News Review
Moody's takes notice of Ankeny's stable, well managed financial operations with Aa2 bond rating
|
|
|
May 15, 2012
|
|
Moody's takes notice of Ankeny's stable, well managed financial operations with Aa2 bond rating
Contact:
Jennifer Sease
515.965.6409
jsease@ankenyiowa.gov
ANKENY, Iowa (May 15, 2012) - In an economic environment where municipalities are susceptible to downgrading, Moody’s Investors Service recently affirmed the City of Ankeny’s Aa2 rating for long term and MIG1 rating for short term general obligation bond debt. The agency cited Ankeny’s stable and well managed financial operations and healthy reserves as reasons for the rating.
“Moody’s is taking notice of Ankeny’s progress, including its financial stability, diversified tax base and growing population,” said Jennifer Sease, Ankeny finance director.
The Aa2 rating helped generate exceptional competition among investors at a recent refinancing bond sale that resulted in an estimated savings of $530,000 or $110,000 annually through bond maturity.
“This is good news for taxpayers,” said Ankeny Mayor Steve Van Oort. “It reflects the City’s credit worthiness, strong financial position and ability to repay debt that has a direct savings to taxpayers.”
The Moody’s rating report explains that the Aa2 rating is reflective of Ankeny’s strong population growth, stable economy, low unemployment and tax base valuation growth. Moody’s views the City as a “strong candidate for a bond rating upgrade in the near future, provided there is continued expansion and diversification of the city’s tax base and a moderate decrease in the city’s debt burden.”
“By affirming our bond rating, the rating agency has expressed confidence in the City’s fiscal and economic policies, said Sease. “We will continue to make the necessary and sometimes difficult decisions to keep our fiscal position strong.”
The full report is available here.
###
  
|