s Corp. MCO revealed that more than 20 percent of rated private colleges had ratings at the “B” level low investment grade rather than the more secure “A” level; only a handful of public institutions had “B” ratings. Last January, however, Moody’s said that the 2013 outlook was negative. “Even market-leading universities with diversified revenue streams are facing diminished prospects for revenue growth,” Moody’s concluded, adding that “most universities will have to lower their cost structures to achieve long-term financial sustainability.”

The negative assessments continue, despite the stock market’s strength. In August, a Moody’s spokesman said “the developing trend of expense growth outpacing revenue growth is unsustainable.”</blockquote>
via <a href="http://www.bloomberg.com/news/2013-10-30/stop-subsidizing-colleges-100-year-debt-binge.html">Stop Subsidizing Colleges’ 100-Year Debt Binge - Bloomberg</a>.