In the report, Standard & Poor's provides a range of quantitative and qualitative information for all 50 states to provide a comparative framework to analyze debt security features, debt burden, and debt management across the sector.
Key findings of the report include:
The state sector has weathered a broad range of bond market challenges and in our view has retained its relatively strong credit profile; Debt levels increased for the sector but remain moderate, in our view, due in part to the growing prevalence of debt affordability models and policies that help to limit leverage; Security features underlying debt obligations are well-defined in our view and willingness to fund debt obligations remains strong; Balanced budget requirements have limited leverage for operating purposes; The amortizing nature of these obligations has eliminated "rollover risk" for most states; The current economic and fiscal environment has caused some states to rethink their allocation of resources to capital infrastructure, at least for the near term; and Future challenges are numerous, including the budgetary climate and the overall performance of the bond market and how it will affect the affordability of financing infrastructure and other obligations. The report is available to subscribers of RatingsDirect on the Global Credit Portal at www.globalcreditportal.com. If you are not a RatingsDirect subscriber, you may purchase a copy of the report by calling (1) 212-438-7280 or sending an e-mail to [email protected]. Ratings information can also be found on Standard & Poor's public Web site by using the Ratings search box located in the left column at www.standardandpoors.com. Members of the media may request a copy of this report by contacting the media representative provided.
Media Contact:
Edward Sweeney, New York (1) 212-438-6634, [email protected]
Analyst Contacts:
John Sugden-Castillo, New York (1) 212-438-1678
Robin Prunty, New York (1) 212-438-2081