INDIANAPOLIS (June 24, 2009) - Standard & Poor's Ratings Service (S&P), Moody's Investors Service and Fitch Ratings have reaffirmed the State's bond credit ratings. Indiana was upgraded into the highest possible rating category at AAA by S&P last summer. 

"These ratings reaffirm that Indiana is in far better fiscal shape than many other states because we continue to carefully manage our spending and maintain a reserve," said Ryan Kitchell, director of the Office of Management and Budget.

In its report, Moody's said, "Like nearly every other state, Indiana's finances have been squeezed by the national economic downturn.Indiana has moved swiftly to close budget gaps as they have been identified, making significant recurring base budget cuts beginning at the start of fiscal year 2009." Fitch reports "The state's credit is characterized by a historical pattern of low debt, strong reserve levels, and balanced financial operations."

The reaffirmed ratings are for the Indiana Finance Authority (IFA)'s issuance of $216 million for the completion of the Indianapolis Convention Center.  The IFA's lease appropriation credit rating is one-notch below the State's issuer credit rating and are 'AA+', 'Aa3', and 'AA' by S&P, Moody's and Fitch, respectively. 

Indiana is one of only eleven states with a AAA rating, S&P's highest possible credit rating. S&P raised the state's credit rating to AAA for the first time in Indiana's history on July 19, 2008. That rating increase meant, for example, that 228 of the state's school corporations could borrow money at a lower interest rate. Since June 2005, Indiana's rating has been raised three times.  The state's ratings history since 1997 is: December 18, 1997 to January 18, 2002, AA+ stable; January 18, 2002 to January 20, 2004, AA+ negative; January 20, 2004 to June 29, 2005, AA stable; June 29, 2005 to January 23, 2006, AA positive; January 23, 2006 to July 19, 2008, AA+ stable; July 19, 2008 to present, AAA.

See a U.S. map with individual states' credit ratings at:

www.in.gov/ifa/files/StateCreditRatings.pdf

 

More information is also available at these Web sites:                                            
http://www.standardpoors.com/

http://www.fitchratings.com/
http://www.moodys.com/

« Back to News Release List

Link to this event: