Sundsvall reported budget deficits against the Swedish regulator's balanced budget requirement in both 2018 and 2019. We anticipate Sundsvall's cost-saving measures and additional support from central government will help the municipality balance its budget in 2020. We also expect Sundsvall to liquidate its 50% share in Kommungaranti Skandinavien Försäkrings AB, the municipality's part-owned insurance company, in 2020, which should limit debt growth. We are affirming our 'AA+/A-1+' and 'K-1' ratings on Sundsvall. The outlook is stable. On March 20, 2020, S&P Global Ratings affirmed its 'AA+' long-term and 'A-1+' short-term issuer credit ratings on the Swedish municipality of Sundsvall. The outlook is stable. At the same time, we affirmed our 'K-1' short-term Nordic regional scale rating on Sundsvall. The stable
