For Immediate Release
Contact: Bret M. Plumlee
City Manager – (562) 431-3538 x 201
On August 11, 2015 Standard & Poor’s (S&P) assigned an Issuer Credit Rating of AAA to the City of Los Alamitos and a rating of AA+ for the City’s 2015 Certificates of Participation.
The Issuer Credit Rating (ICR) of AAA is the highest rating available and reflects the view of S&P that the City has an “extremely strong” capacity to meet its financial obligations. The rating is based on a review of the local economy, City management, financial measures such as liquidity, budgetary performance and budget flexibility, the level of debt and contingent liabilities and a review of the legal and practical environment (State law impacts) in which Los Alamitos operates.
The rating of AA+ for the 2015 Certificates of Participation is the highest rating available for a Certificate of Participation (COP) financing. This rating indicates a “very strong” capacity to meet financial commitments and only differs from the AAA by a small degree. It differs from the AAA ICR rating for market and structural matters related to the lease structure used in the COP.
The rating reflects S&P’s view of the City’s:
1. Very strong economy, with access to a broad and diverse regional economy
2. Strong management, with “good” financial policies and practices
3. Strong budgetary performance
4. Very strong budgetary flexibility and liquidity
5. Low overall debt
The high rating helped the City achieve the lowest borrowing costs on the 2015 Certificates of Participation and will help the City in the future should the City decide at some point to issue additional bonds.
A copy of the rating presentation that was made to S&P can be obtained online at http://cityoflosalamitos.org/?wpfb_dl=1875 or at City Hall. The rating presentation contains demographic, statistical and financial information related to the City of Los Alamitos.
For additional information on the City of Los Alamitos, visit www.cityoflosalamitos.org for more or call (562) 431-3538.