County Gets Upgraded Bond Rating

Posted on: Feb 23rd, 2010 | News and Announcements

Mobile County received an upgrade of its bond rating Monday from Standard & Poors, which cited the county?s low overall debt burden, strong financial management and a diversifying economic base. ?Our commitment to conservative and careful management of taxpayer money has been a number one priority for us,? said Mobile County Commission president Mike Dean. The bond rating upgrade comes as the county is preparing to issue new bonds to pay the incentive package for ThyssenKrupp Steel, a $4.6 billion industrial development in north Mobile County. The county will also refinance existing debt with the bond issue, which will yield savings of $1 million to $2 million, depending on the interest rate at the time of issuance. An upgraded bond rating is important because it makes bonds more marketable to a larger field of investors and provides a lower interest rate for the borrower. The rating for the county was raised from AA- to AA. ?We are proud to know our good practices have created a stable environment for county government, despite these challenging times,? Mobile County Commissioner Merceria Ludgood said. Commissioner Stephen Nodine noted that the county would continue to monitor the economic environment to assure future budget decisions are measured and appropriate. ?The county?s bonds were judged to be of high quality because of careful decision-making,? he said. ###