Downgrades

An outlook revision to positive for the state's Aa2 general obligation rating comes as a methodology update led to downgrades for certain revenue bonds.

Houston-based Texas Children's Hospital plans to sell about $222 million of tax-exempt, fixed-rate revenue bonds this week.

The one-notch general obligation and certificates of participation rating downgrades resulted from the application of Fitch's updated criteria.

Agency cites growing debt levels and midrange demographic and economic factors.

"We withdrew the rating because we have determined we do not have sufficient information to maintain a forward-looking credit opinion on the city," S&P said.

The criteria should result in a nearly equal number of upgrades and downgrades in the next half year, according to the rating agency.

The Washington state island hospital's financial turmoil brought rating downgrades from Moody's Ratings.

Pittsburgh-based Robert Morris University was downgraded by Moody's Ratings. The private university is part of a growing list of smaller higher education institutions, particularly in the Northeast, that are facing increasing financial pressures as the pool of potential students shrinks.  

Escalating operating losses led to bond rating downgrades for Wise Health System ahead of its potential acquisition this quarter.

The nonprofit regional healthcare system reported six straight years of operational losses in its most recent financial report.