Fitch Ratings assigns an 'A' rating to approximately $15 million of revenue refunding bonds, series 2012A issued by the Dutchess County Local Development Corporation on behalf of Marist College (Marist).

The fixed-rate series 2012A bonds are expected to price via negotiated sale on or about May 17. Proceeds will be used to refund approximately $15 million of Marist's outstanding variable-rate demand bonds and to pay various costs of issuance.

In addition, Fitch affirms the following long-term ratings:

--$19 million Dutchess County Industrial Development Agency (IDA [6]) fixed-rate revenue bonds at 'A';

--$72.4 million Dutchess County IDA variable-rate demand bonds at 'A' (underlying).

The Rating Outlook is Stable.

SECURITY

Revenue bonds are an unsecured, general obligation of the college, payable from all legally available funds.

KEY RATING DRIVERS

STABLE CREDIT CHARACTERISTICS: Marist's steady, positive operating results, solid balance sheet resources, and manageable debt burden underpin its 'A' rating. Counterbalancing factors include high revenue concentration and a highly competitive operating environment.

SOUND DEMAND: Total enrollment has generally been trending upwards in recent years, while selectivity has simultaneously improved.

LIMITED REVENUE DIVERSITY: Typical of many private higher education institutions, Marist's dependency on student-generated revenues (91.6% of total unrestricted operating revenues in fiscal 2011) is extremely high. This degree of revenue concentration exposes the college to unexpected, unfavorable shifts in student headcount and demand patterns.

CAPABLE MANAGEMENT: Marist's experienced management team demonstrates prudent financial and facilities planning, resulting in manageable future capital needs. Well executed enrollment strategies continue to generate sound demand for the college's programs.

Additional information is available at 'www.fitchratings.com [7]'. The ratings above were solicited by, or on behalf of, the issuer, and therefore, Fitch has been compensated for the provision of the ratings.

Applicable Criteria and Related Research:

--'U.S. College and University Rating Criteria' (July 14, 2011);

--'Revenue-Supported Rating Criteria' (June 20, 2011);

--'Fitch Affirms Marist College's (New York) Revs at 'A'; Outlook Stable' (June 16, 2010).

Applicable Criteria and Related Research:

U.S. College and University Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=640830 [8]

Revenue-Supported Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=637130 [9]

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