AA+ credit rating
Standard & Poor’s Rating Service reaffirmed today the City of Regina’s AA+ credit rating. The following strengths for the City of Regina were stated in establishing the rating:
- Strong operating and after-capital expenditure budgetary surpluses
- Very moderate debt levels
- Excellent levels of cash and liquid assets
- Robust economic performance in the City enhanced by a diversifying economy, healthy population growth and low unemployment rates.
Standard and Poor’s has increased the City’s financial outlook to a rating of AA+ ‘stable’ from its AA+ ‘negative’ rating in 2011. While the previous negative rating resulted largely from pension liabilities and the infrastructure deficit, the improvement reflects the fact that the city has been working with other pension plan representatives to address this liability and make the plan sustainable. In addition, Regina will be hosting the second national infrastructure summit to continue discussions with all levels of government to address long-term infrastructure plans.
"The City of Regina is pleased with the reaffirmed credit rating,” Deputy City Manager and CFO, Brent Sjoberg said. “While addressing our long-term financial needs is a work in progress, this rating also confirms our commitment to strong fiscal management and supports the positive future predicted for the Regina economy."
Standard & Poor’s credit ratings express the agency’s opinion about the ability and willingness of an issuer, such as a corporation or province or city government, to meet its financial obligations.
Detailed information about the City’s credit rating is available from the Standard & Poor’s Rating Services’ website at www.standardandpoors.com.