FOR IMMEDIATE RELEASE
Sep 10, 1999
Contact: Ellen Cox
(714) 834-5376
MOODY's Upgrades
Ratings for Orange County
Santa Ana, Calif. (September
22, 1999) – Moody’s Investors Service announced
today that it has significantly raised the ratings on
$1.5 billion of outstanding debt of Orange County.
The County is now the second-highest rated county in California.
“I am delighted that Moody’s has recognized
our sound fiscal management,” said Jan Mittermeier,
County Executive Officer. “Through the Board’s
leadership, the County has been restored to excellent
financial health.”
According to Moody’s, the upgrades reflect the County’s
demonstrated ability to operate within the reduced operating
budget that resulted from its bankruptcy, its prudent
fiscal management, its commitment to debt reduction, a
satisfactory fiscal position by comparison with its peers,
a diversified and thriving local economy, and a groundbreaking
strategic financial plan.
“These significant upgrades in the County’s
credit rating indicate how far the County has come since
the bankruptcy,” said Chuck Smith, Chairman of the
Board of Supervisors. “The Board and all County
employees should be thrilled with the progress we’ve
made,” said Smith.
“Moody’s action today signals their confidence
in the fiscal health of the County,” said Tom Wilson,
Vice Chairman of the Board of Supervisors.
Gary Burton, Chief Financial Officer, said today’s
upgrade is “the most dramatic increase I have ever
seen.”
(more)
Moody’s has assigned to the County an issuer (implied
general obligation) rating of Aa3. The stand-alone
and underlying ratings on the County’s Pension Obligation
Bonds have been upgraded to A1 from Baa2; the underlying
rating on the County’s 1995 Refunding Recovery Bonds
has been upgraded to A1 from Baa3; the underlying rating
on the County’s 1996 Refunding Recovery Certificates
of Participation (COPs) has been upgraded to A2 from Baa2;
the ratings on two pre-funded equipment financings and
two fixed asset COPs have been upgraded to A2 from Baa3;
and the County’s equipment lease financing has been
upgraded to A3 from Ba1.
CONTACTS:
Ken Kurtz, Moody’s Investors Service
415-274-1737
Chuck Smith, Chairman, Board of Supervisors
714-834-3110
Tom Wilson, Vice Chairman, Board of Supervisors
714-834-3550
Jan Mittermeier, County Executive Officer
714-834-6201
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