UBC Reports | Vol. 47 | No. 06 | Mar. 22, 2001

UBC earns strong credit rating

Strong student demand, an excellent reputation as one of the nation's leading research universities, a healthy financial position and consistent provincial funding are among the reasons cited by a leading credit rating service in assigning a strong investor grade rating to UBC.

The university has received Aa3 issuer rating from New York-based Moody's Investors Service, one of the world's leading global credit rating, research and risk analysis firms.

"It is a wonderful credit rating for the university," says UBC Treasurer Byron Braley. "The investor grade rating means that the cost of borrowing will be that much more economical for UBC."

UBC joins a list of top North American universities on par with such institutions as the University of California rated by Moody's. Recently, Moody's also rated University of Toronto.

"What this means is that there is another tool to enable the Trek mission," says Braley. "A future bond issue will allow us to bring financial resources to bear in the most economical way when it is called for to advance the strategic objectives of UBC."

Braley says there are a number of "bricks and mortar" projects the university is currently working on financing, among them the Korea University -- UBC House project, faculty and staff housing, a new dentistry building, and retrofitting buildings for greater energy efficiency.

While garnering the Moody's rating is cause for excitement, Braley concedes that the real work is just beginning.

"The big task for us now is to put together one of the first bond issues for a major university in Canada," he says.