Treasurer Dave Lemoine Reports Stable “AA” Credit Rating from Fitch Ratings
June 1, 2006
Treasurer Dave Lemoine Reports Stable “AA” Credit Rating from Fitch Ratings.
June 1, 2006
For Immediate Release Contact: David Lemoine; 624-7477
(AUGUSTA) - State Treasurer Dave Lemoine reported today that Fitch Ratings has awarded a stable AA rating to Maine’s General Obligation bonds with specific acknowledgment of Maine’s “low debt burden and strong debt structure” as an important credit strength. “This latest report provides objective support for the strengthening fiscal situation here in Maine,” said Lemoine, “and recognizes the successful spending restraints, financial controls and reserve replenishment efforts that the Governor and Legislature have enacted.”
The AA rating with a stable outlook maintains Maine’s current credit position while noting that “[e]conomic gains are evident …” and that the success in keeping the Portsmouth Naval Shipyard open “eliminates a significant risk to the state’s economic outlook.” Fitch also recognized that the “initiative process remains active in Maine” and that economic performance was flat while “increasing education/property tax relief requirements are an ongoing pressure.”
“The AA rating and stable outlook indicates that Maine is fiscally sound. We expect to once again have a very strong bond sale in both the retail and institutional markets,” said State Treasurer David Lemoine. The state plans to sell approximately $52 million of general obligation bonds in June. The retail sale period will take place on June 2 and 5th.