Moody's Investors Service and Fitch Ratings Give Montana Upgrades

Press Release

Moody's Investors Service and Fitch Ratings Give Montana Upgrades

"Montana is on the move and Wall Street is taking notice," said Governor Brian Schweitzer. Yesterday, Montana's $209 million in outstanding general obligation bonds were upgraded to AA from AA- by Fitch Ratings. Moody's Investors Service upgraded Montana earlier this year, it was the first upgrade for the state in 26 years.

In a news release Fitch Ratings said, the upgrade is based on the state's conservative financial practices along with strong revenue performance, as evidenced by recent actions to address pension and education funding, two longstanding credit concerns. The rating also reflects the state's growing economic diversity, low debt burden, and high financial reserve levels, a necessity given the state's history of revenue volatility.

The news release went on the say that, the state's economy is performing well, marked by consistent job growth, low unemployment, and increasing diversification.

The new rating means that Montana will pay lower interest costs on debt. Montana currently has the lowest unemployment in the nation with wages growing third fastest in the country. aaaa

Source