The following institutions had their bond ratings upgraded or downgraded during August 2003. Ratings, which reflect the relative financial strength of institutions, help determine their cost of borrowing.

California State University System, by Moody's, from Aa3 to A1. Applies to $944-million in outstanding revenue bonds. Moody's also downgraded the rating of $230-million in outstanding parking-system, student union, and headquarters-building authority bonds from A1 to A2. Reasons cited include the State of California's ongoing credit deterioration and the system's vulnerability to the potential for further deductions in its budget by the state.

NOTE: This report covers only publicly available changes in ratings, and not all actions by ratings agencies, in the past month. In some cases, while one agency changes a rating, another agency affirms its current rating. Standard & Poor's and Fitch Ratings rate college bonds from AAA, the highest, to D, the lowest. Moody's Investors Service ratings range from Aaa to D.