Thursday, April 16, 2009
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Gwinnett Daily Post
BRASELTON - The town received its bond rating for March, and if the results are like those of a report card, then the town just moved from the B to A honor roll.
According to Standard and Poor's, the bond rating agency for more than 80 percent of the nation's municipal and corporate bonds, the town's rating for water and sewerage system revenue bonds was raised from BBB+ to A-.
The move brought praise from Mayor Pat Graham.
"We are very pleased with the rating level," Graham said. "In part, it reinforces the mission of the water and sewer enterprise funds and its bonding capacity which allows for expansions of our system."
In assigning a rating for revenue bonds, the major rating agencies assess economy, debt structure, financial condition, demographic factors and management practices of the governing body and administration. A- bonds are rated as favorable investments and considered to be upper medium grade obligations, citing factors giving security to principal and interest structure.