City of Greater Sudbury Receives AA Credit Rating
Jun 19, 2018
The City of Greater Sudbury is pleased to announce that, in a report released yesterday, Standard and Poor’s (S & P) Global Ratings issued the City an AA credit rating with a “stable outlook.”
This rating influences the interest rate paid on any debt the City takes on.
“I am very pleased with the City of Greater Sudbury receiving an AA credit rating, a first for our community,” said Greater Sudbury Mayor Brian Bigger. “The City of Greater Sudbury continues to invest in our citizen’s quality of life and is working to reduce the infrastructure gap. This rating will allow us to access some of the lowest interest rates available, funding our transformational projects aimed at growing our community and creating jobs.”
A credit rating is a professional opinion based on in-depth analysis of the corporation's historical financial performance, policies and long-term plans. The rating is attributed to the City’s diverse economy and effective financial management and based on the view that the City’s debt burden will remain manageable during the coming years, even with the City’s robust capital plan. The City's role as the central location for a variety of public and private sector activities in northern Ontario was also noted as a strength that favorably influenced its assessment.
“This announcement shows that the hard work of City Council and the Executive Leadership Team over the last four budget cycles positions Greater Sudbury for a strong financial future,” said Ward 7 Councillor Mike Jakubo, Chair of the Finance and Administration Committee.
The “stable outlook” reflects the company’s expectation that the City of Greater Sudbury’s economy will continue to grow throughout the next two years and it will continue to follow its long term financial plan.
“Obtaining a credit rating reflects our prudent financial policies by helping the corporation secure the best available interest rates for our debt financing requirements,” said City of Greater Sudbury Chief Administrative Officer Ed Archer. “This strong rating puts Greater Sudbury in a good position for managing future service demands. I thank my staff for the collaboration they showed through the ratings process, and for their ongoing work to meet the corporation’s service commitments.”
S&P is a financial services company that offers services including credit ratings, data analysis and equity research to both the private and public sectors worldwide. The company’s research emphasizes transparency and assists investors in making educated decisions.
The full report from S&P is available on the City’s website at www.greatersudbury.ca/creditrating.