New Jersey Private College’s Rating Slashed Deeper Into Junk

  • Rider University has ‘severely limited unrestricted liquidity’
  • New Jersey school is facing pressure as demographics shift
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Moody’s Investors Service downgraded the credit rating deeper into junk for Rider University, a private college outside of Trenton, New Jersey, with about 3,700 students, citing the school’s struggling finances.

Moody’s cut the rating on $119 million of outstanding debt one notch to Caa1, seven levels below investment grade. The rating company also revised the outlook on the debt to stable from negative, according to a release Tuesday. Moody’s categorizes debt within that rating level as in “poor standing” and “subject to very high credit risk.”