Connecticut's Series 2017A And B General Obligation Bonds Rated 'AA-' With A Negative Outlook

NEW YORK (S&P Global Ratings) March 20, 2017--S&P Global Ratings has assigned its 'AA-' rating and negative outlook to the State of Connecticut's $550 million general obligation (GO) bond series 2017A and $200 million GO refunding bonds series 2017B. At the same time, S&P Global Ratings has affirmed its 'AA-'rating on approximately $18 billion of GO debt outstanding. The outlook is negative. The GO rating on Connecticut reflects our view of the following factors: High wealth and income levels; A diverse economy, whose performance has been cyclical; Ongoing revenue and expenditures that remain near structural alignment at present; Active monitoring of revenues and expenditures to identify and correct midfiscal year budget gaps, as exemplified by midyear budget adjustments made for

...NEW YORK (S&P Global Ratings) March 20, 2017--S&P Global Ratings has assigned its '##-' rating and negative outlook to the State of Connecticut's $550 million general obligation (GO) bond series 2017A and $200 million GO refunding bonds series 2017B. At the same time, S&P Global Ratings has affirmed its '##-'rating on approximately $18 billion of GO debt outstanding. The outlook is negative. The GO rating on Connecticut reflects our view of the following factors: + High wealth and income levels; + A diverse economy, whose performance has been cyclical; + Ongoing revenue and expenditures that remain near structural alignment at present; + Active monitoring of revenues and expenditures to identify and correct midfiscal year budget gaps, as exemplified by midyear budget adjustments made for fiscal years 2015, 2016, and 2017; and + Adequate operating liquidity, despite low generally accepted accounting principles (GAAP) fund balances. Offsetting factors, in our opinion, include: + Above-average...

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