The 'AA+' rating on Lake Orion Community School District, Mich.'s bonds reflects qualification for participation in the Michigan State School Bond Loan Fund program. The Standard&Poor's underlying rating (SPUR) reflects the following strengths: A primarily residential district within Oakland County with the local economy anchored by a General Motors facility, and Steady and consistent tax base growth. Other factors include adequate financial operations, which have fluctuated in recent years, and high debt burden and slow principal amortization somewhat offset by limited future capital needs. The bonds are secured by the full faith and GO credit pledge of the school district. As additional security, the bonds are qualified for participation in the Michigan State School Bond Loan Fund program.
