Devereux Foundation, the Villanova nonprofit group-home operator that focuses on young people with psychological and other problems in 12 states, faces another downgrade on its Pennsylvania bonds, warned S&P analyst Liz Sweeney in a brief report.
Devereux's credit rating was cut to BBB+ from A- by Standard and Poor's last year. Devereux's loss on operations (exclusing fundraising and investments) "for the nine months ended March 31, 2013 widened from a year earlier and was worse than expected," S&P wrote.
Devereux is treating more patients, "which should contribute to operational improvement," S&P added. But it will still cut the rating "if operations fail to improve." First Niagara Bank refinanced $17 million in Devereux's Pennsylvania and Colorado debt at lower interest rates, the bank said in March.
Posted: May 9, 2013 - 3:55 PM
Joseph N. DiStefano
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